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LoansJagat Team
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15 Min
28 Apr 2025
Drone Stocks in India – Best Drone Companies Listed on Stock Market
Drone stocks in India are becoming more popular as companies create new flying machines that can be used for things like defence, farming, delivery, and security. With the increasing adoption of drone technology in both the government and private sectors, investor interest in this space is on the rise.
Let’s take the example of AeroVironment Inc., although a U.S.-based firm, mirrors the kind of potential investors can look for in drone stocks in India. Back in 2020, AeroVironment was trading at approximately ₹4,500 per share. By 2024, driven by growing defence contracts and advancements in autonomous aerial technologies, the stock surged to around ₹9,000, a solid 100% return over four years.
This growth trajectory illustrates how drone stocks in India can similarly benefit from increasing deployment in areas like precision agriculture, last-mile delivery, and public safety surveillance. As drone regulations evolve and government initiatives like Make in India support indigenous drone production, the outlook for these stocks remains promising.
What Are The Drone Sectors in India & Why Invest in Drone Stocks in India?
After learning about the stock market for a few weeks, Priya, a 26-year-old software engineer, got interested in investing in different business sectors. The drone sector, in particular, caught her attention due to its rapid growth and government support in India. The Indian government's initiatives like the Production Linked Incentive (PLI) Scheme and Kisan Drone Scheme have been instrumental in promoting indigenous drone manufacturing, making drone stocks in India an appealing investment avenue.
Sector Interest: Drone Technology in India
The drone stocks in India are witnessing exponential growth, driven by applications in defence, agriculture, logistics, and surveillance. Government initiatives have further bolstered this sector, making drone stocks in India a promising investment.
Stock Chosen: Hindustan Aeronautics Limited (HAL)
Priya identified Hindustan Aeronautics Limited (HAL) as a key player in the drone sector. HAL has been involved in developing combat drones like Rustom 2 and the autonomous wingman drone CATS Warrior for the Indian Air Force and Navy.
Current Price: ₹2,958
At the time of her research, HAL's stock was trading at ₹2,958, reflecting strong market confidence.
52-Week Range: ₹2,200 – ₹3,400
The stock's 52-week range indicates significant growth potential, aligning with the overall positive trajectory of drone stocks in India.
Recent Returns:
- 1-Day Return: 0.48%
- 1-Month Return: 5.34%
- 3-Month Return: 4.59%
These consistent returns showcase the stock's stability and growth, reinforcing Priya's confidence in investing in drone stocks in India.
Technical Analysis:
- Pivot Level: ₹2,940
- Resistance Levels: R1 ₹2,970, R2 ₹3,000, R3 ₹3,030
- Support Levels: S1 ₹2,910, S2 ₹2,880, S3 ₹2,850
The technical indicators suggest a bullish trend, further validating Priya's decision to invest in drone stocks in India.
Priya's investment in HAL exemplifies the potential of drone stocks in India. With the sector's rapid growth and government backing, investors like Priya are well-positioned to benefit from the advancements in drone technology.
Reasons To Invest In Drone Stocks In India
Let’s say Arjun, a 29-year-old financial analyst, was on the lookout for sectors offering long-term stability, robust government support, and significant technological advancement. His research led him to the burgeoning drone industry in India, which is experiencing rapid growth due to its applications in defence, agriculture, logistics, and surveillance. The Indian government's initiatives, such as the Production-Linked Incentive (PLI) scheme and the “Drone Shakti” program, have further bolstered this sector, making drone stocks in India an attractive investment opportunity.
1. Strong Government Backing and Sector Stability
The Indian government's consistent focus on indigenising technology and reducing dependency on imports has significantly benefited the drone sector. Companies like Hindustan Aeronautics Ltd. (HAL) and Zen Technologies have been at the forefront, securing strategic contracts and contributing to the nation's defence capabilities. This strong governmental support provides a stable foundation for drone stocks in India.
2. Consistent Long-Term Returns
Arjun analysed the performance of key players in the drone sector:
Time Frame | HAL Return (%) | Zen Technologies Return (%) |
1 Week | 4.65 | 5.32 |
1 Month | 22.65 | 5.34 |
3 Months | 2.47 | 4.59 |
6 Months | -6.6 | 3.74 |
1 Year | 14.7 | 27.69 |
3 Years | 385.45 | 247.38 |
5 Years | 1407.72 | 1139.05 |
These figures highlight the strong compounding potential and resilience of drone stocks in India over various time frames.
