MTAR Technologies has emerged as one of the strongest performers in India’s defence manufacturing space, with its share price rising an impressive 136% over the past six months. This rally is not a momentum-driven spike. It is firmly supported by record quarterly earnings, a robust order book of ₹2,395 crore, and confident management guidance for FY26.
As government spending on defence indigenisation, aerospace, nuclear energy, and clean energy accelerates, MTAR Technologies is increasingly being viewed as a long-term structural growth story rather than a short-term trading opportunity.
Order Book Strength Improves Long-Term Revenue Visibility
A key driver behind MTAR Technologies’ strong performance is its expanding and diversified order book. As of December 2025, the company reported a total order book of ₹2,395 crore, providing clear revenue visibility for the coming years.
Key order book highlights include:
- ₹1,368.8 crore worth of new orders secured in Q3 FY26 alone
- Healthy demand across defence, aerospace, nuclear, and clean energy segments
- Management guidance of 30–35% revenue growth for FY26
The diversified nature of the order book reduces dependence on any single sector and positions the company well to benefit from multiple long-term capex cycles.
Record Q3 FY26 Performance Reinforces Growth Momentum
MTAR Technologies delivered its highest-ever quarterly performance in Q3 FY26, driven by strong execution, improved product mix, and higher operating leverage.
Q3 FY26 Financial Highlights
- Revenue rose 59.3% year-on-year to ₹278 crore
- EBITDA jumped 92.5% to ₹64 crore
- Net profit surged 117.3% to ₹34.7 crore
The sharp improvement across all key metrics reflects scale benefits, higher volumes, and better cost control, reinforcing confidence in the company’s earnings trajectory.
Management Commentary Signals Sustained Margin Expansion
Management’s outlook has further strengthened investor confidence. Parvat Srinivas Reddy, Managing Director and Promoter of MTAR Technologies, highlighted that margins are expected to improve sequentially over the coming quarters.
He attributed this to higher operating leverage and a favourable shift toward volume-based production. This indicates that profitability gains may continue even as revenues scale up, a critical factor for long-term valuation re-rating.
Stock Performance and Technical Structure
The stock’s recent performance underscores the market’s growing confidence in the business fundamentals.
- Shares are up 47% in 2026 so far
- Gains of nearly 30% in just the past two weeks
- Trading above all key short-term and long-term moving averages
- RSI near 78.7, indicating overbought conditions
The stock rebounded sharply from its 52-week low of ₹1,152 in April 2025 to a record high of ₹3,686 in February 2026, highlighting the scale of the turnaround.
What Technical Analysts Are Watching Now
Technical analysts remain bullish on the broader trend but caution against aggressive buying at elevated levels.
Key technical levels to monitor:
- Support zone between ₹3,340 and ₹3,100
- Immediate resistance in the ₹3,850 to ₹3,900 range
Most analysts suggest that fresh entries are better timed on minor pullbacks rather than chasing the stock after a steep rally.
Brokerage View: Motilal Oswal Maintains BUY Rating
Motilal Oswal has reiterated a BUY rating on MTAR Technologies has emerged as one of the strongest performers in India’s defence manufacturing space, with its share price rising an impressive 136% over the past six months. This rally is not a momentum-driven spike. It is firmly supported by record quarterly earnings, a robust order book of ₹2,395 crore, and confident management guidance for FY26.
As government spending on defence indigenisation, aerospace, nuclear energy, and clean energy accelerates, MTAR Technologies is increasingly being viewed as a long-term structural growth story rather than a short-term trading opportunity.
Order Book Strength Improves Long-Term Revenue Visibility
A key driver behind MTAR Technologies’ strong performance is its expanding and diversified order book. As of December 2025, the company reported a total order book of ₹2,395 crore, providing clear revenue visibility for the coming years.
Key order book highlights include:
- ₹1,368.8 crore worth of new orders secured in Q3 FY26 alone
- Healthy demand across defence, aerospace, nuclear, and clean energy segments
- Management guidance of 30–35% revenue growth for FY26
The diversified nature of the order book reduces dependence on any single sector and positions the company well to benefit from multiple long-term capex cycles.
