Business
HAL shares fall 10% in 3 days after Q4 results but Jefferies, Nuvama, other brokerages are raising target prices, here’s why
The company on Thursday reported a consolidated net profit of Rs 4,196 crore for the March-ended quarter, marking a 6% year-on-year (YoY) rise from the Rs 3,977 crore profit reported in the year-ago period. The defence major’s revenue from operations rose 2% YoY to Rs 13,942 crore in Q4FY26, from Rs 13,700 crore reported in the corresponding quarter of the previous financial year.
Hindustan Aeronautics shares had closed marginally lower on Thursday after the results. The stock crashed 5% on Friday and another 5% on Monday to hit an intraday low of Rs 4,175 apiece on NSE in the morning trading hours. The shares of the company have fallen by over 12% in one week and by around 5% in one month. The stock has declined by over 18% in one year.
Jefferies on HAL
Jefferies retained its ‘Buy’ call on the shares of HAL, increasing its target price to Rs 6,300 apiece. This implies an upside potential of nearly 44% from the stock’s previous closing price of Rs 4,386.20 apiece on NSE.
The international brokerage highlighted that the company’s March quarter EBITDA was 10% below its estimates, led by a 9% revenue miss. “However, PAT was 3% above expectations, given better other income. We lower FY27E-28E EPS by 3-8% factoring lower gross margins that were seen in the March quarter. We believe as execution picks up, particularly delivery of Tejas Mk1A aircraft in next 3 months, the stock should move higher,” it said.
Nuvama on HAL
Nuvama Institutional Equities also maintained its ‘Buy’ rating on HAL shares, citing inexpensive valuations. It raised the target price to Rs 5,040 apiece for the stock, implying an upside potential of nearly 15% from the stock’s previous closing price.
The brokerage highlighted that the firm reported a tepid quarter with execution growing merely 1.8% YoY. That said, Nuvama added that the backlog of Rs 2.54 trillion (~7.7x FY26 sales) continues to provide long-term visibility, but execution ramp-up across key platforms (LCA Tejas, ALH, HTT-40) are critical to drive growth momentum.
“Ramp-up in LCA Tejas deliveries in H2FY27, contingent on timely supplies from GE remain key monitorable. Execution across ALH, HTT-40 and Sukhoi programmes, along with conversion of the INR900bn order pipeline, are critical for sustaining growth visibility. Margin sustainability amid improving execution coupled with new order inflows remain key re-rating triggers,” Nuvama further said.
Equirus Securities on HAL
Equirus Securities upgraded its rating on the shares of HAL to ‘Long’ from ‘Short’ following the recent valuation correction, while raising its target price to Rs 5,330 apiece, implying an upside potential of more than 21%. The brokerage highlighted that the firm reported another execution-constrained FY26, with revenue rising a mere 7% as LCA Mk1A deliveries slipped entirely into FY27.
“We cut FY27/FY28 EBITDA estimates by 10%/9% to reflect deferred execution ramp-up, though higher other income largely cushions EPS impact,” it added.
JM Financial on HAL
JM Financial, however, downgraded HAL shares to ‘Add’ from ‘Buy’, while reducing the target price to Rs 4,770 apiece. The domestic brokerage said that HAL reported a weak set of results for Q4 FY26.
Also read: Delhivery shares tumble 5% after Q4 results. Why Nuvama, Elara & other brokerages remain bullish
“We cut our EPS estimates for FY27/28 by ~2% each to account for the delay in deliveries of Tejas Mk1A and lower profitability. We cut our gross margin estimates to account for a weaker gross margin in FY26. This is partially offset by lower provisions. We expect ~15% revenue CAGR driving ~10% EPS CAGR over FY26–28E,” it added.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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Erika Kirk Demands Full Courtroom Transparency in Tyler Robinson’s Preliminary Hearing, Judge Denies Motion
PROVO, Utah — Erika Kirk, the widow of conservative activist Charlie Kirk, filed a new motion this week demanding that all evidence presented during the preliminary hearing for the man accused of killing her husband be made visible to everyone in the courtroom, a request a Utah judge ultimately denied as the proceedings continued into their fourth day Thursday.
Tyler Robinson, 23, is charged with 10 crimes in connection with the September 10, 2025, shooting death of Kirk, who was fatally shot while speaking at a “Prove Me Wrong” event at Utah Valley University in Orem. The charges include aggravated murder, a capital first-degree felony; felony discharge of a firearm causing serious bodily injury, a first-degree felony; two counts of obstruction of justice, a second-degree felony; two counts of tampering with a witness, a third-degree felony; and committing a violent offense in the presence of a child, a Class A misdemeanor. Robinson has not been convicted, and the charges against him remain allegations that prosecutors must prove beyond a reasonable doubt at trial.
The preliminary hearing, which began Monday and is scheduled to run through Friday, is intended to determine whether prosecutors have established probable cause for the case to proceed to trial. Judge Tony Graf has presided over several days of testimony and argument, including disputes over how much evidence can be shown publicly in the courtroom given ongoing concerns from Robinson’s defense team about protecting his right to a fair trial.
In a supplemental filing submitted Wednesday evening, attorney Jeffrey Neiman, representing Erika Kirk on behalf of the victim’s family, argued that Kirk and Charlie Kirk’s parents had traveled to the courthouse specifically to observe the evidence being presented against the man accused of killing their husband and son, only to find themselves unable to view certain exhibits admitted during testimony. “At certain points throughout the preliminary hearing, the Kirk family sat in the room while evidence was admitted but not presented for their viewing,” the filing stated, according to multiple outlets that reviewed the document. “They were present in body, yet denied the very thing their presence was meant to secure: the ability to meaningfully observe the preliminary hearing.”
