Dassault Aviation shares continued their rally on Friday, rising nearly 2.4 per cent during intraday trading to touch €309.40 on the Paris Stock Exchange, just 10 per cent short of the company’s all-time high of €332.20. The surge comes in the wake of renewed geopolitical tensions between India and Pakistan and heightened interest in Dassault’s Rafale fighter jets.
This marks the third consecutive day of gains for the French aerospace giant. After a sharp 7 per cent drop on Monday, the stock rebounded more than 3 per cent on Tuesday and has maintained an upward trajectory since. Technical analysts noted the formation of a bullish hammer candlestick on the monthly chart, suggesting further upside potential in the short term.
Investor sentiment has strengthened significantly following India’s Operation Sindoor on May 7, where Indian Air Force jets, reportedly Rafales, carried out precision strikes deep inside Pakistani territory. The use of SCALP and HAMMER missiles in the operation has drawn global attention to Dassault Aviation’s advanced combat capabilities, prompting a surge in demand speculation.
The stock’s rally also coincided with Indian Prime Minister Narendra Modi’s visit to Adampur Air Base, where he addressed national security matters in front of an S-400 missile defence battery, reinforcing the government’s defence posture amid rising tensions with Pakistan.
Strong financial performance has further bolstered investor confidence. Dassault Aviation recently reported annual revenues of €6.24 billion and a net profit of €924 million. The broader French aerospace and defence sector has also performed robustly, growing by 17.7 per cent over the past year.
Despite the positive momentum, the stock has shown volatility. Monday’s intraday swing saw prices fluctuate between €291 and €295, reflecting investor uncertainty before the rebound. With ongoing military and diplomatic developments in South Asia, market observers expect Dassault’s performance to remain closely tied to geopolitical headlines in the weeks ahead.
