Defence Stocks Plunge 4th Day: 'Double Whammy' Blamed, Analysts See 'Healthy Correction'

• Defence shares fell for the fourth consecutive session, with the Nifty India Defence index down 0.9 percent.
• Reasons include profit booking, FII outflow, and a 'double whammy' of a potential Russia-Ukraine peace deal and the Tejas jet crash.
• A possible Russia-Ukraine peace deal reduces the 'war premium' on defence stocks, affecting investor sentiment.
• The Tejas fighter jet crash in Dubai may impact export ambitions and caused a sector-wide correction.
• Analysts advise investors to view the current fall as a 'healthy correction' and a potential entry point, as long-term fundamentals remain strong.

Why It Matters: Defence stocks face a 'double whammy' but analysts see a healthy correction, not a structural downturn.