India's growing aerospace and defence (A&D) build‑out is garnering fresh investor attention on the country's radar electronics segment, with Goldman Sachs pointing towards Data Patterns (India) Ltd. as a key beneficiary of rising demand.
The firm reiterated its 'buy' rating on the company, positioning it alongside top private‑sector defence suppliers expected to gain from India's multi‑year expansion in defence manufacturing and export capabilities.
During an expert call hosted by Goldman Sachs, Ashish Saraf, Vice President and Country Head of Pratt & Whitney India, spoke on three powerful vectors driving long‑term sector growth: an 18% year‑on‑year increase in India's FY27 capital procurement budget, progress on the EU‑India free trade agreement, and momentum in the US‑India trade deal.
Together, these factors are opening doors for domestic manufacturers and enabling deeper integration with global supply chains.
India's Defence Sector Gains Momentum
Goldman Sachs notes that these shifts are particularly meaningful for companies specialising in advanced subsystems and electronics. These are the areas where Data Patterns has established itself as a critical supplier.
The report identifies the company as a key player in radar electronics, a category expected to see sustained demand as India scales up platforms such as Tejas Mk‑II, the Rafale fleet, and the Advanced Medium Combat Aircraft (AMCA) ecosystem.
A potential catalyst is India's anticipated order for 114 Rafale fighters, which would make the country the largest global operator of the aircraft with more than 175 units.
Paired with the UAE's order for 80 Rafale F‑4 jets, the resulting 250‑plus aircraft regional maintenance, repair, and overhaul (MRO) opportunity could generate sizable demand for radar‑related subsystems, testing equipment, and avionics in a segment where Data Patterns competes strongly.
Photo Credit: Data sourced from Goldman Sachs' report.
Policy Reforms and Opportunities
Policy reforms are also reshaping the outlook. The draft Defence Acquisition Procedure (DAP) 2026 aims to cut procurement timelines, introduce technical excellence as an evaluation criterion, and allow fast‑track procurement up to Rs 750 million. Such measures could accelerate order flows to agile electronics manufacturers.
With global aerospace OEMs increasingly adopting a China‑plus‑one sourcing strategy and companies like RTX planning to increase India sourcing ten‑fold by 2030, Goldman Sachs argues that Data Patterns is positioned squarely at the intersection of domestic capability building and international supply‑chain realignment.
As defence capital expenditure, export potential, and indigenisation efforts continue to climb, radar electronics stand out as a high‑growth niche and Data Patterns, the report suggests, is firmly on investors' radar.
Data Patterns Share Price In February
Data Pattern Share Price Today
Photo Credit: (Photo: NDTV Profit)
Shares of Data Patterns dipped to Rs 2,470.90 on Jan 31 but the stock showed positive momentum in February with a rebound on Feb 8. The stock was trading at Rs 2,840.50 on Feb 8, then easing to Rs 2,783.30. Overall, February shows a strong recovery with sustained upward momentum despite minor pullbacks.
ALSO READ: China+1 Tailwind Puts Azad Engineering In Sweet Spot, Says Goldman Sachs
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
