Paras Defence Stock Plummets 8%: Is It Time to Exit?

Quick Summary

• Recent stock Performance: paras Defense and Space Technologies Ltd.’s stock price fell by 8.02% on Monday, July 7, 2025, to an intraday low of Rs 858.60 following a recent proclamation of a 1:2 stock split.
• Historical growth: Despite the decrease, the defence company’s stock has surged by 881.25% since its September 2021 IPO price of rs 175 per share (adjusted to Rs 87.50 post-split).
• Volatility Alert: The stock is listed under long-term ASM (Additional Surveillance Measure) by BSE Sensex and Nifty due to high price movement volatility.
• Technical Analysis:

– support levels are identified in the range of Rs 856-850 and further at Rs 790-780.
– Resistance levels lie between Rs 950-970; breaking above this range signals potential growth.
– Analysts suggest profit booking at current levels despite optimistic technical indicators.

• Company Overview: Paras Defence specializes in defence optics, electronics, heavy engineering, electromagnetic pulse protection solutions, and niche technologies catering to space and defence sectors.
• Promoter stake Update: As of May end in FY25, promoter group held a reduced stake of about 53.74%, down by 3.31 percentage points compared to Q1 FY25.

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