Green Energy Sector Vs Defence Sector 

The main difference between the Green Energy Sector and the Defence Sector is that the Green Energy Sector develops sustainable power solutions promoting environmental conservation, while the defence sector focuses on national security through military equipment manufacturing and technological advancement in defence capabilities.

Green Energy Sector Overview

The green energy sector encompasses companies specializing in renewable power generation through solar, wind and hydroelectric technologies. These organizations drive environmental sustainability while reducing carbon emissions and promoting energy independence through innovative solutions.

The sector demonstrates continuous advancement in energy technology, improving efficiency and reducing costs. Companies maintain extensive power generation facilities while investing in research and development for next-generation sustainable solutions.

Defence Sector Overview

The defence sector comprises companies developing and manufacturing military equipment, weapons systems and strategic technologies essential for national security. These organizations support defence preparedness through sophisticated manufacturing capabilities.

The sector maintains strategic importance through continuous technological innovation, specialized manufacturing processes and critical infrastructure development supporting military modernization programs.

Best Stocks In The Green Energy Sector

The below table shows the Best Stocks In The Green Energy Sector based on 1Y return.

Name	Close Price (rs)	1Y Return (%)
Waaree Renewable Technologies Ltd	1015.95	68.83
Inox Wind Ltd	165.57	53.79
Suzlon Energy Ltd	57.43	39.56
K.P. Energy Ltd	456.35	37.53
JSW Energy Ltd	557.55	14.98
Tata Power Company Ltd	365.90	5.69
NHPC Ltd	79.02	4.04
SJVN Ltd	98.90	-4.81
Orient Green Power Company Ltd	16.07	-21.08
Adani Green Energy Ltd	1045.70	-37.79

Top Stocks In The Defence Sector

The below table shows the Top Stocks In The Defence Sector based on 1Y return.

Name	Close Price (rs)	1Y Return (%)
Kaynes Technology India Ltd	5977.85	120.68
Mazagon Dock Shipbuilders Ltd	2351.85	106.56
Cochin Shipyard Ltd	1508.30	77.74
Bharat Dynamics Ltd	1280.40	53.37
Bharat Electronics Ltd	279.00	49.12
Hindustan Aeronautics Ltd	4050.80	40.14
Solar Industries India Ltd	9581.85	40.01
Astra Microwave Products Ltd	763.10	39.67
Data Patterns (India) Ltd	2296.05	23.43
Bharat Forge Ltd	1201.65	0.69

Fundamental Analysis Of Green Energy Sector

Waaree Renewable Technologies Ltd

Waaree Renewable Technologies is an engineering, procurement and construction (EPC) company focused on the renewable energy sector. The company specializes in solar EPC business, offering comprehensive solutions including rooftop solar, floating solar and ground-mounted projects through both CAPEX and RESCO models.

• Market Cap: ₹10,590.93 Cr

• Current Share Price: ₹1,015.95

• Returns: 1Y (68.83%), 1M (-22.87%), 6M (-45.84%)

• 5Y Average Net Profit Margin: -4.14%

• Dividend Yield: 0.10%

• 5Y CAGR: -4.14%

• Sector: Construction & Engineering

Inox Wind Ltd

Inox Wind is an integrated wind energy solutions provider manufacturing wind turbine generators (WTGs). With three manufacturing plants in Gujarat, Himachal Pradesh and Madhya Pradesh, the company has a cumulative manufacturing capacity of 1,600 MW, serving IPPs, utilities, PSUs and corporate clients.

• Market Cap: ₹21,586.92 Cr

• Current Share Price: ₹165.57

• Returns: 1Y (53.79%), 1M (-9.46%), 6M (10.67%)

• 5Y Average Net Profit Margin: -48.96%

• 5Y CAGR: -48.96%

• Sector: Heavy Electrical Equipments

Suzlon Energy Ltd

Suzlon Energy is a global renewable energy solutions provider specializing in wind turbine generators (WTGs). Founded in India, the company operates in 17 countries across multiple continents, offering advanced products like S144, S133 and S120 Wind Turbine Generators, along with comprehensive operations and maintenance services.

