Defense Stocks (Page 7)

Partnerships

The Pentagon Just Locked Boeing and RTX Into Seven Years of SM-3 Parts

The Pentagon signed two seven-year SM-3 component frameworks with Boeing and RTX. Neither side disclosed a dollar value. The only official print this month is MDA’s $745 million Block IIA award for the United States and Japan.

Quadcopter drone over a ground radar dish at twilight

Drones

Anduril Won Half of DHS’s $1.5 Billion Drone-Defense Vehicle. It Wants the Other Half.

Anduril won the services track of DHS’s $1.5 billion, five-year counter-UAS vehicle and missed the hardware track. It protested at GAO on August 12. A decision is due November 20.

RQ-4 Global Hawk ISR aircraft at NAS Sigonella (public domain / U.S. Air Force)

Funding

HII Mission Technologies Wins a $2.2 Billion SOUTHCOM ISR Task Order

HII’s $2.2B STINGRAI task order under GSA ASTRO is a Mission Technologies ISR win for SOUTHCOM—not a shipbuilding award—and it stretches one base year plus six options.

United States Capitol west front, Washington, D.C., illustrating congressional defense funding and continuing resolution debates

Policy and Budgets

The Senate CR Funds the Pentagon—But Blocks New Multiyear Munitions Starts

The Senate’s 90-6-1 stopgap would fund the Pentagon through Dec. 11 at FY26 levels while rejecting a $1B battleship anomaly and five multiyear munitions obligations. The House CR ends Dec. 4—compromise still required.

Patriot air-defense system at sunrise in Slovakia (public domain / U.S. Army)

Companies

Northrop’s $3 Billion Framework Makes It PAC-3’s Second Rocket-Motor Source

Northrop’s ~$2B PAC-3 SRM and ~$1B THAAD structure frameworks cast the company as a second solid-rocket-motor source—exactly the redundancy the Pentagon wants.

Pratt & Whitney F135 engine for the F-35 Lightning II (public domain / U.S. Air Force)

Aerospace

RTX’s Pratt Lands a $1.3 Billion F135 Spares Order for the Global F-35 Fleet

A $1.295 billion UCA modification for F135 spare parts—not new engine lots—underscores how F-35 readiness, not just production, feeds RTX’s military engines franchise.

Virginia-class attack submarine returning to General Dynamics Electric Boat shipyard, illustrating GD Marine Systems submarine programs

Naval

GD’s Marine Systems Growth and 1.4x Book-to-Bill Underscore the Submarine Supercycle

General Dynamics posted $14.1B revenue (+8.1%) and $4.24 EPS, with Marine Systems at $4.660B (+10.4%), Aerospace at $3.525B (+15.1%), and a 1.4x book-to-bill on $14.7B of defense orders.

U.S. Army Patriot air-defense launcher fires during Valiant Shield 22 (public domain / DoD)

Companies

Lockheed’s $58.62 Billion PAC-3 Ceiling Is a Demand Signal, Not Cash in the Bank

War.gov and Lockheed put a $58.62 billion multiyear face value on PAC-3 MSE—but no funds were obligated at award. Here’s how investors should read the ceiling.

Aerospace

Boeing Defense Grew 13%—Then Gave It Back on Air Force One

Boeing’s BDS unit posted $7.483B revenue (+13%) but a $15M operating loss after $280M in VC-25B charges. MQ-25A hit first flight and Milestone C; T-7A entered LRIP; backlog ~$85B with 27% non-U.S.

Patriot missile launch during Balikatan 2023 (public domain / U.S. Army)

Funding

L3Harris Will Nearly Triple PAC-3 Motors and Quadruple THAAD Propulsion

L3Harris’s seven-year PAC-3 and THAAD propulsion frameworks disclose no dollar values—only rate targets. For LHX investors, the signal is capacity, not backlog.