Stock Crash: Government company's stock fell by more than 6 percent, know why it fell:HAL share price fell more than 6 percent on Wednesday.

News Topical, Digital Desk : Shares of Hindustan Aeronautics Limited fell more than 6 percent in early trading on Wednesday, February 4. The stock had previously seen such a significant decline on February 3, 2025.

Why did HAL stock price fall?
This decline came after reports that HAL has now dropped out of India's 5th Generation stealth fighter jet project. A Hindustan Times report on Wednesday quoted sources as saying that HAL is no longer in the running for the Advanced Medium Combat Aircraft, or AMCA, project.

The report also states that this will be the first time HAL will not be part of a major military project. Last year, seven companies bid for this program. Three of these companies met the required criteria and have now advanced to the next stage of evaluation. According to the report, the contract could be awarded to the lowest bidder within the next three months. The contenders for this project include Tata Advanced Systems, Adani Defence and Aerospace, Bharat Electronics, which is in partnership with Larsen & Toubro, Goodluck India, which is partnering with BrahMos Aerospace Thiruvananthapuram Ltd. and Axiscades Technologies, and Bharat Forge, which is working with BEML Ltd. and Data Patterns Ltd. HAL is one of the most leveraged stocks in the margin trading facility book. According to the data, as of February 1, 2026, the MTF book has a leveraged position of approximately ₹1,500 crore on HAL, second only to the Nippon AMC Silver ETF.

HAL Share Price Hindustan Aeronautics share price has been declining for the past six months. On Wednesday, HAL shares fell more than 6 percent to trade at Rs 4,188.1. HAL share price has fallen 10.08 percent in five days, 7.66 percent in one month, 7.90 percent in six months, and 4.98 percent so far this year. Meanwhile, the stock has gained 12.04 percent in one year.