• Market Cap: ₹78,380.56 Cr

• Current Share Price: ₹57.43

• Returns: 1Y (39.56%), 1M (-10.63%), 6M (4.27%)

• 5Y Average Net Profit Margin: -9.16%

• 5Y CAGR: -9.16%

• Sector: Renewable Energy Equipment & Services

K.P. Energy Ltd

K.P. Energy specializes in wind farm development and related services in India. The company provides comprehensive solutions from siting wind farms to operations and maintenance, serving equipment manufacturers, independent power producers and institutional investors through three segments: Infrastructure Development, Power Sales and O&M Services.

• Market Cap: ₹3,043.40 Cr

• Current Share Price: ₹456.35

• Returns: 1Y (37.53%), 1M (-14.54%), 6M (11.00%)

• 5Y Average Net Profit Margin: 8.43%

• Dividend Yield: 0.10%

• 5Y CAGR: 8.43%

• Sector: Renewable Energy

JSW Energy Ltd

JSW Energy is a major power generation company focusing on both thermal and renewable energy sources. The company operates significant plants including Baspa (300 MW), Karcham Wangtoo (1091 MW) and facilities in Barmer, Vijaynagar and Ratnagiri, demonstrating its diverse power generation portfolio.

• Market Cap: ₹97,296.75 Cr

• Current Share Price: ₹557.55

• Returns: 1Y (14.98%), 1M (-14.31%), 6M (-21.45%)

• 5Y Average Net Profit Margin: 14.12%

• Dividend Yield: 0.34%

• 5Y CAGR: 14.12%

• Sector: Power Generation

Tata Power Company Ltd

Tata Power is India’s largest integrated power company, engaged in generation, transmission and distribution of electricity. The company operates across multiple segments including thermal, renewable energy and power distribution, while also providing project management services, infrastructure management and trading services through its extensive network.

• Market Cap: ₹116,917.47 Cr

• Current Share Price: ₹365.9

• Returns: 1Y (5.69%), 1M (-7.41%), 6M (-13.71%)

• 5Y Average Net Profit Margin: 4.30%

• Dividend Yield: 0.55%

• 5Y CAGR: 4.30%

• Sector: Power Transmission & Distribution

NHPC Ltd

NHPC is India’s premier hydropower company, currently constructing eight hydro projects with 6,434 MW capacity. The company operates multiple power stations including Salal, Dulhasti and Kishanganga, while also providing comprehensive consultancy services for hydropower project development, operation and modernization.

• Market Cap: ₹79,375.87 Cr

• Current Share Price: ₹79.02

• Returns: 1Y (4.04%), 1M (-3.11%), 6M (-26.36%)

• 5Y Average Net Profit Margin: 31.23%

• Dividend Yield: 2.40%

• 5Y CAGR: 31.23%

• Sector: Renewable Energy

SJVN Ltd

SJVN is a diversified power company engaged in hydro, thermal, wind and solar power generation. The company has expanded into wind power with projects like the 47.6 MW Khirvire Wind Power Project and 50 MW Sadla Wind Power Project, along with operating 81.3 MW of solar projects.

• Market Cap: ₹38,865.67 Cr

• Current Share Price: ₹98.9

• Returns: 1Y (-4.81%), 1M (-9.62%), 6M (-31.41%)

• 5Y Average Net Profit Margin: 41.40%

• Dividend Yield: 1.82%

• 5Y CAGR: 41.40%

• Sector: Renewable Energy

Orient Green Power Company Ltd

Orient Green Power specializes in renewable energy generation, primarily wind energy. The company manages a substantial portfolio of 402.3 MW wind assets distributed across Tamil Nadu, Andhra Pradesh, Gujarat and Karnataka in India, along with a 10.5 MW wind farm in Croatia, demonstrating its international presence.

