Skip to content
Themes / Defence

Defence

Nifty 500 defence primes, shipbuilders, electronics, and strategic suppliers.

DefenceNifty 500Auto-built
Theme price path

Defence vs Nifty 500

Weekly basket performance over the latest 52 observations. Green is ahead of Nifty 500; red is behind.

Through 21 Oct 2026
Coverage healthy
Theme aheadTheme behindNifty 500Base 100 at the first visible weekLatest: Outperforming +2.6%
84919910611331 Oct 2025 | Defence 100.0 | Nifty 500 100.0 | In line 0.0% | breadth 18% | coverage 100%07 Nov 2025 | Defence 97.5 | Nifty 500 99.2 | Underperforming -1.7% | breadth 18% | coverage 100%14 Nov 2025 | Defence 102.7 | Nifty 500 100.5 | Outperforming +2.2% | breadth 91% | coverage 100%21 Nov 2025 | Defence 100.3 | Nifty 500 100.3 | In line 0.0% | breadth 9% | coverage 100%28 Nov 2025 | Defence 98.8 | Nifty 500 100.9 | Underperforming -2.1% | breadth 18% | coverage 100%05 Dec 2025 | Defence 95.8 | Nifty 500 100.5 | Underperforming -4.7% | breadth 0% | coverage 100%12 Dec 2025 | Defence 92.4 | Nifty 500 100.1 | Underperforming -7.7% | breadth 18% | coverage 100%19 Dec 2025 | Defence 91.2 | Nifty 500 99.9 | Underperforming -8.7% | breadth 36% | coverage 100%26 Dec 2025 | Defence 95.5 | Nifty 500 100.3 | Underperforming -4.8% | breadth 100% | coverage 100%02 Jan 2026 | Defence 94.9 | Nifty 500 101.6 | Underperforming -6.6% | breadth 36% | coverage 100%09 Jan 2026 | Defence 94.8 | Nifty 500 99.0 | Underperforming -4.2% | breadth 64% | coverage 100%16 Jan 2026 | Defence 93.7 | Nifty 500 99.1 | Underperforming -5.4% | breadth 18% | coverage 100%23 Jan 2026 | Defence 89.3 | Nifty 500 95.8 | Underperforming -6.8% | breadth 9% | coverage 100%01 Feb 2026 | Defence 98.9 | Nifty 500 95.4 | Outperforming +3.7% | breadth 100% | coverage 100%06 Feb 2026 | Defence 91.9 | Nifty 500 98.8 | Underperforming -7.0% | breadth 18% | coverage 100%13 Feb 2026 | Defence 93.1 | Nifty 500 98.3 | Underperforming -5.3% | breadth 64% | coverage 100%20 Feb 2026 | Defence 94.7 | Nifty 500 98.7 | Underperforming -4.1% | breadth 82% | coverage 100%27 Feb 2026 | Defence 94.5 | Nifty 500 97.7 | Underperforming -3.3% | breadth 46% | coverage 100%06 Mar 2026 | Defence 99.2 | Nifty 500 94.8 | Outperforming +4.6% | breadth 82% | coverage 100%13 Mar 2026 | Defence 92.9 | Nifty 500 90.2 | Outperforming +3.0% | breadth 0% | coverage 100%20 Mar 2026 | Defence 91.5 | Nifty 500 90.0 | Outperforming +1.7% | breadth 27% | coverage 100%27 Mar 2026 | Defence 86.6 | Nifty 500 88.7 | Underperforming -2.4% | breadth 9% | coverage 100%02 Apr 2026 | Defence 89.2 | Nifty 500 88.3 | Outperforming +1.0% | breadth 82% | coverage 100%10 Apr 2026 | Defence 98.2 | Nifty 500 94.2 | Outperforming +4.2% | breadth 100% | coverage 100%17 Apr 2026 | Defence 104.0 | Nifty 500 96.5 | Outperforming +7.8% | breadth 100% | coverage 100%24 Apr 2026 | Defence 106.1 | Nifty 500 95.2 | Outperforming +11.4% | breadth 64% | coverage 100%30 Apr 2026 | Defence 107.0 | Nifty 500 95.7 | Outperforming +11.8% | breadth 73% | coverage 100%08 May 2026 | Defence 110.6 | Nifty 500 97.5 | Outperforming +13.4% | breadth 82% | coverage 100%15 May 2026 | Defence 103.3 | Nifty 500 95.0 | Outperforming +8.7% | breadth 9% | coverage 100%22 May 2026 | Defence 103.7 | Nifty 500 95.5 | Outperforming +8.6% | breadth 46% | coverage 100%29 May 2026 | Defence 102.6 | Nifty 500 95.6 | Outperforming +7.3% | breadth 36% | coverage 100%05 Jun 2026 | Defence 102.8 | Nifty 500 94.8 | Outperforming +8.4% | breadth 55% | coverage 100%12 Jun 2026 | Defence 102.5 | Nifty 500 95.3 | Outperforming +7.6% | breadth 27% | coverage 100%19 Jun 2026 | Defence 108.3 | Nifty 500 97.7 | Outperforming +10.8% | breadth 91% | coverage 100%26 Jun 2026 | Defence 105.8 | Nifty 500 97.5 | Outperforming +8.5% | breadth 18% | coverage 100%03 Jul 2026 | Defence 108.1 | Nifty 500 98.3 | Outperforming +10.0% | breadth 82% | coverage 100%10 Jul 2026 | Defence 106.2 | Nifty 500 98.5 | Outperforming +7.8% | breadth 18% | coverage 100%17 Jul 2026 | Defence 103.6 | Nifty 500 98.4 | Outperforming +5.3% | breadth 18% | coverage 100%24 Jul 2026 | Defence 102.9 | Nifty 500 96.7 | Outperforming +6.4% | breadth 27% | coverage 100%31 Jul 2026 | Defence 102.8 | Nifty 500 98.9 | Outperforming +3.9% | breadth 64% | coverage 100%07 Aug 2026 | Defence 106.5 | Nifty 500 100.0 | Outperforming +6.5% | breadth 91% | coverage 100%14 Aug 2026 | Defence 109.9 | Nifty 500 99.5 | Outperforming +10.5% | breadth 82% | coverage 100%21 Aug 2026 | Defence 110.4 | Nifty 500 99.1 | Outperforming +11.4% | breadth 36% | coverage 100%28 Aug 2026 | Defence 109.5 | Nifty 500 99.2 | Outperforming +10.4% | breadth 46% | coverage 100%04 Sept 2026 | Defence 108.0 | Nifty 500 98.1 | Outperforming +10.1% | breadth 18% | coverage 100%11 Sept 2026 | Defence 106.0 | Nifty 500 96.4 | Outperforming +10.0% | breadth 27% | coverage 100%18 Sept 2026 | Defence 104.4 | Nifty 500 96.3 | Outperforming +8.4% | breadth 36% | coverage 100%25 Sept 2026 | Defence 102.8 | Nifty 500 95.3 | Outperforming +7.9% | breadth 27% | coverage 100%01 Oct 2026 | Defence 97.7 | Nifty 500 92.2 | Outperforming +6.0% | breadth 0% | coverage 100%09 Oct 2026 | Defence 95.2 | Nifty 500 92.2 | Outperforming +3.3% | breadth 18% | coverage 100%16 Oct 2026 | Defence 98.1 | Nifty 500 93.9 | Outperforming +4.5% | breadth 91% | coverage 100%21 Oct 2026 | Defence 94.5 | Nifty 500 92.1 | Outperforming +2.6% | breadth 0% | coverage 100%Outperforming +2.6%31 Oct 202524 Apr 202621 Oct 2026
Theme return
-5.5%
Nifty 500
-7.9%
Vs Nifty 500
+2.6%
Latest coverage
11/11
How this plot is calculated

