New Delhi, June 18 -- Mazagon Dock Shipbuilders Ltd's shares rose 5% on Tuesday to Rs.3,306. This is the first significant bounce after the stock dropped almost every day from its all-time high of Rs.3,775 seen in May, just before the dismal March quarter (Q4FY25) results were declared.

What might have rekindled some interest in the stock is JM Financial's note indicating a medium probability that the stock may be included in the MSCI India Index. The index rebalancing may be announced on 7 August.

Investors must be cautious of the news flow and narrative surrounding the Mazagon stock, which is being viewed as a defence sector play. However, this does not necessarily mean superior profitability versus the global shipbuilding industry. M...