• Market Cap: ₹1,885.06 Cr

• Current Share Price: ₹16.07

• Returns: 1Y (-21.08%), 1M (-4.57%), 6M (-15.05%)

• 5Y Average Net Profit Margin: 3.63%

• 5Y CAGR: 3.63%

• Sector: Renewable Energy

Adani Green Energy Ltd

Adani Green Energy is a major renewable power generation company developing, building and operating utility-scale grid-connected solar, wind and hybrid projects across India. With operations in 91 locations spanning multiple states, the company sells power through long-term PPAs and merchant arrangements.

• Market Cap: ₹165,642.28 Cr

• Current Share Price: ₹1,045.7

• Returns: 1Y (-37.79%), 1M (1.00%), 6M (-39.04%)

• 5Y Average Net Profit Margin: 7.01%

• 5Y CAGR: 7.01%

• Sector: Renewable Energy

Fundamental Analysis Of Defence Sector

Kaynes Technology India Ltd

Kaynes Technology has established itself as a leading IoT-enabled integrated electronics manufacturer since its founding. The company provides comprehensive services from conceptual design to lifecycle support, serving major players across automotive, aerospace, defense and industrial sectors through its end-to-end manufacturing capabilities.

• Market Cap: ₹38,264.68 Cr

• Current Share Price: ₹5,977.85

• Returns: 1Y (120.68%), 1M (-11.74%), 6M (52.53%)

• 5Y Average Net Profit Margin: 5.79%

• Dividend Yield: 0%

• 5Y CAGR: 5.79%

• Sector: Electrical Components & Equipments

Mazagon Dock Shipbuilders Ltd

Mazagon Dock Shipbuilders stands as India’s premier shipbuilding company, focusing on warships and submarines for the Indian Navy. The company’s expertise spans from building advanced naval vessels to commercial ships, establishing itself as a crucial player in India’s maritime defense capabilities.

• Market Cap: ₹94,868.93 Cr

• Current Share Price: ₹2,351.85

• Returns: 1Y (106.56%), 1M (1.60%), 6M (-11.67%)

• 5Y Average Net Profit Margin: 12.23%

• Dividend Yield: 0.58%

• 5Y CAGR: 12.23%

• Sector: Shipbuilding

Cochin Shipyard Ltd

Cochin Shipyard has emerged as India’s premier shipbuilding and repair facility. Founded in 1972, the company specializes in constructing sophisticated vessels ranging from aircraft carriers to specialized commercial ships. Their capabilities extend from building defence vessels like fast patrol boats to commercial vessels such as oil tankers and dredgers.

• Market Cap: ₹39,680.47 Cr

• Current Share Price: ₹1,508.3

• Returns: 1Y (77.74%), 1M (1.21%), 6M (-43.52%)

• 5Y Average Net Profit Margin: 16.84%

• Dividend Yield: 0.65%

• 5Y CAGR: 16.84%

• Sector: Shipbuilding

Bharat Dynamics Ltd

Bharat Dynamics stands as India’s premier missile systems manufacturer since 1970. The company’s expertise spans guided missiles, underwater weapons and air-borne products. With four manufacturing units across Telangana and Andhra Pradesh, they provide critical defense capabilities including advanced torpedoes and surface-to-air missiles.

• Market Cap: ₹46,934.66 Cr

• Current Share Price: ₹1,280.4

• Returns: 1Y (53.37%), 1M (5.96%), 6M (-14.28%)

• 5Y Average Net Profit Margin: 16.48%

• Dividend Yield: 0.41%

• 5Y CAGR: 16.48%

• Sector: Aerospace & Defense Equipments

Hindustan Aeronautics Ltd (HAL)

HAL has represented India’s aerospace prowess since 1940, being the backbone of Indian military aviation. The company designs, develops and manufactures a wide range of aircraft, helicopters and aero engines. Their product portfolio includes indigenous developments like LCA Tejas and ALH Dhruv, alongside licensed production of international platforms.