The theme line is green when its cumulative rebased performance is above Nifty 500 and red when it is below. The chart callout shows the latest relative performance as the theme level divided by the benchmark level, minus one.

The basket uses the theme's current reviewed companies. For each available week, we calculate every valid constituent's close-to-close return and give each company the same weight. If a weekly rollup is missing or lags the daily series, the final available daily close in that week is used.

For baskets with at least 10 valid stocks, the highest and lowest 5% of weekly returns are trimmed to reduce split, corporate-action, and single-stock distortions. Weekly basket returns are then compounded and rebased to 100 beside the Nifty 500.

Breadth is the share of valid constituents that rose that week. Coverage is the number with usable aligned prices divided by current membership. Weekly moves above 80% are excluded as likely data or corporate-action outliers.

Limitation: this is a current-membership historical reconstruction, not a point-in-time investable index. It can contain survivorship bias and excludes costs, liquidity impact, dividends, and rebalancing turnover.

Model note: Current-member weekly equal-weight returns (5% tails trimmed for baskets of 10+), compounded and rebased to 100 against Nifty 500; lagging weekly rollups are patched with the final available daily close, and rotation uses 13-week excess return with four-week acceleration.

Theme scorecard

Measures whether this idea is investable today by blending cohort quality, valuation cushion, and price momentum. It is a research filter, not advice.

