Defensive stocks are often considered relatively safer investments during times of wars or geopolitical tensions because their businesses can remain stable even when the broader economy faces uncertainty.
Companies in sectors such as utilities, consumer staples, healthcare, and essential services provide products that people need regardless of economic conditions.
During wars, financial markets usually become volatile as investors worry about supply disruptions, inflation, and slowing economic growth. In such periods, investors often shift their money away from cyclical sectors like automobiles, luxury goods, and real estate, which depend heavily on strong economic activity.
Instead, they move funds into defensive stocks because these companies typically generate stable revenues and cash flows.
Due to the war in West Asia, the Sensex has corrected around 6,000 points (7.5%) at the time of writing. But there are a few stocks that have remained resilient and in fact some have even gained.
Here are 5 defensive stocks to watch…
#1 Coal India
First on our list is the stock of Coal India.
The company is the largest coal mining and production company in India. It commands over 80% of the country’s coal production, making it the largest coal producer in the world.
How Coal India stock has moved since the start of the West Asia war
| Closing price 27 February 2026 | Rs 430.65 |
| Closing Price 13 March 2026 | Rs 467 |
| Gains % | 8.44% |
Coal India has been a star performer since the conflict began. While the Nifty is down 8% since the start of the war, Coal India stock is up 8.44%, showing the defensive nature of the stock.
In fact, the stock is one of the few to have hit a 52-week high on 13 March 2026.
This is also on account of the robust dividends it pays and the advent of the summer season, which will see rising demand for coal.
On the financial front, in the third quarter of FY26, Coal India reported a drop in consolidated revenue to Rs 349,242 m, compared to Rs 368,586 m in the same period last year. The net profits were Rs 68,772 m compared to Rs 84,202 m in the same period last year.
Moving ahead, Coal India’s roadmap targets 1.23 bn tonnes by FY35, with an 8% annual growth forecast from FY25.
The company is swiftly expanding its focus, aiming to achieve net-zero status by installing 3,000 MW of renewable solar capacity by the end of FY28.
As of December 2025, Coal India and its subsidiaries have established about 247 MW of renewable energy capacity, a figure expected to increase to 675 MW by the end of FY26.
The upcoming capacity additions includes two major solar power projects in Gujarat, 100 MW in Patan and 300 MW in Khavda.
Beyond these projects, the company is also actively scouting for 2,000 MW of RE capacity in near term through its subsidiaries and joint ventures. One is an 875 MW plant with Rajasthan Rajya Vidyut Utpadan Nigam Limited and the other is a 500 MW capacity plant through Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited in phased manner.
India’s shift toward clean energy will pose significant challenges for the company in the coming years. On a positive note, Coal India is steadily diversifying its portfolio, venturing into areas like renewable energy and critical minerals.
Investors are bullish on the stock due to its good dividend payouts and this trend could persist in the near term.
How Coal India Share Price has Performed Recently
In the last five days Coal India shares have moved marginally higher to Rs 466.8 from Rs 443.2.
Over the past one year, the shares have are 20%.
The stock touched its 52-week high of Rs 475.95 on 13 March 2026 and its 52-week low of Rs 350.15 on 7 April 2025.
Coal India Share Price – 1 Month
Data Source: BSE
#2 Mazagon Dock Shipbuilders
Next on our list is Mazagon Dock Shipbuilders. The company is India’s only shipyard to have built destroyers and conventional submarines for the Indian Navy.
Mazagon Dock Shipbuilders has a world-class infrastructure that has a capacity of building 11 submarines and 10 war ships concurrently.
In the world of finance, “defensive” usually refers to stocks from FMCG or pharma space. However, during a geopolitical crisis or war, the meaning of defensive can shift to companies that provide the hardware for national security.
When the Nifty 50 falls because of war fears, defence stocks often move in the opposite direction. Investors treat them as a hedge.
The market assumes the government will accelerate defence spending and place more orders, which protects these stock from the panic-selling hitting sectors like banks or auto stocks. This logic seems to be reflected in the stock of Mazagon Dock.
