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U.S. Aerospace and Defense Industry Analysis

UpdatedApr 05, 2026
DataAggregated Company Financials
Companies97
  • 7D3.0%
  • 3M-1.3%
  • 1Y63.1%
  • YTDn/a

Over the last 7 days, the Aerospace and Defense industry has risen 3.0%, driven by gains from Boeing of 9.3%. In the last 12 months, the industry was up 63%. Earnings are forecast to grow by 17% annually.

Industry Valuation and Performance

Has the U.S. Aerospace and Defense Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 05 Apr 2026US$1.6tUS$511.7bUS$36.3b35.9x43.8x3.1x
Tue, 03 Mar 2026US$1.7tUS$511.3bUS$35.6b44x48.9x3.4x
Thu, 29 Jan 2026US$1.7tUS$507.0bUS$34.7b41.7x48.6x3.3x
Sat, 27 Dec 2025US$1.4tUS$410.0bUS$32.0b37.7x43.3x3.4x
Mon, 24 Nov 2025US$1.3tUS$409.3bUS$32.3b36.1x38.9x3.1x
Wed, 22 Oct 2025US$1.3tUS$405.3bUS$32.3b39x40.7x3.2x
Fri, 19 Sep 2025US$1.2tUS$395.7bUS$31.0b36.9x40.2x3.1x
Sun, 17 Aug 2025US$1.2tUS$394.0bUS$31.0b34.2x38.2x3x
Tue, 15 Jul 2025US$1.2tUS$387.1bUS$29.9b35.4x38.6x3x
Thu, 12 Jun 2025US$1.1tUS$387.0bUS$29.9b34.1x36.4x2.8x
Sat, 10 May 2025US$1.0tUS$386.1bUS$29.4b33.3x34x2.6x
Mon, 07 Apr 2025US$839.1bUS$377.4bUS$28.8b26.5x29.1x2.2x
Wed, 05 Mar 2025US$929.7bUS$376.7bUS$30.1b32.5x30.9x2.5x
Fri, 31 Jan 2025US$931.1bUS$375.7bUS$30.0b34x31x2.5x
Sun, 29 Dec 2024US$891.3bUS$403.7bUS$28.0b33.4x31.9x2.2x
Tue, 26 Nov 2024US$952.0bUS$403.8bUS$27.8b35x34.2x2.4x
Thu, 24 Oct 2024US$937.1bUS$402.3bUS$27.6b34.2x33.9x2.3x
Sat, 21 Sep 2024US$911.0bUS$388.8bUS$23.2b34.4x39.3x2.3x
Mon, 19 Aug 2024US$878.3bUS$388.4bUS$23.2b33x37.8x2.3x
Wed, 17 Jul 2024US$799.7bUS$381.1bUS$24.0b37.5x33.3x2.1x
Fri, 14 Jun 2024US$791.8bUS$381.1bUS$23.9b31.9x33.2x2.1x
Sun, 12 May 2024US$812.4bUS$380.8bUS$23.8b31.5x34.1x2.1x
Tue, 09 Apr 2024US$778.5bUS$371.9bUS$27.6b32.3x28.2x2.1x
Thu, 07 Mar 2024US$582.1bUS$303.9bUS$18.7b31.7x31.1x1.9x
Sat, 03 Feb 2024US$579.9bUS$306.9bUS$18.1b31.2x32x1.9x
Mon, 01 Jan 2024US$580.4bUS$302.1bUS$20.9b28.4x27.8x1.9x
Wed, 29 Nov 2023US$556.0bUS$301.6bUS$20.9b27.7x26.6x1.8x
Fri, 27 Oct 2023US$539.4bUS$299.7bUS$20.0b28x27x1.8x
Sun, 24 Sep 2023US$515.1bUS$305.9bUS$22.6b24.8x22.8x1.7x
Tue, 22 Aug 2023US$552.9bUS$305.7bUS$22.8b25.3x24.3x1.8x
Thu, 20 Jul 2023US$570.2bUS$299.3bUS$23.0b26.5x24.8x1.9x
Sat, 17 Jun 2023US$574.9bUS$300.3bUS$21.9b25.7x26.3x1.9x
Mon, 15 May 2023US$556.2bUS$300.1bUS$21.8b24.3x25.5x1.9x
Wed, 12 Apr 2023US$585.3bUS$294.7bUS$21.8b24.1x26.8x2x
Price to Earnings Ratio

26.8x


Total Market Cap: US$585.3bTotal Earnings: US$21.8bTotal Revenue: US$294.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Aerospace and Defense Industry Price to Earnings3Y Average 33.7x202420252026
Current Industry PE
  • Investors are optimistic on the American Aerospace and Defense industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 43.8x which is higher than its 3-year average PE of 33.7x.
  • The 3-year average PS ratio of 2.4x is lower than the industry's current PS ratio of 3.1x.
Past Earnings Growth
  • The earnings for companies in the Aerospace and Defense industry have grown 19% per year over the last three years.
  • Revenues for these companies have grown 20% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Comparison

How does U.S. Aerospace and Defense compare with similar industries?