• Market Cap: ₹270,907.38 Cr

• Current Share Price: ₹4,050.8

• Returns: 1Y (40.14%), 1M (-1.12%), 6M (-18.94%)

• 5Y Average Net Profit Margin: 18.19%

• Dividend Yield: 0.86%

• 5Y CAGR: 18.19%

• Sector: Aerospace & Defense Equipments

Solar Industries India Ltd

Solar Industries has evolved from an industrial explosives manufacturer to a critical defence supplier. Founded in 1995, the company now produces advanced explosive materials and propellants for defence applications, including components for missiles like Pinaka and Brahmos, alongside their industrial explosives business used in mining and infrastructure development.

• Market Cap: ₹86,706.21 Cr

• Current Share Price: ₹9,581.85

• Returns: 1Y (40.01%), 1M (-1.95%), 6M (-12.18%)

• 5Y Average Net Profit Margin: 11.66%

• Dividend Yield: 0.09%

• 5Y CAGR: 11.66%

• Sector: Commodity Chemicals

Astra Microwave Products Ltd

Astra Microwave specializes in RF and microwave systems critical for defence applications. The company designs and manufactures sophisticated subsystems for radar, space and missile electronics. Their expertise in developing complex components like filters, transmitters and receivers makes them integral to India’s defence electronics ecosystem.

• Market Cap: ₹7,245.25 Cr

• Current Share Price: ₹763.1

• Returns: 1Y (39.67%), 1M (-3.56%), 6M (-15.95%)

• 5Y Average Net Profit Margin: 8.02%

• Dividend Yield: 0.26%

• 5Y CAGR: 8.02%

• Sector: Communication & Networking

Data Patterns (India) Ltd

Data Patterns represent India’s growing capabilities in defence electronics. As a vertically integrated solutions provider, they develop sophisticated systems for aerospace and defence applications, including radar subsystems, electronic warfare products and avionics. Their focus on Indigenous development aligns with India’s self-reliance goals in defence technology.

• Market Cap: ₹12,854.20 Cr

• Current Share Price: ₹2,296.05

• Returns: 1Y (23.43%), 1M (-8.54%), 6M (-28.09%)

• 5Y Average Net Profit Margin: 25.28%

• Dividend Yield: 0.28%

• 5Y CAGR: 25.28%

• Sector: Aerospace & Defense Equipments

Bharat Electronics Ltd (BEL)

Established in 1954 as a pioneer in defence electronics, BEL has evolved into a strategic asset for India’s defence sector. The company manufactures a wide range of electronic equipment and systems, from defence communication products and radar systems to civilian applications in e-mobility and cyber security, demonstrating their technological versatility.

• Market Cap: ₹203,942.83 Cr

• Current Share Price: ₹2,791

• Returns: 1Y (49.12%), 1M (-2.62%), 6M (-10.66%)

• 5Y Average Net Profit Margin: 15.94%

• Dividend Yield: 0.79%

• 5Y CAGR: 15.94%

• Sector: Electronic Equipments

Bharat Forge Ltd

Founded in 1961, Bharat Forge has transformed from a traditional forging company into a global technology leader in metal forming. The company serves diverse sectors including automotive, railways, defense and aerospace. Their recent expansion into electric vehicle components and aerospace materials showcases their commitment to future technologies and innovation.

• Market Cap: ₹57,449.52 Cr

• Current Share Price: ₹1,201.65

• Returns: 1Y (0.69%), 1M (-5.05%), 6M (-26.07%)

• 5Y Average Net Profit Margin: 4.46%

• Dividend Yield: 0.20%

• 5Y CAGR: 4.46%

• Sector: Iron & Steel

Green Energy Sector Performance & Growth

The below table shows the Green Energy Sector Performance & Growth based on 5 Year Net Profit Margin.

Name	Close Price (rs)	5Y Avg Net Profit Margin (%)
SJVN Ltd	98.90	41.40
NHPC Ltd	79.02	31.23
JSW Energy Ltd	557.55	14.12
K.P. Energy Ltd	456.35	8.43
Adani Green Energy Ltd	1045.70	7.01
Tata Power Company Ltd	365.90	4.30
Orient Green Power Company Ltd	16.07	3.63
Waaree Renewable Technologies Ltd	1015.95	-4.14
Suzlon Energy Ltd	57.43	-9.16
Inox Wind Ltd	165.57	-48.96

Defence Sector Performance & Growth

The below table shows the Defence Sector Performance & Growth based on 5 Year Net Profit Margin.