Build portfolio from this theme
Theme
35
Stretched
Quality
36
Valuation
25
Momentum
51
Positive MoS
27%
P/E 63.9 · ROCE 25%
Curated research view

Defence

A focused investor view: high-conviction names first, then small/micro exposure only as controlled satellite risk. Live U-Score and MoS still come from the current database.

71/100
Theme score
High Conviction, selective stock picking
Investability
46.2
Live avg U
-100.3%
Live avg MoS

Curated company map

Names from the curated theme note. Solid chips are present in the live eligible cohort; dashed chips need membership review, ticker verification, or may be indirect/unlisted exposure.

11/11 live eligible
Core

Tier 1: Stable core

Large and mid-cap primes with stronger order visibility.

Growth

Tier 2: Specialist exposure

Nifty 500 suppliers and systems companies with higher business or valuation risk.

Investment thesis

India’s defence indigenisation push is a major structural market theme. Domestic procurement, export ambitions, and private-sector participation can create multi-year order visibility. The investable edge is to avoid narrative-only exposure and focus on order conversion, cash flow, balance-sheet strength, and valuation.

1-2 year outlook: Structurally constructive for leaders and execution-focused suppliers, but many names already discount strong growth. Position sizing and valuation discipline remain essential.
Recommended allocation: 8-12% for aggressive investors; keep micro/SME exposure as satellite only.

Key triggers

  • Domestic procurement and indigenisation lists
  • Navy and shipbuilding order execution
  • Exports in missiles, radars, and defence systems
  • Private-sector participation through iDEX and TDF

Major risks

  • Execution delays in large government projects
  • High valuations in mid-tier names
  • Working-capital intensity and receivables cycles
  • Import-policy reversals or geopolitical shifts
Small, micro, and SME names should be opt-in exposure. Suggested filters: U-Score above 65, positive MoS, Piotroski 7+, debt/equity below 0.8, promoter pledge below 10%, and enough traded value to exit without slippage.

Thesis

A Nifty 500 Defence basket built from verified Defence tags and current index membership. Use it to compare quality, valuation cushion, and investable breadth without mixing in thinly traded micro-cap names.

  • ▸Policy-backed domestic procurement
  • ▸Long order-cycle visibility
  • ▸Includes primes and supplier ecosystem

Top picks · ranked by U-Score within this cohort

Full cohort

SOLARINDSLarge
Solar Industries India Limited
Chemicals
FAIR VALUE

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -100.0%Piotroski: 8/9ROCE: 38%P/E: 91.2D/E: 0.24
56
U-Score
₹19259.00
Open →
HALLarge
Hindustan Aeronautics Limited
Industrials
FAIR VALUE

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: +9.5%Piotroski: 8/9ROCE: 32%P/E: 35.8D/E: 0.00
54
U-Score
₹4854.40
Open →
DATAPATTNSSmall
Data Patterns (India) Limited
Industrials
FAIR VALUE

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -115.4%Piotroski: 8/9ROCE: 22%P/E: 83.9D/E: 0.00
46
U-Score
₹3916.90
Open →
ZENTECLarge
Zen Technologies Limited
Industrials
WATCHLIST

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -107.5%Piotroski: 8/9ROCE: 16%P/E: 80.9D/E: 0.01
43
U-Score
₹1613.50
Open →
BHARATFORGMid
Bharat Forge Limited
Auto
WATCHLIST

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -215.9%Piotroski: 8/9ROCE: 13%P/E: 89.6D/E: 0.76
34
U-Score
₹1774.00
Open →
BDLMid
Bharat Dynamics Limited
Industrials
WATCHLIST

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -145.3%Piotroski: 8/9ROCE: 14%P/E: 76.6D/E: 0.00
33
U-Score
₹1070.00
Open →
COCHINSHIPMid
Cochin Shipyard Limited
Industrials
OVERVALUED

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -334.3%Piotroski: 6/9ROCE: 16%P/E: 48.5D/E: 0.28
31
U-Score
₹1167.10
Open →
BEMLSmall
BEML Limited
Industrials
OVERVALUED

Included in the current Nifty 500 Defence cohort from verified tags or disclosed business exposure. Check segment materiality alongside the scorecard.

MoS: -130.2%Piotroski: 8/9ROCE: 8%P/E: 90.5D/E: 0.11
26
U-Score
₹1888.30
Open →
The rationale above is editorial — the ranking uses our U-Score engine so the names you see first are the strongest fundamentals fit, not the most popular or most-mentioned. Re-rank yourself if you weigh valuation or quality differently. All information is for study purposes only — consult your financial advisor before investing.