Bharat Forge shares hit fresh 52-week high; here's key trigger

Shares of Bharat Forge surged over 2 per cent in Wednesday's trade to hit a fresh 52-week high after the company secured a Rs 1,662 crore contract from the Ministry of Defence.

The bullish sentiment on the counter was triggered by a significant order win, as the defence major announced signing a contract worth Rs 1,661.9 crore with the Ministry of Defence (MoD).

Reacting to the development, shares of Bharat Forge rose as much as 2.55 per cent to touch a 52-week high of Rs 1,491.95 on the BSE, climbing against its previous close of Rs 1,454.90. The stock has been on an upward trajectory, having gained more than 12 per cent in 2025 so far. At current price, the company commands a market cap of Rs 69,705 crore.

In a regulatory filing, Bharat Forge revealed that it has signed its largest small arms contract with the MoD. The contract entails the supply of 255,128 close quarter battle (CQB) carbines (5.56 x 45 mm) to the Indian Army.

The company stated that the order is to be executed over a period of five years. Highlighting the indigenous nature of the deal, Bharat Forge noted that the 5.56 x 45 mm CQB Carbine is an indigenously designed, developed, and manufactured (IDDM) compact firearm. It was jointly developed by the Armament Research & Development Establishment (ARDE), DRDO, and Bharat Forge.

"Aligned with the Atmanirbhar Bharat mission, we, Bharat Forge, and our wholly-owned defence subsidiary Kalyani Strategic Systems Limited (KSSL), remain dedicated to equipping the Indian Armed Forces with 'Made in India' advanced defence equipment and platforms," the company said in its press release.

On the technical front, according to data from Trendlyne, the counter's relative strength index (RSI) stands at 63, indicating it is in the mid-range. Similarly, the money flow index (MFI) is at 61.2, which is also considered mid-range.