Hindustan Aeronautics Limited (HAL) share price fell sharply on Monday (November 24, 2025) after a Tejas fighter jet crashed during a demonstration at the Dubai Air Show 2025. The development triggered a negative market reaction, leading to a notable drop in early trade.
HAL’s share price slipped over 4% at the market open on the NSE, touching ₹4,405 after reports of the Tejas jet crash during an aerobatic display at the Dubai Air Show. The stock declined as much as 4.13% to ₹4,502.50 during early trade. However, Hindustan Aeronautics (HAL) later issued an official clarification stating that the incident would not impact the company’s business operations or financial performance. Following this statement, the stock recovered from the day’s low. As of 2:04 PM, HAL shares were trading 2.48% lower at ₹4,480.50 on the NSE.
The Tejas aircraft, manufactured by HAL for the Indian Air Force, crashed during a low-altitude manoeuvre, resulting in the death of Wing Commander Namansh Syal. The Indian Air Force has ordered a Court of Inquiry to determine the exact cause of the accident.
Hindustan Aeronautics Limited (HAL) has issued an official clarification to the stock exchanges regarding the incident that occurred during an aerial display at the Dubai Air Show.
HAL stated that the event at the Dubai Air Show was an isolated occurrence arising from exceptional circumstances. The company noted that the situation was specific to the demonstration and did not reflect broader operational concerns.
In its clarification, HAL confirmed that the incident does not affect its business operations, financial performance, or future delivery schedules. The company reiterated that all ongoing commitments and production activities remain unaffected.
HAL affirmed that it is fully cooperating with all agencies involved in the investigation. The company has assured stakeholders that it will continue to provide updates on any material developments related to the incident.
The government clarified that previous concerns regarding oil leakage were unrelated to the accident. The incident, however, increases scrutiny on HAL at a time when expectations around its defence manufacturing role are high. The Tejas programme continues to be supported by strong domestic orders, including the recent approval for 97 additional units, along with sustained demand for helicopters and engines.
Global trends show that even advanced fighter jets worldwide have faced crashes during testing, training, or airshow demonstrations, making such incidents a part of high-performance aviation risk.
The accident may temporarily affect sentiment around export opportunities. However, the current focus remains on domestic production, especially the ramp-up of Tejas Mk1A units. Export momentum is expected to build over time once the situation settles.
HAL’s recent performance reflects mixed trends. The stock has declined 7% over the past month and is down 10% in the last six months. Over a one-year period, it has gained 8%, while the two-year return stands at 100%. Over the last five years, HAL has delivered multibagger returns of 1,026%, supported by consistent execution and strong order inflows.
At 2:04 PM, HAL shares were trading 2.48% lower at ₹4,480.50 on the NSE.
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