3 Defence Electronics, Electronic Systems and Specialised Batteries Stocks With a Strong Future Roadmap: Bharat Electronics, Centum Electronics and HBL Engineering

Defence electronics and power systems stocks let investors follow suppliers of the electronics and power sources inside defence equipment. Bharat Electronics, Centum Electronics and HBL Engineering cover defence electronics, electronic systems and specialised batteries.

This list covers three defence electronics and power systems stocks with complete current figures: Bharat Electronics, Centum Electronics and HBL Engineering. Every figure comes from the latest reported financials and the 21 October 2026 market close. Companies without complete current figures were left out.

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What Are Defence Electronics and Power Systems Stocks?

Defence electronics and power systems stocks are listed companies that make radars, electronic subsystems, batteries and safety systems for defence, space and railways. Their earnings depend on order books, qualification status and execution speed.

Defence Electronics and Power Systems Stocks at a Glance

On valuation, Bharat Electronics and HBL Engineering trade at a P/E below the industry P/E, while Centum Electronics trades above it, which reflects the growth the market already expects. Readers comparing defence electronics and power systems stocks should look at return on equity and debt together, since a high return earned with low debt is easier to sustain.

Why Do Defence Electronics and Power Systems Stocks Have a Strong Roadmap in India?

Defence electronics and power systems stocks have a strong roadmap in India because rising defence budgets and local sourcing policies are giving qualified suppliers long and repeat orders.

• Local sourcing. Government policy favours Indian-made electronics.
• Qualification barriers. Defence parts take years of customer approval.
• Railway safety. Rail safety systems add a second demand source.

Why Bharat Electronics Features Among These Defence Electronics and Power Systems Stocks

Among the defence electronics and power systems stocks on this list, Bharat Electronics is a Navratna public sector company that designs and makes radars, communication systems, electronic warfare suites, naval systems, electro-optics and avionics for the Indian armed forces, with a growing civil and export business.

Revenue rose from Rs 15,600 crore in FY22 to Rs 28,176 crore in FY26, a compound annual growth rate of 15.9%. Net profit grew from Rs 2,354 crore in FY22 to Rs 6,023 crore in FY26, which works out to a compound annual growth rate of 26.5%.

In the June 2026 quarter, revenue grew 24.2% year on year to Rs 5,717 crore, while net profit rose 8.7% to Rs 1,044 crore. The company has a return on equity of 25.3%, a debt to equity ratio of 0.00 and a market capitalisation of Rs 275,177 crore. The stock trades at a P/E of 44.8, below the industry P/E of 48.1.

Roadmap: The company works with a large order book from the defence ministry and continues to win new programmes in air defence, naval combat systems and communication. Indigenisation policies favour domestic suppliers, and the company is also widening into homeland security, railways and electronic manufacturing services.

What to watch: Watch the size of the order book, the pace of order execution and the order inflow reported with each quarterly result.

Why Centum Electronics Features Among These Defence Electronics and Power Systems Stocks

Among the defence electronics supplier shares on this list, Centum Electronics is a Bengaluru-based maker of electronic systems and sub-systems for defence, aerospace, space, industrial and medical customers, with design and manufacturing capability in India and overseas.

In the June 2026 quarter, revenue grew 13.7% year on year to Rs 206 crore. Revenue rose from Rs 788 crore in FY22 to Rs 969 crore in FY26, a compound annual growth rate of 5.3%.

Net profit grew from Rs 50.4 crore in FY25 to Rs 101 crore in FY26, a rise of 99.7%. The company has a return on equity of 29.3%, a debt to equity ratio of 0.36 and a market capitalisation of Rs 5,883 crore. The stock trades at a P/E of 119.3, above the industry P/E of 48.1.

Roadmap: The company designs electronics for demanding uses where reliability is critical and wins long-term programmes with global and Indian customers. Higher defence and space spending in India supports its order flow.

What to watch: Monitor order inflow in defence and aerospace and execution of long-term programmes.

Why HBL Engineering Features Among These Defence Electronics and Power Systems Stocks

Among the three companies on this list, HBL Engineering, formerly HBL Power Systems, makes specialised batteries, defence electronics, railway safety systems, and electronics for aerospace and industrial use.

The company has a return on equity of 36.8%, a debt to equity ratio of 0.03 and a market capitalisation of Rs 22,507 crore. The stock trades at a P/E of 28.8, below the industry P/E of 36.9.

Revenue rose from Rs 1,251 crore in FY22 to Rs 3,362 crore in FY26, a compound annual growth rate of 28.0%. Net profit grew from Rs 93.7 crore in FY22 to Rs 814 crore in FY26, which works out to a compound annual growth rate of 71.7%. In the June 2026 quarter, revenue grew 6.0% year on year to Rs 659 crore.

Roadmap: The company has grown its defence electronics and railway safety businesses, including systems for collision avoidance, and is expanding its battery lines. Orders from railways and defence customers provide a long runway.

What to watch: Monitor large railway and defence orders and their execution schedules.

Bharat Electronics vs Centum Electronics vs HBL Engineering on Key Financials

The table below sets the three defence electronics and power systems stocks side by side on revenue, profit and margin, using reported figures.

HBL Engineering posts the highest return on equity in this group at 36.8%. Bharat Electronics has the largest FY26 revenue at Rs 28,176 crore, and HBL Engineering shows the fastest revenue growth with a 28.0% compound annual rate. A useful habit with defence electronics and power systems stocks is to check each new quarterly result against the capacity plans the company described earlier.