US Market3.46%
Industrials2.97%
Aerospace & Defense2.96%
Aerospace and Defense2.96%
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
BA BoeingUS$208.229.3%
+US$13.9b		52.4%PE86.6x
RTX RTXUS$196.213.4%
+US$8.7b		67.1%PE39.2x
RKLB Rocket LabUS$67.7311.2%
+US$3.9b		313.7%PS64.1x
NOC Northrop GrummanUS$702.503.5%
+US$3.3b		44.7%PE23.8x
LHX L3Harris TechnologiesUS$356.003.8%
+US$2.4b		76.2%PE41.4x

Latest News

HXL
US$79.21
Hexcel
7D
-0.2%
1Y
64.5%
LHX
US$356.00
L3Harris Technologies
7D
3.8%
1Y
76.2%
TATT
US$40.13
TAT Technologies
7D
-4.9%
1Y
56.5%

TATT: New Cargo MRO Wins And Backlog Visibility Will Support Future Upside

Narrative Update on TAT Technologies The analyst price target for TAT Technologies has shifted modestly higher, with the new fair value estimate moving to about $61.17, supported by recent target increases tied to contract wins, higher book-to-bill expectations, and updated views on discount rates, margins, and future P/E assumptions. Analyst Commentary Recent research coverage on TAT Technologies has centered on contract wins, book-to-bill expectations, and how these feed into valuation frameworks such as target P/E assumptions and discount rates.
RKLB
US$67.73
Rocket Lab
7D
11.2%
1Y
313.7%

RKLB: National Security Payload Backlog Will Drive Long Term Upside

The analyst price target for Rocket Lab edges higher to $119.85 from $119.10 as analysts factor in slightly stronger revenue growth assumptions, a modestly higher long term profit margin, and a marginally lower discount rate, while keeping future P/E expectations broadly similar. Analyst Commentary Recent research updates on Rocket Lab reflect a mix of enthusiasm and caution, with bullish analysts highlighting execution in launch and space systems, alongside new growth avenues from acquisitions and government programs, while more neutral and bearish voices focus on timing risks and the market already pricing in key growth drivers.
AXON
US$412.81
Axon Enterprise
7D
-4.0%
1Y
-17.0%
BA
US$208.22
Boeing
7D
9.3%
1Y
52.4%

BA: Widebody Orders And Defense Will Support Future Upside Potential

Analysts now place Boeing's price target near $271, up from about $247. This reflects updated views on fair value, a slightly higher discount rate, modestly lower revenue growth assumptions, a small uplift in profit margin, and a higher future P/E.
LMT
US$622.79
Lockheed Martin
7D
1.1%
1Y
44.1%
KTOS
US$67.31
Kratos Defense & Security Solutions
7D
-6.4%
1Y
141.9%

KTOS: Hypersonic And Drone Program Wins Will Drive Future Upside Potential

Analysts have significantly raised Kratos Defense & Security Solutions' blended price target into a higher $100+ range, citing expectations for stronger revenue growth and profit margins supported by DRSS sales targets, demand for jet drones and hypersonic systems, and expanding roles in key U.S. defense programs. Analyst Commentary Street research on Kratos Defense & Security Solutions has become more concentrated in a higher price target range, with multiple firms lifting their targets after recent earnings and guidance updates.
RTX
US$196.21
RTX
7D
3.4%
1Y
67.1%
MRLN
US$8.27
Merlin
7D
-16.4%
1Y
-17.4%
GE
US$281.16
General Electric
7D
-0.6%
1Y
68.6%

GE: Engine Franchise And Long Cycle Services Will Support Future Returns

Analysts have inched their price expectations for General Electric higher, with the updated fair value estimate moving from $424.14 to $425.00 as they factor in refreshed views on earnings power, profit margins, and long term engine business fundamentals reflected in recent Street research on GE Aerospace. Analyst Commentary Recent Street research on GE Aerospace has leaned positive, with several bullish analysts updating price targets and ratings as they reassess the engine franchise, earnings power, and long term guidance framework.
HWM
US$232.68
Howmet Aerospace
7D
2.1%
1Y
107.1%

HWM: Aerospace And Turbine Demand Will Support Premium Future Earnings Multiple

Analysts are converging around a higher outlook for Howmet Aerospace, with several firms lifting price targets into the $265 to $315 range as they highlight stronger end market growth, record margins, and what they see as a business capable of supporting a premium P/E multiple. Analyst Commentary Bullish analysts are leaning into a constructive view on Howmet Aerospace, pointing to execution, earnings outperformance, and exposure to healthy end markets as key drivers behind a wave of higher price targets into the mid US$200s to low US$300s.
HEI
US$271.77
HEICO
7D
-0.6%
1Y
12.4%

HEI: Fine Tuned Assumptions And Elevated P/E Will Shape Balanced Returns

Analysts have kept their price target for HEICO steady at $295.97, with small adjustments to assumptions for discount rate, revenue growth, profit margin, and future P/E helping to fine tune rather than reshape their outlook. Valuation Changes Fair Value: $295.97 is unchanged, indicating no adjustment to the central valuation estimate.
NOC
US$702.50
Northrop Grumman
7D
3.5%
1Y
44.7%

NOC: The Architect of the New Nuclear Triad

Northrop Grumman Corporation (NOC) is currently solidifying its position as the premier partner for the United States' long-term strategic modernization. As of the market close on March 27, 2026, the stock is trading at $678.74 USD on the NYSE, experiencing a period of technical consolidation after hitting a 52-week high of $774 earlier in the year.
TDG
US$1,167.00
TransDigm Group
7D
2.4%
1Y
-5.7%

TDG: Aftermarket Cash Flows And Buybacks Will Drive Future Returns

TransDigm Group's analyst price target has been adjusted slightly higher to $1,591.25, as analysts factor in updated assumptions around discount rates, revenue growth, profit margins, and future P/E multiples following a mix of recent target hikes and cuts across the Street. Analyst Commentary Recent Street research around TransDigm Group shows a split between bullish analysts lifting price targets and more cautious voices lowering targets or moving to neutral stances.
VWAV
US$5.66
VisionWave Holdings
7D
-13.1%
1Y
n/a