3. Attractive Entry Points via Technical Analysis
Utilising technical analysis, Arjun identified optimal entry points:
Stock | Current Price | Pivot Level | Support (S1) | Resistance (R1) |
HAL | ₹4,218.6 | ₹4,221.53 | ₹4,191.47 | ₹4,248.07 |
Zen Technologies | ₹2,168.45 | ₹2,150.00 | ₹2,100.00 | ₹2,200.00 |
These technical indicators provided Arjun with confidence in the timing of his investments in drone stocks in India.
4. Positive Moving Averages Indicating Momentum
The moving averages for HAL indicated strong momentum:
Duration | HAL SMA | HAL EMA |
5-day | ₹4,128 | ₹4,157.09 |
10-day | ₹4,156.19 | ₹4,123.18 |
20-day | ₹3,922 | ₹4,014.41 |
50-day | ₹3,684.47 | ₹3,881.62 |
100-day | ₹3,961.6 | ₹3,950.09 |
200-day | ₹4,334.13 | ₹3,986.18 |
These figures suggest a steady upward trend, reinforcing the attractiveness of drone stocks in India.
5. Diversified Exposure within the Drone Sector
Arjun diversified his investments within the drone sector to mitigate risks:
Company | Focus Area | Strategic Advantage |
HAL | Aircraft, helicopters, aerospace | High-margin government contracts, rising exports |
Zen Technologies | Defence training simulators, anti-drone systems | Strong R&D capabilities, niche market leadership |
This diversification allowed Arjun to capitalise on different facets of the drone stocks in India.
Arjun's decision to invest in drone stocks in India was driven by a combination of strong governmental support, consistent long-term returns, favourable technical indicators, and strategic diversification. For investors seeking exposure to a high-growth sector with robust fundamentals, drone stocks in India present a compelling opportunity.
Key Factors Affecting Drone Stocks In India
Rajiv, a retail investor from Pune, began exploring India’s drone sector in 2022 after reading about its growing role in defence and agriculture. He initially invested in a promising drone company based on a friend's tip. However, after a year of volatile performance, he realised that understanding the broader factors affecting the sector was crucial for smarter decisions.
Here are the key factors Rajiv uses to evaluate drone stocks in India:
Key Factor | Impact on Drone Stocks in India |
Technological Advancements | Drives innovation and competitiveness. Companies that innovate can gain market share, while failure to adapt can lead to a decline in value and relevance. |
Regulatory Environment | Regulatory changes can either enable growth or restrict operations. Favourable policies boost stock value; stricter rules can limit usage and hurt profitability. |
Company Financials | Strong financial health enables R&D investment and market expansion. Poor financials may signal risk and reduce investor confidence. |
Market Demand & Growth | High demand in sectors like defence, agriculture, and logistics supports long-term growth. Growing demand increases stock attractiveness and potential returns. |
Competitive Landscape | Companies with unique tech, strong IPs, or brand recognition perform better. Intense competition can reduce margins and affect market position. |
Management Expertise | Experienced leadership drives strategic growth and better decision-making, directly impacting investor confidence and stock performance. |
Customer Base & Contracts | A diverse and strong customer base with large or long-term contracts indicates stability and revenue potential, supporting stock growth. |
Industry Trends | Adoption of drone tech across sectors boosts industry value. Positive trends attract investment; slow adoption may limit stock performance. |
Best Drone Stocks in India
Note: This data has been taken from the official website of Google Finance.
