Stock in news: The Indian stock market is expected to closely monitor Hindustan Aeronautics Limited (HAL) following its recent designation as a ‘Maharatna’ company. The Government of India conferred this prestigious status on HAL, marking it as the 14th Maharatna entity in the country. This development is anticipated to enhance HAL’s operational autonomy, investment capacity, and strategic options, likely prompting a positive reaction from market participants.
Market analysts believe that HAL’s newly acquired Maharatna status is pivotal for its future growth. The government’s initiative is likely to open up new avenues for investment and provide the company with greater strategic flexibility. Notably, experts predict that HAL’s share price could reach ₹5,000 per share in the foreseeable future.
HAL Share Price Outlook
Anshul Jain, Head of Research at Lakshmishree Investment and Securities, stated that this accolade is a significant milestone for the defence public sector undertakings. The Maharatna status will simplify HAL’s operational processes, allowing the company to invest up to ₹5,000 crore or 15% of its net worth, whichever is applicable, in a single project without needing prior approval from the government. Additionally, like other Maharatna firms, HAL will have the freedom to pursue domestic and international mergers, acquisitions, and strategic investments.
“Previously, HAL faced challenges related to delivery timelines, but this new status is expected to ease many of those operational hurdles,” Jain added.
HAL Share Price Target
Looking ahead, Sumeet Bagadia, Executive Director at Choice Broking, foresees a notable surge in HAL’s share price following the Maharatna status. He shared that the technical chart patterns indicate a bullish trend for HAL. Investors holding HAL shares are advised to maintain their positions with a short-term target of ₹4,700 and ₹5,000, while managing a stop-loss at ₹4,300 per share.
Bagadia also recommends that new investors consider purchasing HAL shares, aiming for the same short-term targets of ₹4,700 and ₹5,000, with a stop-loss set at ₹4,300.
List of Maharatna Companies in India
With HAL’s inclusion, the tally of Maharatna companies in India now stands at 14. Here’s a list of the first 13 Maharatna companies:
1] National Thermal Power Corporation (NTPC) Ltd;
2] Oil and Natural Gas Corporation (ONGC) Ltd;
3] Steel Authority of India Limited (SAIL);
4] Bharat Heavy Electricals Limited (BHEL);
5] Indian Oil Corporation Limited (IOCL);
6] Hindustan Petroleum Corporation Limited (HPCL);
7] Coal India Limited (CIL);
8] Bharat Petroleum Corporation Limited (BPCL);
9] Power Grid Corporation of India Limited;
10] Power Finance Corporation (PFC);
11] Rural Electrification Corporation (REC) Limited;
