Home >> Blog >> Operation Sindoor: Impact on Share Market & Top Defence Stocks
Operation Sindoor: Impact on Share Market & Top Defence Stocks

Table of Contents
- What is Operation Sindoor?
- Sindoor Meaning
- Why was the Operation Named ‘Sindoor’?
- Operation Sindoor Press Release
- Rafale Deal: India And France
- Operation Sindoor And Impact on the Share Market
- Ind-Pak War History and Stock Market Performance
- Lahore News
- Balochistan Liberation Army
- Top Defence Stocks
- Conclusion
What is Operation Sindoor?
Operation Sindoor is a high-level military operation carried out by the Indian Army with aerial backing from Rafale fighters to neutralize terror infrastructure over the border in retaliation for the Pahalgam attack in India on 22 April 2025 that caused more than 26 casualties.
Following intelligence inputs from the Ministry of Defence and National Security Advisor Ajit Doval, the operation sindoor was reportedly approved.
As India strikes Pakistan on Wednesday late night, 07 May 2025, people started searching on the internet with keywords like ‘Ind vs Pak war news’, ‘India-Pakistan news’, etc.
Sindoor Meaning
The word ‘Sindoor’ or Sindura, a Hindi origin meaning red lead, is a reddish powder, particularly when placed on a married Hindu woman's “maang” (parting of the hair starting from the forehead top).
Why was the Operation Named ‘Sindoor’?
‘Sindoor’ for Hindu married women is not just a color that is placed on their ‘parting of the hair’, but it is regarded towards their partners as a sign of their partner's life referred to as “Suhaag”. These women carry sindoor after their marriage only as long as their partner is alive, and stop applying this in case their partner is deceased. So, Sindoor for Hindu married women holds a significant and important place in their lives.
During the Pahalgam attack, many women lost their partners hence, they removed Sindoor from their parting of the hair and will not put for the rest of their lives as per Hindu rituals. This sad and emotional experience shook the Indians and the Prime Minister Narendra Modi in emotional support of women who lost their partners in the attack, hence named the operation ‘Sindoor’ as a solidarity with the widows of the deceased in the attack.
Operation Sindoor Press Release
During the Press Conference on this Operation, Shri Vikram Misri, Foreign Secretary, GoI, accompanied by Col. Sofia Quareshi and Wing Commander Vyomika Singh, spoke about the actions taken in the operation, and here it goes- “Good Morning. Thank you all for joining this briefing. As you are all aware, on April 22, 2025, Pakistani and Pakistan-trained terrorists belonging to the Lashkar-e-Taiba carried out a savage attack on Indian tourists at Pahalgam in Jammu & Kashmir in India. They murdered 26 people…,” read the full statement at MEA (Ministry of External Affairs).
Rafale Deal: India And France
As part of the terms, the training will be carried out both in France and India, with all these aircraft expected to be delivered by 2030.
The deal will certainly boost the Asian nation’s defence relations with its second biggest arms supplier. The Indian Air Force now has 36 Rafale Fighters, and the Navy’s fleet of aircraft consists mostly of Russian MiG-29 jets.
Operation Sindoor And Impact on the Share Market
Indian market indices opened a little bit lower amidst ongoing geopolitical tension. This resulted from India's retaliatory strikes on nine sites in Pakistan following the incident in Kashmir last month.
In the early hours of trading saw the Nifty 50 was down to 24,366, while the BSE Sensex was down to 80,596.
However, the market recovered soon with the Nifty 50 rising to 24,403 and the BSE Sensex rising to 80,710.
Ind-Pak War History and Stock Market Performance
Ind-Pak War of 2025 is not the first war between these two neighbouring nations. There is a history of wars, conflicts since the partition. Let's see how the share market behaved during the India-Pakistan wars in the past.
1. Pulwama Attack- 2019
According to the report by Anand Rathi, after the Pulwama attack in 2019, the Indian stock market reacted unfavourably, with Indian indices declining more than 1.8% from February 14 to March 1.
2. Uri Attack and Surgical Strikes- 2016
Between September 18 to September 26, the Indian market saw a drop of over 2%. Then strike was launched against terrorist launch pads in PoK in retaliation for the attack on an Indian Army camp near Uri in J&K.
3. Mumbai 26/11 Terror Attack- 2008
In 2008, while Mumbai was experiencing a siege, the Indian market also saw some bullish movement. During the attacks, the Sensex was high by around 400 points and the Nifty also went up by 100 points.
