New Delhi, May 19 -- India's defence stocks are back in the spotlight. After cooling off for nearly a year, the Nifty India Defence Index soared nearly 15% last week, hitting a record high of 8,309 on 16 May-eclipsing its previous July 2024 peak.

Garden Reach Shipbuilders led the charge with a 37% jump, followed by Cochin Shipyard (35%), Paras Defence (28%), Mazagon Dock (19%), and Bharat Dynamics (18%).

With defence stocks back in the spotlight, the big question is-what's driving this sudden surge, and can it sustain?

We break down the key triggers behind the rally and assess whether it has staying power.

What's behind the surge in defence stocks?

Operation Sindoor was a key trigger for India's defence manufacturing ambitions. It un...