Record Q3 FY26 Performance Reinforces Growth Momentum
MTAR Technologies delivered its highest-ever quarterly performance in Q3 FY26, driven by strong execution, improved product mix, and higher operating leverage.
Q3 FY26 Financial Highlights
- Revenue rose 59.3% year-on-year to ₹278 crore
- EBITDA jumped 92.5% to ₹64 crore
- Net profit surged 117.3% to ₹34.7 crore
The sharp improvement across all key metrics reflects scale benefits, higher volumes, and better cost control, reinforcing confidence in the company’s earnings trajectory.
Management Commentary Signals Sustained Margin Expansion
Management’s outlook has further strengthened investor confidence. Parvat Srinivas Reddy, Managing Director and Promoter of MTAR Technologies, highlighted that margins are expected to improve sequentially over the coming quarters.
He attributed this to higher operating leverage and a favourable shift toward volume-based production. This indicates that profitability gains may continue even as revenues scale up, a critical factor for long-term valuation re-rating.
Stock Performance and Technical Structure
The stock’s recent performance underscores the market’s growing confidence in the business fundamentals.
- Shares are up 47% in 2026 so far
- Gains of nearly 30% in just the past two weeks
- Trading above all key short-term and long-term moving averages
- RSI near 78.7, indicating overbought conditions
The stock rebounded sharply from its 52-week low of ₹1,152 in April 2025 to a record high of ₹3,686 in February 2026, highlighting the scale of the turnaround.
What Technical Analysts Are Watching Now
Technical analysts remain bullish on the broader trend but caution against aggressive buying at elevated levels.
Key technical levels to monitor:
- Support zone between ₹3,340 and ₹3,100
- Immediate resistance in the ₹3,850 to ₹3,900 range
Most analysts suggest that fresh entries are better timed on minor pullbacks rather than chasing the stock after a steep rally.
Brokerage View: Motilal Oswal Maintains BUY Rating
Motilal Oswal has reiterated a BUY rating on MTAR Technologies, assigning a target price of ₹3,900.
The brokerage expects:
- Strong growth across defence, aerospace, nuclear, and clean energy segments
- Ramp-up in volume production from new customer programs
- Revenue, EBITDA, and adjusted PAT CAGR of 40%, 55%, and 78% respectively over FY25–FY28
While near-term working capital pressure remains a concern, management has indicated active measures to normalize cash flows over time.
Is There More Upside Left in MTAR Technologies?
MTAR Technologies appears well-positioned to benefit from several powerful tailwinds:
- Rising defence indigenisation initiatives
- Increased nuclear and clean energy investments
- Strong execution capabilities and improving margins
That said, the stock is currently in overbought territory, and short-term consolidation or pullbacks cannot be ruled out. Long-term investors may find better risk-reward by accumulating on corrections rather than entering after sharp rallies.
Final Takeaway
MTAR Technologies’ 136% surge over the past six months is driven by fundamentals, not hype. A strong and diversified order book, record earnings, and positive sector tailwinds support the company’s long-term growth narrative. While near-term volatility is possible, the broader outlook remains constructive for patient investors with a long-term horizon. assigning a target price of ₹3,900.
The brokerage expects:
- Strong growth across defence, aerospace, nuclear, and clean energy segments
- Ramp-up in volume production from new customer programs
- Revenue, EBITDA, and adjusted PAT CAGR of 40%, 55%, and 78% respectively over FY25–FY28
While near-term working capital pressure remains a concern, management has indicated active measures to normalize cash flows over time.
Is There More Upside Left in MTAR Technologies?
MTAR Technologies appears well-positioned to benefit from several powerful tailwinds:
- Rising defence indigenisation initiatives
- Increased nuclear and clean energy investments
- Strong execution capabilities and improving margins
That said, the stock is currently in overbought territory, and short-term consolidation or pullbacks cannot be ruled out. Long-term investors may find better risk-reward by accumulating on corrections rather than entering after sharp rallies.
Final Takeaway
MTAR Technologies’ 136% surge over the past six months is driven by fundamentals, not hype. A strong and diversified order book, record earnings, and positive sector tailwinds support the company’s long-term growth narrative. While near-term volatility is possible, the broader outlook remains constructive for patient investors with a long-term horizon.