How Mazagon Dock Shipbuilders shares have moved since the West Asia war
| Closing price 27 February 2026 | Rs 2,224 |
| Closing Price 13 March 2026 | Rs 2,328 |
| Gains % | 4.63% |
The stock of Mazagon Dock and Shipbuilders is up 4.63% since the start of the war.
On the financial front, in the third quarter of FY26, the company reported a rise in consolidated revenue to Rs 36,011m, compared to Rs 31,436 m in the same period last year. The net profits were Rs 8,371 m compared to Rs 7,682 m in the same period last year.
Moving ahead, as at the end of December 2025, the company had an order book of Rs 237.58 bn. These orders include sizeable orders for P15B Destroyers, P17A Stealth Frigates, Multipurpose Hybrid Powered Vessels, P75 Kalvari Submarines and Medium Refit and Life Certification (MRLC) of Submarines among others.
The company has signed an MoU with the Tamil Nadu government to explore setting up a greenfield shipyard on India’s eastern coast. The planned investment is around Rs 150 bn for the shipyard.
Overall, Mazagon Dock Shipbuilders has decent long-term prospects due to India’s rising naval spending, large submarine and warship orders, and its leadership in defence shipbuilding.
A potential strong order pipeline and capacity expansion through a new Tamil Nadu shipyard could support steady revenue growth, though execution delays remain key risk.
How Mazagon Dock Shipbuilders Share Price has Performed Recently
In the last five days Mazagon Dock Shipbuilders shares have moved lower to Rs 2,328 from Rs 2,390.
Over the past year, the shares are marginally down 3%.
The stock touched its 52-week high of Rs 3,778 on 29 May 2025 and its 52-week low of Rs 2,130 on 2 March 2026.
Mazagon Dock Shipbuilders Share Price – 1 Month
Data Source: BSE
#3 Sun Pharmaceutical Industries
Sun Pharmaceutical Industries Ltd is the largest pharmaceutical company in India and one of the world’s leading specialty generic drug manufacturers.
It’s the 13th largest in US generics market and operates at scale in over 80 countries.
Sun Pharma holds 8.4% market share in over Rs 2,407 m Indian pharmaceuticals market as per Pharmarack MAT December 2025. Corresponding market share for the previous period was 8.1%.
How Sun Pharma shares have moved since the West Asia war
| Closing price 27 February 2026 | Rs 1,738 |
| Closing Price 13 March 2026 | Rs 1,800.50 |
| Gains % | 3.6% |
Since the start of the conflict, the stock of Sun Pharmaceuticals has gone up from levels of Rs 1,738 to Rs 1,800.
On the financial front, during the 3rd quarter of FY26, the company recorded sales of Rs 154,691 million (m), a growth of 15.1% compared to Q3 FY25. It reported profit after tax of Rs 33,688 m, up 16% over Q3 last year.
Moving ahead, as the leaders in the diabetes and metabolic segment, the company is looking to expand its portfolio with the launch of Semaglutide upon the expiry of Semaglutide patents in India.
Sun Pharma plans to be in market on day-one of a generic launch. It has already received the regulators’ approval for both the indication of chronic weight management as well as treatment of type 2 diabetes under the brand name Noveltreat and Sematrinity respectively.
The company recently filed sBLA for Ilumya with the US FDA in the indication of Psoriatic Arthritis. FDA approved label updates on Unloxcyt based on longer-term data that demonstrated improved clinical outcomes in advanced cutaneous squamous cell carcinoma. It has also initiated global Phase-II trials of GL0034 in the indication of type-2 diabetes.
The company has 116 ANDAs pending and about 14 NDAs pending approval.
Overall, Sun Pharma is one of India’s strongest pharma companies with steady earnings growth potential, strong cash flows, and a promising specialty drug pipeline.
How Sun Pharmaceutical Industries Share Price has Performed Recently
In the last five days Sun Pharmaceutical Industries’ shares have moved marginally higher to Rs 1,800.5 from Rs 1,785.
Over the past year, the shares are up 6%.
The stock touched its 52-week high of Rs 1,850.95 on 2 May 2025 and its 52-week low of Rs 1,547.25 on 26 September 2025.
