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IndiaPulse

Paras Defence and Space Technologies Limited (PARAS)

Micro Cap

Industrials stocks · Micro cap · NSE

Paras Defence & Space Technologies Limited is a premier Indian defence and space engineering company. It specializes in high-end optical systems, defence engineering, electromagnetic protection, anti-drone systems, and various aerospace and quantum technologies, serving domestic and global markets.

₹1,414.9
+3.40 · +0.24%
Quote04 Sept, 03:59 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags15 Aug 2026
Coverage14/14 · 100%
Valuation2026-07-20 · Rf 6.8% · Industrials P/E 26.4 (n=540)
Data confidence
Fresh enough for analysis
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Weak fundamentals, management trust is supportive, price trend is neutral, and recent execution is consistent.

Suggested next step
Research, do not rush
The four lenses are not strongly aligned. Compare peers and wait for a cleaner setup.
U-Score
WATCHLIST
42

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
Healthy Trust
81

low confidence · 0/0 claims checked

Technical
Neutral
59

Timing lens: price trend and sector relative strength.

Result consistency
consistent
95

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Excellent · 90/100

Rev +38% YoY · PAT +50% YoY · margin expansion · operating leverage

Filed 30 Jun 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹128 Cr+37.6%-25.1%
EBITDA₹32 Cr+45.5%-25.6%
Operating margin25.0%+200 bps+0 bps
PAT₹21 Cr+50.0%-46.1%
PAT margin16.4%+136 bps-640 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis intactReviewed 2026-06-10T07:53:57.065Z
Management commentary snapshot

FY26 Consolidated Revenue grew 30.5% YoY to Rs 476.57 Cr, with EBITDA up 23.9% to Rs 120.46 Cr and PAT up 45.5% to Rs 89.46 Cr. Q4 FY26 Consolidated Revenue was Rs 171.31 Cr, EBITDA Rs 42.6 Cr, and PAT Rs 38.88 Cr.

The company delivered robust FY26 growth across revenue and profitability, driven by its diverse defence and space portfolio. Strong order book and strategic JVs position it for continued expansion, though execution on new technologies and large funnels needs close monitoring.

Current business mix

Consolidated Revenue Split FY26

Latest issuer-disclosed distribution across 3 reported categories.

Businessmix
Optics & Optronic Systems42.0%
Defence Engineering46.0%
Subsidiaries12.0%
Growth engines

High-End Optical Systems

Aims to become India’s No. 1 High-End Optical Systems Company catering to Domestic & World Market.

Anti-Drone Technologies

Strives to become India’s No. 1 company developing and producing cutting-edge Anti-Drone Technologies.

Hydrogen Powered Drones

JV with Heven Drones, Israel, to manufacture India’s first Ready-to-Fly Hydrogen Powered Drones.

OSAT for Advanced Packaging

Setting up a state-of-the-art Advanced Heterogeneous Packaging (OSAT) focused on Defence, HPC, Networking.

Capacity and execution

OSAT Facility

Setting up a state-of-the-art Advanced Heterogeneous Packaging (OSAT) facility to support chiplet & system-level integration.

Tailwinds

Make In India Initiative

JV with Controp, Israel, to manufacture world class EO/IR Systems in India (Under Make In India).

Growing Drone Market

High Domestic & Export Business Potential with growing Drone Market in India and the World.

Indigenous Development Focus

India’s first Indigenously Developed MRI Machine by SAMEER, Paras developing the Magnet, Gradient Coil & Associated Systems.

Management accountability

What management said, and what results must prove

Management accountability

What management said, and what results must prove

Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.

Analyst reading lens
Compare BOTH

Annual results (FY26) provide a comprehensive view of full-year performance and growth trends, while Q4 FY26 results offer insight into recent operational momentum and execution.

Sector KPIs management disclosed

Submarine Periscope Production

Paras is delivering 1 Periscope every 3 Months.

Submarine Periscope Funnel

Current funnel of 36+ Nos. for new and existing platforms, indicating yearly revenue of 200+ Cr.

EMP Solutions Business Potential

Huge Business Potential with Funnel of 350+ Cr. Over the next 2 to 3 Years.

Optical Systems Funnel (Sight-25HD)

Extensive Funnel of over 5000 Units in the next 3 to 7 Years for only Sight – 25HD.

Management forward view

Revenue Growth Guidance

Aim to grow our revenues by 30 – 40 % for FY27 & FY28.

Profitability Guidance

Maintain or slightly better our profitability as compared to previous years for FY27 & FY28.

Strategic Vision

Aims to become India’s No. 1 in High-End Optical Systems, Laser Based Air Defence, Anti-Drone, and ElectroMagnetics.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
Order BookRs 986.0 Cr (Mar-26)Continued growth and conversion of large funnels into firm orders.
Revenue GrowthFY26 Revenue growth 30.5%Achievement of 30-40% revenue growth guidance for FY27 & FY28.
EBITDA MarginFY26 EBITDA margin 25.3%Maintenance or slight improvement in profitability as guided.
New Technology CommercializationQuantum Technologies, OSAT, Hydrogen Drones in developmentTimely commissioning and revenue contribution from these new ventures.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

59Neutral

SMA20 +15.2% / mo · MACD − · near 52W high

Stock trend: 65
Sector RS: 48
Sector 3M: -1.6% vs Nifty -1.5%

Technical chart

PARASdaily · 1Y · AUTO+97.3%
Latest close ₹1414.90 on 2026-09-04
Bar
-0.1%
RSI
54
MACD hist
-13.80
52W pos
83%
2026-09-04O ₹1415.80H ₹1439.90L ₹1410.00C ₹1414.90Vol 5.5L sh
₹530.27₹806.51₹1.08k₹1.36k₹1.64k52H52L1414.902026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Mixed signals

Signals are conflicting — long-term uptrend intact. RSI 54. Wait for confirmation.

  • Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
  • SMA20 rising (~13.2% over last month) — short-term momentum positive.
  • RSI(14) at 54 — falling, no extreme reading.
  • MACD below signal, histogram expanding negatively — bearish momentum building.
  • 11% off 52W high · 144% above 52W low.

Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.

Valuation & score drivers

U-Score 42 · WATCHLIST · pillar breakdown, sector model, fair-value anchor

42U-SCORE
WATCHLIST

Fundamental score breakdown

WATCHLIST
Valuation0/30
Growth18/25
Quality7/20
Balance Sheet10/15
Cash Flow2/10
Piotroski
8/9 (+5)
Penalties
0
Raw sum
42

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

42/100 · WATCHLIST

Positive drivers

  • Piotroski is strong at 8/9.
  • Growth contributes 18/25 to the score.
  • Balance sheet contributes 10/15 to the score.

Main drags

  • Fair-value margin of safety is negative at -204.9%.
  • Valuation is weaker at 0/30; verify the latest quarterly trend.
  • Cash flow is weaker at 2/10; verify the latest quarterly trend.
Sector valuation model

IT valuation: PE and EV/EBITDA against growth and margins

Asset-light IT companies deserve valuation support only when growth, margins, and cash conversion hold up.

IT PE/EVEBITDA
Primary lens
PE and EV/EBITDA relative to revenue growth, margins, and cash conversion.
Secondary checks
Deal pipeline, attrition, dollar revenue growth, FCF yield.
Main risk check
Low PE can reflect weak growth or margin pressure.
PE
123.0
PB
15.7
EV/EBITDA
77.8
ROE
12.4%
ROCE
17.2%
FCF Yield
0.1%
Debt/Equity
0.0
MoS
-204.9%
Score movement

Stored run vs live recompute

This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.

Stored run: 05 Sept 2026
v4.3-runtime-valuation
Final score
42
Previous: 42
Verdict
WATCHLIST
Previous: WATCHLIST
Margin of safety
-204.9%
Previous: -204.9%

Score history

12 stored score snapshots. Latest stored move: +1 points.

05 Sept 2026
v4.3-runtime-valuation
39
39
41
41
41
41
41
41
41
41
41
42

Factor attribution

No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.

Modelled fair value

Graham Number
₹154.06
-818.4% MoS
Growth-justified P/E
39.6
Growth-justified Value
₹464.11
-204.9% MoS
PEG
3.31

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
81Healthy Trust · low confidenceTrust Lite

Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.

Healthy Trust: Claim history is still being built. It ranks around the 93rd percentile of the scored universe and 92nd percentile within Industrials. No major sub-score weakness stands out.

High Trust Lite: Promoter pledge is zero.

Computed 05 Sept 2026
management-trust-v1
16 docs text-extracted · 0 concalls text-extracted
Score band
Healthy Trust

Generally investable credibility. Look for weak sub-scores before increasing position size.

Relative rank
93rd percentile

overall median 67 · Industrials: 92nd pctile, median 68 · Micro: 86th pctile, median 73

Evidence depth
Financial-only

16 documents have extracted text, but claim history is not strong enough yet.

Claim delivery
Outcome history still building

0 claims extracted · No contradicted claim yet

How to read this Trust Score

Healthy Trust · low confidence
What it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Can support position sizing if valuation and trend also agree.

Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.

Forensic breakdown

Read low sub-scores as due-diligence warnings, not automatic sell signals.

Promoter
78
strong · holding, pledge, alignment
Cash flow
65
acceptable · profit to cash conversion
Balance sheet
96
strong · leverage and solvency
Discipline
76
strong · capital discipline
Results
95
strong · quarterly consistency

Trust positives

  • Promoter pledge is zero.
  • FCF yield is positive at 0.1%.
  • Debt/equity is 0.04.
  • 4/4 latest quarters had positive YoY revenue growth.

Trust risks

  • No major Trust Lite risk flags.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
123.00
P/B
15.72
EV/EBITDA
77.75
Market Cap
11402.00Cr

Profitability

ROE
12.40%
ROCE
17.20%
ROA
9.96%
Dividend Y
0.07%

Growth (CAGR)

Revenue 5Y
27.00%
EPS 5Y
40.00%
Revenue 3Y
29.00%
EPS 3Y
33.00%

Balance Sheet

Debt/Equity
0.04
Interest Coverage
26.00×
Altman Z
8.24
Book Value
90.00

Cash Flow

FCF Yield
0.07%
FCF Positive Y
2/5
OCF
25.00 Cr
EPS TTM
11.72

Shareholding

Promoter Hold
53.20%
Promoter Pledge
0.00%
Momentum 52W
83%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in Industrials, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.