The June 2026 quarter, the latest reported, gives a fresh read on momentum:

Key Risks to Check Before Investing in Defence Electronics and Power Systems Stocks

Every theme carries risks that deserve a check before any decision. For these defence electronics and power systems stocks, the main points are: Long-term defence electronics supplier shares holders usually track revenue growth, margins and cash flow side by side rather than relying on a single ratio.

• Order timing. Defence contracts can shift between quarters.
• Execution demands. Programmes need strict delivery and quality schedules.
• Valuation levels. Some of these companies trade at high earnings multiples, so growth must continue to justify them.

Treat this list as a starting point for research and not as a recommendation. Read the latest results presentation, check the management commentary on order books or capacity plans, and compare each company with its peers before you decide anything.

Use the Univest Stock Screener to filter defence electronics and power systems stocks by market capitalisation, P/E, ROE and growth, and build your own shortlist.

Final Thoughts on Defence Electronics and Power Systems Stocks

Defence electronics and power systems stocks reward investors who follow order books, deliveries and capacity additions together. Bharat Electronics, Centum Electronics and HBL Engineering each supply hard-to-replace parts. Based on the 21 October 2026 close, Bharat Electronics trades at Rs 371.2, Centum Electronics at Rs 3,904.7 and HBL Engineering at Rs 786.6. Valuation matters as much as growth, so compare each company's P/E with its industry P/E before adding any of these defence electronics and power systems stocks to a watchlist.

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What are defence electronics and power systems stocks?

Ans. Defence electronics and power systems stocks are listed companies that make radars, electronic subsystems, batteries and safety systems for defence, space and railways. Their earnings depend on order books, qualification status and execution speed. This list looks at three of them, Bharat Electronics, Centum Electronics and HBL Engineering, using reported FY22 to FY26 financials and the 21 October 2026 closing prices.

Which defence electronics and power systems stocks are covered in this list?

Ans. This list covers Bharat Electronics, Centum Electronics and HBL Engineering. Based on the 21 October 2026 close, Bharat Electronics traded at Rs 371.2, Centum Electronics at Rs 3,904.7 and HBL Engineering at Rs 786.6. Their return on equity ranges from 25.3% to 36.8%, and their revenue compound annual growth from FY22 to FY26 ranges from 5.3% to 28.0%.

Why do defence electronics and power systems stocks have a strong future roadmap in India?

Ans. Defence electronics and power systems stocks have a strong roadmap in India because rising defence budgets and local sourcing policies are giving qualified suppliers long and repeat orders. The main drivers are as follows. Local sourcing. Government policy favours Indian-made electronics. Qualification barriers. Defence parts take years of customer approval. Railway safety. Rail safety systems add a second demand source. Together these factors give the companies on this list a visible path for growth over the coming years.

How has Bharat Electronics performed financially?

Ans. Revenue rose from Rs 15,600 crore in FY22 to Rs 28,176 crore in FY26, a compound annual growth rate of 15.9%. Net profit grew from Rs 2,354 crore in FY22 to Rs 6,023 crore in FY26, which works out to a compound annual growth rate of 26.5%. In the June 2026 quarter, revenue grew 24.2% year on year to Rs 5,717 crore, while net profit rose 8.7% to Rs 1,044 crore. The company has a return on equity of 25.3%, a debt to equity ratio of 0.00 and a market capitalisation of Rs 275,177 crore. The stock trades at a P/E of 44.8, below the industry P/E of 48.1. Looking ahead, the company works with a large order book from the defence ministry and continues to win new programmes in air defence, naval combat systems and communication. Indigenisation policies favour domestic suppliers, and the company is also widening into homeland security, railways and electronic manufacturing services.

How has Centum Electronics performed financially?

Ans. Revenue rose from Rs 788 crore in FY22 to Rs 969 crore in FY26, a compound annual growth rate of 5.3%. Net profit grew from Rs 50.4 crore in FY25 to Rs 101 crore in FY26, a rise of 99.7%. In the June 2026 quarter, revenue grew 13.7% year on year to Rs 206 crore. The company has a return on equity of 29.3%, a debt to equity ratio of 0.36 and a market capitalisation of Rs 5,883 crore. The stock trades at a P/E of 119.3, above the industry P/E of 48.1. Looking ahead, the company designs electronics for demanding uses where reliability is critical and wins long-term programmes with global and Indian customers. Higher defence and space spending in India supports its order flow.

How has HBL Engineering performed financially?

Ans. Revenue rose from Rs 1,251 crore in FY22 to Rs 3,362 crore in FY26, a compound annual growth rate of 28.0%. Net profit grew from Rs 93.7 crore in FY22 to Rs 814 crore in FY26, which works out to a compound annual growth rate of 71.7%. In the June 2026 quarter, revenue grew 6.0% year on year to Rs 659 crore. The company has a return on equity of 36.8%, a debt to equity ratio of 0.03 and a market capitalisation of Rs 22,507 crore. The stock trades at a P/E of 28.8, below the industry P/E of 36.9. Looking ahead, the company has grown its defence electronics and railway safety businesses, including systems for collision avoidance, and is expanding its battery lines. Orders from railways and defence customers provide a long runway.

What risks should investors check before buying defence electronics and power systems stocks?

Ans. Investors should check a few risks before buying defence electronics and power systems stocks. Order timing. Defence contracts can shift between quarters. Execution demands. Programmes need strict delivery and quality schedules. Valuation levels. Some of these companies trade at high earnings multiples, so growth must continue to justify them. Reading the latest results presentation and comparing each company with its peers helps judge how these risks apply to each stock.

Is this list of defence electronics and power systems stocks investment advice?

Ans. No. This article is educational and uses publicly available data as of the 21 October 2026 close. Please verify figures on NSE and BSE, read company filings and consult a SEBI registered adviser before investing. Univest is SEBI registered research analyst INH000013776.