E-Paper
Rafale maker Dassault Aviation stock nears record high after India-Pak military conflict
Dassault Aviation hit €309.40 mid-day on Paris Stock Exchange, nearing its record high of €332.20—just 10% shy of the all-time peak.
Dassault Aviation’s stock continued its upward momentum for the third consecutive session on Friday, climbing nearly 2.4 per cent. During mid-day trading on the Paris Stock Exchange, the Rafale jet maker’s share price touched an intraday high of €309.40—just around 10 per cent short of its all-time peak of €332.20.
After tumbling by seven per cent on Monday, the stock rebounded over three per cent on Tuesday. According to a report by Live Mint, analysts noted the emergence of a bullish hammer candlestick pattern on the monthly chart, which typically signals potential for further gains.
Market experts believe this bullish pattern bodes well for buyers and predict that the stock may move closer to its previous record high in the short term.
The rally is being attributed to recent geopolitical tensions. Following India’s Operation Sindoor on May 7, in which Indian Air Force (IAF) fighter jets, assumingly Rafale, targeted terror camps deep inside Pakistan using SCALP and HAMMER missiles, investor sentiment surrounding Dassault Aviation has strengthened.
Strong financials have also supported the rally. Dassault Aviation posted €6.24 billion in revenue and €924 million in net profit, while the broader French aerospace and defence sector grew by 17.7% over the past year.
The stock’s rebound also coincided with Prime Minister Narendra Modi’s visit to Adampur Air Base, where, backed by an S-400 missile defence system, he delivered a strong message to Pakistan.
Despite the recent rally, the stock has seen volatility. On Monday, it plunged nearly 7% intraday to €292, fluctuating between €291 and €295 through the session.