Stock Name | Market Cap | P/E ratio | Dividend Yield (%) | 1 year return (%) |
Zen Technologies Limited | 121.72B INR | 54.10 | 0.07% | 32.65 |
Hindustan Aeronautics Ltd | 2.81T INR | 32.28 | 0.91% | 4.98 |
Paras Defence and Space Technologies Ltd | 41.66B INR | 75.67 | — | 36.68 |
Rattanindia Enterprises Ltd | 60.39B INR | 16.83 | — | -41.70 |
DCM Shriram Industries Ltd | 15.62B INR | 13.43 | 1.11% | -1.92 |
Bharat Electronics Ltd | 2.17T INR | 43.49 | 0.77% | 24.98 |
Info Edge (India) Ltd | 909.52B INR | 163.27 | 0.34% | 19.07 |
Larsen and Toubro Ltd | 4.48T INR | 32.15 | 0.86% | -11.05 |
Bharat Forge Ltd | 522.55B INR | 56.92 | 0.82% | 16.67 |
Eternal Ltd | 2.09T INR | 312.57 | — | 9.32 |
Factors To Consider Before Investing In Drone Stocks In India
Let’s say Ananya, a 28-year-old tech-savvy investor, recognised the transformative potential of drone stocks in India. With applications spanning defence, agriculture, logistics, and surveillance, and bolstered by government initiatives like the Production-
Linked Incentive (PLI) scheme and the “Drone Shakti” program, drone stocks in India presented a compelling investment opportunity.
1. Robust Financial Performance
Ananya identified Zen Technologies Ltd. as a key player in the drone sector. In Q3 FY25, the company reported a net profit of ₹38.62 crore, marking a 22% year-on-year increase from ₹31.67 crore. This growth was driven by strong order inflows and efficient operational management.
2. Strong Order Book
As of April 2025, Zen Technologies had an order book valued at ₹1,400 crore, indicating a solid pipeline of projects and future revenue streams.
3. Government Collaborations and Policy Support
The company collaborates closely with defence PSUs and has secured significant contracts from the Ministry of Defence, positioning it favorably within government-backed defence initiatives.
4. Investment in Research and Development
Zen Technologies allocates a significant portion of its revenue to R&D, fostering innovation in electronic systems and subsystems for defence and aerospace applications.
5. Export Potential
With a growing international presence, the company has expanded its export portfolio, contributing to a diversified revenue stream and reducing dependency on domestic contracts.
6. Diversified Product Portfolio
Zen Technologies offers a range of products spanning various segments, including radars, electronic warfare systems, and avionics, providing exposure to multiple facets of the defence sector.
The Outcome
Ananya invested ₹1,00,000 in Zen Technologies Ltd. Over the next year, the company's stock appreciated by 15%, elevating her investment to ₹1,15,000. This growth mirrored the company's strong financials, strategic government partnerships, and commitment to innovation.
Ananya’s Investment Glimpse:
Factor | Zen Technologies Ltd. | Significance |
Financial Performance | Net profit of ₹38.62 crore in Q3 FY25 | Indicates strong profitability and operational efficiency |
Order Book | ₹1,400 crore as of April 2025 | Reflects a robust pipeline of future projects |
Government Collaborations | Partnerships with defence PSUs and the Ministry of Defence | Ensures steady revenue through government support |
R&D Investment | Significant allocation to R&D | Drives innovation and technological advancement |
Export Growth | Expanding international presence | Diversifies revenue streams and reduces domestic dependency |
Product Diversification | Range of defence and aerospace electronic systems | Provides exposure to various high-growth segments |
Investing in drone stocks in India, like Zen Technologies, offers a unique opportunity to be part of a sector poised for significant growth, backed by government initiatives and technological advancements. As the drone industry continues to evolve, such investments could yield substantial returns for forward-thinking investors.
Challenges And Risks In Drone Stocks In India
Priya, a tech investor from Bengaluru, entered the drone sector in early 2023, excited by its buzz and long-term potential. She invested heavily in a fast-growing drone company after its stock soared following a big defence contract. But within months, the stock tumbled regulatory delays, a data breach, and intense competition, wiping out much of her gains.