Name	Close Price (rs)	5Y Avg Net Profit Margin (%)
Data Patterns (India) Ltd	2296.05	25.28
Hindustan Aeronautics Ltd	4050.80	18.19
Cochin Shipyard Ltd	1508.30	16.84
Bharat Dynamics Ltd	1280.40	16.48
Bharat Electronics Ltd	279.00	15.94
Mazagon Dock Shipbuilders Ltd	2351.85	12.23
Solar Industries India Ltd	9581.85	11.66
Astra Microwave Products Ltd	763.10	8.02
Kaynes Technology India Ltd	5977.85	5.79
Bharat Forge Ltd	1201.65	4.46

Government Policies & Incentives For The Green Energy and Defence Sector

The government supports green energy and defence sectors through tax benefits, subsidies and production-linked incentives (PLI), promoting renewable energy projects, EV adoption and Indigenous defence manufacturing to boost sustainability and national security.

Initiatives like FAME-II for EVs, renewable energy targets and Make in India for Defence encourage domestic production, research and investment, ensuring energy security, military self-reliance and reduced dependence on imports for critical industries.

Challenges Faced By Green Energy and Defence Sector

The main challenges for both sectors include the need for advanced technology, strong manufacturing capabilities, significant capital investment and operational complexities impacting growth and strategic objectives.

• Technology Advancement: Both sectors require continuous innovation and substantial R&D investments to maintain competitive edge. Companies face pressure to develop advanced technologies while ensuring reliability and performance.

• Manufacturing Capabilities: Establishing and maintaining sophisticated manufacturing facilities requires significant investment, skilled workforce and quality control systems meeting international standards.

Future Outlook Of Green Energy and Defence Sector

Both sectors demonstrate strong growth potential through strategic importance and technological advancement. Green energy expands through environmental priorities while the defence sector grows through modernization initiatives and increasing domestic manufacturing capabilities.

These sectors reflect national priorities in environmental sustainability and security preparedness, supported by increasing budget allocations and policy frameworks promoting self-reliance and innovation.

How to invest in the Green Energy and Defence Sector Stocks?

Start by opening a demat account with Alice Blue, researching companies thoroughly across both sectors. Focus on order books, execution capabilities, technological advantages and government contract potential while understanding regulatory frameworks.

Monitor policy developments, budget allocations and project implementations while maintaining systematic investment approach. Consider long-term growth potential and strategic importance in portfolio allocation.

Difference Between Defence Sector And Green Energy Sector – Conclusion

• The main difference between the Green Energy and Defence sectors is that Green Energy focuses on sustainable power solutions, while Defence prioritizes national security through advanced military equipment and technological innovations.

• The Green Energy sector drives sustainability by developing renewable power solutions through solar, wind and hydroelectric technologies, reducing carbon emissions and promoting energy independence with continuous advancements in efficiency and innovation.

• The Defence sector develops and manufactures military equipment, weapons and strategic technologies essential for national security, ensuring defence preparedness through specialized manufacturing, technological advancements and critical infrastructure development.

• The government supports both sectors through tax benefits, subsidies and production-linked incentives, fostering renewable energy expansion, electric vehicle adoption and Indigenous defence manufacturing under initiatives like FAME-II and Make in India.

• The main challenges include technology development needs, manufacturing capabilities, capital requirements and operational complexities affecting both sectors’ growth and strategic objectives.

• Both sectors have strong growth potential, with Green Energy benefiting from sustainability efforts and Defence expanding through modernization, domestic manufacturing and government policies prioritizing self-reliance and innovation.

• Invest in these sectors by opening a demat account with Alice Blue and researching companies’ execution capabilities, government contracts and policies while maintaining a systematic approach focused on long-term strategic growth.

Green Energy Sector Vs Defence Sector – FAQs

Disclaimer: The above article is written for educational purposes and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.