India's defense modernization has seen significant capital acquisition approvals totaling approximately 3.3 trillion rupees in FY26 year-to-date, nearly double the allocated budget. These approvals, covering diverse capabilities across all military branches, enhance medium-term order visibility for public sector undertakings and select private firms. Analysts at Motilal Oswal Financial Services maintain positive ratings on several defense companies, including BEL, HAL, and BDL, citing de-risked order pipelines and balanced modernization efforts.