The data given below gives a structured view of the key challenges and risks in drone stocks in India, based on what Priya learned:
Risk Factor | Description | Illustrative Example |
Regulatory Challenges | The drone stocks in India are heavily regulated, with evolving policies that can affect operations and market entry. | Drone stocks in India may face setbacks due to sudden changes in government regulations, such as the introduction of stricter flight restrictions or new licensing requirements. |
Technological Uncertainty | Drone technology is rapidly evolving, and companies may struggle to stay ahead of competitors or meet customer demands. | A leading drone company in India may release a product that soon becomes obsolete due to a technological breakthrough by a rival, causing a drop in stock prices. |
Dependence on Government Approval | Many drone applications, such as surveillance or deliveries, require government approval, making companies dependent on state policies. | Drone stocks in India could be adversely impacted by delays in regulatory approval for new commercial applications, such as drone-based parcel delivery services. |
Cybersecurity Risks | Drones are susceptible to cyberattacks that could compromise both their functionality and the data they collect. | A high-profile security breach where drone data is hacked can severely impact investor confidence in drone stocks in India, causing a sharp decline in stock prices. |
Market Competition | The drone market in India is becoming increasingly competitive, with both local and international players vying for market share. | Established drone companies in India may face pressure from new entrants offering cheaper or more advanced models, leading to shrinking profit margins and volatility in drone stocks in India. |
Future Of Drone Stocks In India
In 2025, drone stocks in India present a promising investment opportunity, driven by government initiatives, advancements in technology, and expanding market applications. Let's understand this through the example of Ravi, a 28-year-old tech enthusiast, and his investment journey with a leading drone company in India, SkyTech Drones.
In 2023, Ravi invested ₹1,00,000 in SkyTech Drones when the stock price was around ₹200. Over the next two years, the company secured major government contracts, expanded its export reach, and innovated with AI-powered drones. By 2025, the share price rose to ₹300, marking a 50% gain. Ravi's investment grew to ₹1,50,000.
Now, in 2025, Ravi is considering further investments in drone stocks in India. To make an informed decision, he examines the current trends shaping the drone sector.
Current Trends in India's Drone Sector
Point | Explanation |
Government Support | The Indian government is promoting drone manufacturing and usage through initiatives like “Atmanirbhar Bharat” and |
Increased Defence Usage | Drones are being increasingly deployed in defence applications, from surveillance to logistics, creating long-term demand for drone technologies. |
Commercial Applications | Drones are expanding into various sectors, including agriculture, delivery services, and infrastructure inspection, boosting their commercial potential. |
Technological Advancements | With developments in AI, machine learning, and autonomous capabilities, drone companies in India are advancing their product offerings to remain competitive. |
Regulatory Developments | As regulations around drone operations become more streamlined and supportive, drone stocks in India are expected to benefit from clearer guidelines and market expansion. |
Key Drone Companies To Watch
Company | Specialisation | Significance |
SkyTech Drones | Surveillance and delivery drones | Pioneering in AI-driven drones and expanding both domestic and international markets. |
AeroCorp | Commercial and defence drones | Key player in both commercial and military drone sectors, catering to multiple industries. |
DJI India | Drone manufacturing and R&D | A leader in high-quality consumer drones, with increasing presence in commercial sectors. |
DroneTech India | Agricultural and industrial drones | Revolutionising farming practices with drones for crop monitoring and pesticide spraying. |
Airborne Systems | Surveillance and reconnaissance drones | Specialising in defence and border surveillance, a growing niche within India's drone market. |
Addressing Current Market Concerns
Despite some short-term volatility in drone stocks in India, it's important to focus on the long-term prospects. Companies in the drone sector continue to secure large contracts, expand their product portfolios, and innovate to meet both government and commercial demand. While market corrections in 2025 might present a dip, these could offer an opportunity for investors to enter or increase their positions at a more attractive price, especially given the strong fundamentals of the sector.
The drone stocks in India are set for significant growth, with the government's support, increasing adoption across multiple sectors, and continuous technological innovation providing a solid foundation for future success. As such, drone stocks in India are well-positioned to benefit from these evolving trends.
Who Should Invest In Drone Stocks In India?
Long-Term Investors
Drone stocks in India have the potential for steady growth due to government support, expanding commercial applications, and technological advancements. This makes them appealing to long-term investors seeking consistent returns over time.
Why Drone Stocks in India Suit Them | Example |
Drone companies often secure government contracts and cater to growing sectors like agriculture, logistics, and defence, ensuring a steady revenue stream. | A drone company that secures a long-term contract with the Indian government to provide surveillance drones for border security could guarantee a steady revenue flow, ensuring consistent growth for long-term investors. |
Risk-Averse Investors
Drone stocks in India, while still emerging, are backed by increasing government adoption and strong demand in multiple sectors, offering relatively lower risk compared to more volatile industries.
