HAL Share Price Rises 3% as Jefferies Sets Rs 6,800 Target on Tejas Mk1A Deliveries: Multibagger Defence Stock Eyes 43% Upside

HAL share price was among the top defence gainers on Wednesday. The stock opened at Rs 4,640, climbed to an intraday high of Rs 4,701 on the NSE and was trading at Rs 4,694.80 around 12:38 PM, up 3.2% from the previous close of Rs 4,549.30.

The move in HAL share price came after Jefferies reiterated its bullish stance. Hindustan Aeronautics has been a multibagger, with the stock gaining around 600% over the past five years, and the brokerage believes there is still meaningful upside if Tejas deliveries begin.

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Why Is HAL Share Price Rising Today?

HAL share price is rising because Jefferies retained its Buy rating with a target of Rs 6,800, citing the approaching start of Tejas Mk1A deliveries. Jefferies noted that HAL completed deliveries under its Tejas Mk1 trainer aircraft contract on 18 September 2026, and that chairman and managing director Ravi Kota, according to media reports, was confident of delivering Tejas Mk1A aircraft this year.

Jefferies said the delivery of even one Tejas Mk1A aircraft would be a key re-rating trigger for the stock, since Tejas Mk1A makes up about 43% of HAL's order book. It also highlighted Kota's long association with India's Light Combat Aircraft programme, including expanding Tejas Mk1A production at Nashik, increasing indigenous content and developing private-sector suppliers for major fuselage assemblies.

Jefferies HAL Target Price Explained

The Jefferies target of Rs 6,800 values HAL at 35 times estimated September 2028 earnings per share. According to the brokerage, that multiple is 33% below HAL's peak multiple and a 13% discount to the multiple it uses for Bharat Electronics. The brokerage said the target implies about 43% upside; from Wednesday's price of about Rs 4,695, the gap works out to roughly 45%.

Here is where HAL share price and key ratios stood around 12:38 PM on 30 September 2026, based on exchange data.

Metric	Value
Stock	Hindustan Aeronautics
Current price	Rs 4,694.80
Day's high	Rs 4,701.00
Previous close	Rs 4,549.30
Jefferies target	Rs 6,800
Market capitalisation	About Rs 3,12,318 crore
P/E (TTM)	33.51
Industry P/E	47.85
P/B ratio	7.61
ROE	22.21%
Debt to equity	0.00

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Tejas Mk1A: Why Delays Have Weighed on the Stock

The Tejas Mk1A programme has been the biggest swing factor for HAL share price. HAL signed a Rs 48,000 crore contract in 2021 for 83 Tejas Mk1A fighters, and the government later approved about Rs 62,000 crore for 97 more. Deliveries were delayed mainly because of slow supplies of F404 engines from GE Aerospace.

Earlier in 2026, HAL said it had received its sixth F404 engine and expected the engine programme to stabilise by August or September, with deliveries to follow once the aircraft meet the Indian Air Force's full operational requirements. The timeline has slipped before, which is why HAL share price watchers are watching for the first handover as proof that execution is back on track.

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HAL Stock Valuation and Order Book

HAL stock trades at about 33.5 times trailing earnings, below the industry P/E of about 47.85 for aerospace and defence. The company is debt-free and earns a return on equity of about 22%, which supports its premium to the broader market.

Its order book, the main driver of HAL share price over the long term, is strong. Beyond Tejas Mk1A, HAL has a long pipeline across helicopters, trainer aircraft, engines and future programmes such as Tejas Mk2 and the Advanced Medium Combat Aircraft. Manufacturing revenue is expected to rise as Tejas Mk1A and HTT-40 trainer deliveries begin, according to management commentary.

Key Risks

• Delivery delays: Further slippage in Tejas Mk1A handovers would push back revenue and could disappoint investors.
• Engine supply: Dependence on GE Aerospace for F404 engines remains a bottleneck.
• Customer concentration: Most revenue comes from the Indian armed forces, so orders depend on government budgets and timing.
• Valuation: Although below the industry average, a P/E ratio above 30 leaves room for correction if growth slows.

Bottom Line on HAL Share Price

HAL share price rose over 3% on Wednesday after Jefferies reiterated a Buy call with a Rs 6,800 target, betting that the first Tejas Mk1A deliveries will re-rate the multibagger defence stock. With Tejas Mk1A forming about 43% of the order book, execution on deliveries will decide whether that upside plays out. Consult a SEBI-registered advisor before investing.

Frequently Asked Questions on HAL Share Price

Why is HAL share price rising today?

Ans. HAL share price rose as much as 3.33% to Rs 4,701 on 30 September 2026 after Jefferies retained its Buy rating with a target of Rs 6,800. The brokerage sees Tejas Mk1A deliveries, expected this year, as a key re-rating trigger.

What is the Jefferies target price for HAL?

Ans. Jefferies has a Buy rating on Hindustan Aeronautics with a target of Rs 6,800, which the brokerage said implies about 43% upside. The target values HAL at 35 times estimated September 2028 earnings per share. This is a brokerage estimate, not a guaranteed return.

Why is Tejas Mk1A important for HAL?

Ans. Tejas Mk1A makes up about 43% of HAL's order book, according to Jefferies. Delays in GE F404 engine supplies held back deliveries, so the first handovers would unlock revenue and could improve sentiment on the stock.

When will HAL deliver Tejas Mk1A?

Ans. HAL chairman Ravi Kota has expressed confidence about delivering Tejas Mk1A aircraft this year, according to media reports cited by Jefferies. HAL completed deliveries under its Tejas Mk1 trainer contract on 18 September 2026.

How much has HAL share price gained in 5 years?

Ans. HAL has been a multibagger, with the stock gaining around 600% over the past five years, according to market reports. It is one of India's largest listed defence companies, with a market value of about Rs 3,12,318 crore.

Is HAL stock expensive?

Ans. HAL trades at about 33.5 times trailing earnings, below the industry P/E of about 47.85. It is debt-free with return on equity of about 22%, but delivery delays remain a key risk.

Should I buy HAL shares now?

Ans. HAL has a large order book and brokerage support, but delivery timelines for Tejas Mk1A have slipped before. Consult a SEBI-registered advisor before investing.