Jefferies Pick Share Of HAL As Its Top Bet With Target Price Of ₹6,220 From Current ₹4,821

Jefferies has named Hindustan Aeronautics Limited (HAL) as its top stock pick with a target price of ₹6,220, valuing the company at 35 times FY27 earnings — still 20% below its peak multiple. The brokerage highlights HAL’s strong earnings visibility, supported by high-margin service income, steady aircraft deliveries, and an order book of ₹1.89 lakh crore alongside a pipeline of ₹2.5 lakh crore, which extends growth prospects through FY30. Major upcoming deals include ₹65,000 crore for Tejas Mark 1A, ₹34,000 crore for Advanced Light Helicopters, and ₹60,000 crore in Sukhoi-30 upgrades expected over the next 3–5 years. While HAL has guided for 8–10% revenue growth in FY26, Jefferies believes double-digit growth is more likely for the next 3–5 years. Profits have already doubled in the past five years, return on equity remains above 24%, and the company continues to operate debt-free, cementing its position as Jefferies’ top defence sector bet. Should you inves in this stock? Here's what experts had to say