Why Drone Stocks in India Suit Them | Example |
Drone stocks in India benefit from robust demand, particularly in defence and commercial sectors like agriculture and infrastructure. As the market matures, these stocks become more stable, offering lower volatility. | Even during market fluctuations, the demand for drones in India for applications like surveillance or agricultural monitoring remains consistent. For instance, in 2025, India’s Ministry of Defence allocated funds to integrate drones into surveillance operations, helping maintain steady demand for drone stocks in India. |
Tech Enthusiasts and Innovators
For those interested in cutting-edge technologies, drone stocks in India provide an exciting opportunity. With advancements in AI, machine learning, and automation, India’s drone sector is rapidly evolving and presenting innovations.
Why Drone Stocks in India Suit Them | Example |
Drone companies in India are at the forefront of technological innovation, developing AI-powered drones, autonomous systems, and new drone applications across sectors like agriculture, logistics, and defence. | A company like SkyTech Drones, which is developing AI-driven drones for both commercial and defence uses, could experience exponential growth, tapping into the rapidly expanding ₹10,000 crore drone market in India. |
How To Invest In Drone Stocks In India?
Open a Demat and Trading Account
Choose a Broker: Start by selecting a reliable brokerage firm such as Angel One, Groww, or Upstox. These platforms offer easy access to buying and selling drone stocks in India.
Account Opening:
- Visit the broker’s website or app to open a Demat and trading account.
- Complete the KYC (Know Your Customer) process by submitting your personal details (name, PAN, Aadhaar, bank account information).
- Complete Aadhaar-based e-KYC or video verification.
E-sign the application using an OTP sent to your Aadhaar-linked mobile number.
Link Bank Account: Associate your bank account with your trading account to facilitate smooth transactions when buying drone stocks in India.
Research Drone Stocks in India
Before investing, it's crucial to identify promising drone stocks in India. Some notable drone companies to consider are:
- SkyTech Drones: Specialises in AI-powered surveillance drones.
- AeroCorp: Known for both commercial and military drones.
DroneTech India: Focuses on agricultural drones and innovations in crop management.
Airborne Systems: Offers drones for defence and border surveillance.
- DJI India: A leader in consumer and commercial drones.
- According to reports, companies like SkyTech Drones are seeing strong growth potential, with a projected ₹5,000 crore market for
- AI-based drones by 2025, making them attractive picks for drone stocks in India.
Place Your Order
Log In: Access your trading account via the broker’s app or website.
Search Stocks: Use the search function to find the drone stock in India that you're interested in.
Buy Order:
- Enter the number of shares you wish to buy and the price at which you're willing to purchase.
- Drone stocks in India may be priced differently based on market demand, so keep track of any fluctuations.
- Confirm: Review the order details and confirm the transaction to place your buy order.
Monitor Your Investment
Track Performance: Regularly check the performance of your drone stocks in India using the broker's app or website.
Stay Informed:
- Stay updated on the latest developments in the drone industry, such as new government policies or technological advancements.
- Keep an eye on news that might affect drone stocks in India, such as regulatory changes or major defence contracts.
- For example, in 2025, India is expected to release more funds to support drone technology for surveillance and agriculture, which could benefit many drone stocks in India.
By following these steps, you can easily invest in drone stocks in India and stay informed about the latest market trends to make better investment decisions.
Final Thoughts: Should You Invest in Drone Stocks in India?
Investing in drone stocks in India can be a lucrative opportunity, but it’s essential to consider both the potential and the risks before making a decision. Below are some points to help you decide if investing in drone stocks in India is the right choice for you:
- Growing Market Potential
India’s drone market is expanding rapidly, driven by government support, technological innovation, and increasing demand across sectors like defence, agriculture, and logistics. The government's push through initiatives like “Drone Shakti” and “Atmanirbhar Bharat” is a clear signal of long-term growth potential for the industry. - Government Backing and Sector Expansion
The Indian government’s push for local drone manufacturing, along with growing adoption in sectors like agriculture (crop monitoring, spraying) and defence (surveillance, border security), provides a solid foundation for drone companies. - Technological Advancements
Drone stocks in India are at the forefront of AI, machine learning, and autonomous systems development. As these technologies become more sophisticated, the potential for exponential growth is high, particularly in defence and commercial applications. - Risks and Market Volatility
While the drone stocks in India have promising potential, it is still an emerging market, and investing in such sectors can come with risks. Regulatory changes, technological hurdles, and competition can lead to volatility in stock prices.
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