4. Indian Parliament Attack- 2001
The attack on the Indian Parliament in 2001 caused a knee-jerk reaction to the Indian benchmark indices, but as the news about the situation getting under control emerged, both Sensex and Nifty were able to recover their losses. The Sensex closed 0.7% down and the Nifty at 0.8%.
5. Kargil War - 1999
Despite the Kargil War occurring from May 3 to July 26, 1999, the Indian market faced a mild decline of 0.8 %, indicating the market's resilience.
Lahore News
The latest update is of blasts in Lahore, where three explosions rocked Lahore city on Thursday morning, prompting the local administration to heighten security and seal off the area, according to Pakistani media. This explosion took place near Lahore Airport on Lahore Day after Operation Sindoor.
The reports suggest that the blasts went off at about 7 a.m. (local time) in quick succession in the areas of Gopal Nagar and Naseerabad, near Walton Airport.
Emergency sirens began sounding just after the blast, with police and fire brigade forces rushing to the scene in response. The area is close to the posh central business district of Lahore and the Lahore army cantonment.
Balochistan Liberation Army
Balochistan Liberation Army has taken responsibility for the twin attack in Balochistan, killing 14 soldiers. During the initial attack, a remote-controlled IED attack was conducted on a Pakistani military convoy in the Shorkand region of Mach Bolan by BLA’s Special Tactical Operations Squad (STOS), resulting in all 12 militants dead in the military vehicle. The military vehicle met complete destruction due to the blast.
In the second operation, BLA fighters aimed at exterminating a Bomb Disposal Squad of the Pakistani Army located at Kech. The remote-controlled IED blasted at approx. 14:40 hours on Wednesday during the clearance operation. This attack claimed the lives of two soldiers.
(Some Inputs included from indiatvnews and ANI)
Top Defence Stocks
In these war-like scenes, there are some stocks that might perform well, and of course, these stocks are defence stocks because of the use of defence missiles, war-type equipment increases the demand for these types of equipment.
While this Operation is carried out in revenge for the Pahalagam terror attack, which was backed by Pakistan, shares of Indian defence companies soared in anticipation. Hindustan Aeronautics (HAL) increased by 1.8 % to Rs 4,589, while Cochin Shipyard rose by 2 % to Rs 1,511 and Bharat Dynamics by 1.7 %. Data Patterns was up by 1.3 %.
The Pakistani-Indian conflict has resulted in a 27 % increase in Indian defence stocks over the past month.
Let’s see which defence-related stocks could be the top ones.
1. Hindustan Aeronautics Ltd. Share Details
The HAL share price is Rs. 4442 as of 07 May 2025.
HAL Ltd. Shareholding pattern
2. Cochin Shipyard Ltd. Share Details
Cochin Shipyard share price is Rs. 1465 as of 07 May 2025.
Cochin Shipyard Ltd. Shareholding pattern
3. Data Patterns India Ltd. Share Details
Data Patterns share price is Rs. 2156 as of 07 May 2025.
Data Patterns India Ltd. Shareholding pattern
Conclusion
Operation Sindoor is a sincere homage to the courageous souls who perished in the Pahalgam attack as well as a military response. It represents the pain of widows who took off their sindoor.
Following the recent Pahalgam attack, investors' interest in Indian defense companies has surged. The price of stocks like Data Patterns, Cochin Shipyard, and HAL surged. Despite global concerns, the Indian share market is still strong. These days, investors are keeping a careful eye on defense-related prospects.
Related Blog
Explore: Top private defense stocks
Disclaimer: This blog is for educational purposes only. No buy or sell recommendation is given. No investment or training advice is given. The Author or the company (Finowings) shall not be responsible for any loss incurred by the influence of this blog. Always perform research on your end and discuss with an eligible financial advisor before investment.
Frequently Asked Questions
Operation Sindoor is a high-level military operation by Indian Army supported by Rafale jets, in response to the Pahalgam incident in India on April 22, 2025, which claimed over 26 lives, to destroy terror infrastructure across the border.
Operation Sindoor has attacked a terrorist infrastructure in Pakistan and PoK from where terrorist attacks against India have been planned and directed.
In 24 missile strikes across nine locations in Pakistan as carried by Indian Army killed 70 terrorists in Pakistan and PoK.
On 07 May, 2025 the Indian Army launched the Operation Sindoor to retaliate Pahalgam terrorist attack.