The filing went further, characterizing the current process as insufficient to satisfy the family’s rights as crime victims under Utah law. “The right ‘to be present’ is hollow if the victim or his representative is physically in the room but is prevented from seeing the evidence the Court is receiving,” Neiman wrote. “A right to attend that does not include the ability to perceive what is happening is not meaningful presence at all.”
Neiman’s filing specifically requested three things: that all exhibits admitted into evidence during the first three days of the hearing but not shown in the courtroom be published during Thursday’s proceedings; that any exhibit admitted during the remainder of the hearing be displayed openly and in real time for everyone lawfully present; and that no further evidence be received by the court in a manner that conceals it from those in the courtroom. The filing directly criticized the alternative approach taken so far, stating, “To receive evidence in a manner shielded from those seated in the courtroom—as happened today—is not transparency. And in the absence of transparency, speculation and conspiracy theories related to the tragic assassination of Mr. Kirk will continue to proliferate in the public domain, breeding doubt and distrust in the judicial system. This is not what anyone should want.”
Judge Graf ruled on the motion Thursday, deciding that the court would continue its existing case-by-case process for determining how evidence is presented rather than adopt a blanket requirement to display all admitted evidence to the courtroom, according to reporting from KUTV. Graf has previously described the task of balancing transparency in judicial proceedings against a defendant’s constitutional right to a fair trial as a “fine line.”
Much of the dispute over evidence access this week has centered on a recorded interview with Lance Twiggs, Robinson’s former roommate and romantic partner. Prosecutors sought to admit the full recording, including audio that could be captured by courtroom cameras, while Robinson’s defense team pushed for significant redactions, arguing that unrestricted public release of the video could compromise Robinson’s right to a fair trial. Defense attorney Richard Novak told the court that “the number one concern in this proceeding is Mr. Robinson’s right to a fair trial.” Following extended arguments Wednesday, Graf ordered additional redactions to the interview before it could be shown, and prosecutors agreed to prepare the edited version for presentation during Thursday’s session, with the redacted recording distributed to both the defense and the court once the edits were completed.
Neiman had separately argued in court that the Kirk family strongly believes the full Twiggs interview should be made public. “The Kirk family believes strongly it should be made public for the world to see,” Neiman said, according to KSL.com. “To not be transparent here will create doubt and distrust in the judicial system.”
The preliminary hearing has featured testimony from multiple law enforcement witnesses over its first several days, including a University police officer who was present at the scene of the shooting, a Utah State Bureau of Investigation agent who collected footage and other evidence following the shooting, and a forensic examiner called by the defense to testify about a screwdriver and towel recovered from the crime scene. Doorbell and surveillance footage tied to the investigation has also been presented during the proceedings.
Erika Kirk and Charlie Kirk’s parents have attended the hearing in person since it began Monday, according to multiple outlets covering the proceedings. The hearing is scheduled to conclude Friday, at which point Judge Graf is expected to rule on whether prosecutors have presented sufficient evidence for the case against Robinson to proceed to trial.
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Sebi cancels registration of 12 research analysts over unpaid renewal fees
The names include Arjun Lenin, Anita Patnaik, CNI Research, East Bridge Advisors, Kushank Kamal Poddar, Manish Kumar, Praful Nath Purohit, proprietor of Market Future India, R K Global Shares & Securities Ltd, Raghavendra Rajendra, Raghuveer Singh Rathore, Rajesh Jain, proprietor of Jinanand Research Analyst, and S Venkateshwar Rao.
Sebi said these research analysts were registered under the SEBI Act and SEBI Research Analysts Regulations, 2014. Under the rules, a research analyst must pay the renewal fee within three months before the end of the five-year period for which the earlier fee was paid.
The regulator noted that renewal fees had remained unpaid from different dates. For instance, fees for CNI Research Ltd remained unpaid from March 23, 2025, while those for S Venkateshwar Rao remained unpaid from April 7, 2025. For Arjun Lenin and Raghavendra Rajendra, the unpaid period started in July 2025. For Kushank Kamal Poddar and Rajesh Jain, it started in 2026.
Sebi initiated summary proceedings against the noticees under Regulation 30A of the SEBI Intermediaries Regulations, 2008. Notices were issued on May 29 and June 4, asking them to explain why their registration certificates should not be cancelled or suspended.
The regulator said the notices were duly served, but no replies were received from the noticees. Since no written submissions were filed within the prescribed period, Sebi proceeded with the matter based on the available record.
Sebi said the cancellation was necessary because the certificates had already expired and were no longer in force. It added that the main purpose of cancelling the registrations was to prevent misuse of inactive SEBI registration certificates before unaware investors.The order also said that cancellation of registration would not remove the noticees’ liability for anything done or omitted to be done while acting as research analysts.
Sebi directed the noticees to ensure maintenance and preservation of records and documents required under regulations. They must also take steps for redressal of investor grievances, transfer of records, funds or securities of clients, continuity of service to clients and any pending defaults or actions.
The order has come into force with immediate effect. Sebi said a copy of the order will be served on all noticees and BSE, which acts as the Research Analyst Administration and Supervisory Body, for necessary compliance.
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Meta: Don’t Believe The Naysayers That It Has Overbuilt Its Compute (NASDAQ:META)
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of META, GOOGL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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