Sun Pharmaceutical Industries Share Price – 1 Month
Data Source: BSE
#4 Bharat Electronics Ltd
Next on our list is India’s top defence player BEL.
Bharat Electronics Limited is a premier Indian Navratna Public Sector Undertaking (PSU) under the Ministry of Defence.
Since its founding in 1954, it has grown into the backbone of India’s defence electronics, specialising in the design and manufacture of high-tech products for the military and select civilian sectors.
How BEL shares have moved since the West Asia war
| Closing price 27 February 2026 | Rs 444.7 |
| Closing Price 13 March 2026 | Rs 439.4 |
| Gains % | -1.19% |
Since the start of the war BEL shares are down marginally by -1.19%, while the Nifty is down more than 8%. It has showed resilience in a falling market.
On the financial front, the company reported revenues of Rs 71,539 m vs Rs 57,707 m YoY. The net profits were Rs 15,702 m vs Rs 13,013 m YoY.
As of 1st January 2026, the order book of Bharat Electronics was a Rs 730.15 bn, providing revenue visibility for the next several years.
In February 2026, BEL signed a joint venture with Safran (France) to produce the HAMMER smart precision-guided ammunition in India.
Overall, bolstered by the Atmanirbhar Bharat initiative, BEL’s prospects are strong, evidenced by its massive order book. The company is diversifying into civilian sectors like space and smart cities while targeting a 10% export share.
With a zero-debt balance sheet and robust profit margins, BEL remains a growth story in India’s strategic defence landscape.
How BEL Share Price has Performed Recently
In the last five days Bharat Electronics shares has moved lower to Rs 439 from Rs 455.
Over the past year, the shares are up 56%.
The stock touched its 52-week high of Rs 473.25 on 6 March 2025 and its 52-week low of Rs 252.25 on 7 April 2025.
Bharat Electronics Share Price – 1 Month
Data Source: BSE
#5 Aurobindo Pharma
Last on our list is the stock of Aurobindo Pharma.
Aurobindo Pharma is a major Indian multinational pharmaceutical company that develops, manufactures, and markets a wide range of generic drugs, active pharmaceutical ingredients (APIs), and related pharmaceutical products globally.
How Aurobindo shares have moved since the West Asia war
| Closing price 27 February 2026 | Rs 1,220.4 |
| Closing Price 13 March 2026 | Rs 1,296.5 |
| Gains % | 6.2% |
The stock is up 6.2% since the war and its typical for pharma companies to be excellent defensive bets during geo-political tensions.
On the financial front, the company reported revenues of Rs 86,459 m vs Rs 79,785 m YoY. Aurobindo Pharma reported a net profit of Rs 9,094 m vs Rs 8,440 m YoY.
Moving ahead, Aurobindo has recently inaugurated its flagship Penicillin-G facility in Kakinada, Andhra Pradesh. It is aiming to ramp up production to over 10,000 metric tonnes annually within the next 12 months, with a long-term target of 15,000 metric tonnes.
Overall, strategic initiatives like backward integration, R&D in complex drugs, and acquisitions could boost growth at the company, while regulatory hurdles and pricing pressures pose risks.
How Aurobindo Pharma Share Price has Performed Recently
In the last five days Aurobindo Pharma shares have moved marginally higher to Rs 1,296 from Rs 1,224.5.
Over the past year, the shares are up 15%.
The stock touched its 52-week high of Rs 1,319.6 on 12 March 2026 and its 52-week low of Rs 994.35 on 7 April 2025.
Aurobindo Pharma Share Price – 1 Month
Data Source: BSE
Should You Consider Defensive Stocks?
If you are going to skew your investments heavily in favour of defensive stocks, there is a possibility you might miss out.
The West Asia war will end someday. This means it would be time for stocks from other sectors to rally once the war comes to an end. A prudent way of investing is to diversify across sectors.
If you stay 100% defensive, your portfolio may not crash when the news is bad, but it will feel like it’s “stuck in traffic” while the rest of the market zooms past once normalcy is restored.
Investors should evaluate the company’s fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.
Happy investing.
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