JP Morgan has maintained its ‘Overweight’ rating on Hindustan Aeronautics Ltd (HAL), assigning a target price of ₹4,958 per share, suggesting an upside potential of around 20% from the current market price of ₹4,135.70.
The brokerage highlights a key development wherein GE Aerospace has commenced deliveries of the F404-IN20 engines for the Light Combat Aircraft (LCA) Mk1A, as per a recent update on GE Aerospace’s official website. The delayed engine supply had earlier posed an overhang on HAL’s execution timelines and sentiment.
JP Morgan believes this development significantly alleviates near-term concerns and reinforces the company’s strong positioning. HAL continues to benefit from a large order pipeline and enjoys a monopoly in several defense segments, placing it in a favorable long-term growth trajectory.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult your financial advisor before making any investment decisions.
