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U.S. Aerospace & Defense Industry Analysis

UpdatedJun 27, 2026
DataAggregated Company Financials
Companies100
  • 7D-1.0%
  • 3M7.7%
  • 1Y24.7%
  • YTD5.6%

Over the last 7 days, the Aerospace & Defense industry has dropped 1.0%, driven by declines in Honeywell Aerospace and Rocket Lab of 17% and 21%, respectively. This takes the industry's 12 month performance to a gain of 25%. As for the next few years, earnings are expected to grow by 18% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 27 Jun 2026US$1.7tUS$530.2bUS$37.1b38.9x46.2x3.2x
Mon, 25 May 2026US$1.7tUS$529.2bUS$37.0b35.6x44.7x3.1x
Wed, 22 Apr 2026US$1.7tUS$518.0bUS$37.3b37.8x44.9x3.2x
Fri, 20 Mar 2026US$1.7tUS$511.4bUS$35.3b41.2x46.9x3.2x
Sun, 15 Feb 2026US$1.7tUS$510.3bUS$35.6b40.7x47.3x3.3x
Tue, 13 Jan 2026US$1.5tUS$410.1bUS$32.0b40.7x46x3.6x
Thu, 11 Dec 2025US$1.3tUS$409.5bUS$32.0b36.7x40.1x3.1x
Sat, 08 Nov 2025US$1.3tUS$408.9bUS$32.1b38.5x41x3.2x
Mon, 06 Oct 2025US$1.3tUS$398.6bUS$31.3b39.1x42.1x3.3x
Wed, 03 Sep 2025US$1.2tUS$395.4bUS$31.1b34.4x39.1x3.1x
Fri, 01 Aug 2025US$1.2tUS$392.8bUS$31.2b36.5x38.5x3.1x
Sun, 29 Jun 2025US$1.1tUS$387.1bUS$29.9b36.5x38.3x3x
Tue, 27 May 2025US$1.0tUS$386.7bUS$29.9b32.9x34.8x2.7x
Thu, 24 Apr 2025US$894.4bUS$381.0bUS$28.7b30.5x31.1x2.3x
Sat, 22 Mar 2025US$948.0bUS$377.0bUS$29.1b32.2x32.6x2.5x
Mon, 17 Feb 2025US$920.6bUS$376.1bUS$30.0b33.9x30.7x2.4x
Wed, 15 Jan 2025US$903.0bUS$403.8bUS$27.9b34.3x32.3x2.2x
Fri, 13 Dec 2024US$905.7bUS$403.7bUS$27.9b34.5x32.4x2.2x
Sun, 10 Nov 2024US$966.7bUS$403.3bUS$27.9b36x34.6x2.4x
Tue, 08 Oct 2024US$952.7bUS$393.7bUS$23.6b34.7x40.4x2.4x
Thu, 05 Sep 2024US$879.6bUS$388.7bUS$23.3b33.6x37.8x2.3x
Sat, 03 Aug 2024US$863.5bUS$387.8bUS$23.1b32.9x37.4x2.2x
Mon, 01 Jul 2024US$790.1bUS$381.1bUS$24.0b32.1x32.9x2.1x
Wed, 29 May 2024US$819.0bUS$380.8bUS$23.8b31.5x34.4x2.2x
Fri, 26 Apr 2024US$787.2bUS$378.9bUS$23.5b31x33.5x2.1x
Sun, 24 Mar 2024US$597.8bUS$303.9bUS$18.8b31.7x31.7x2x
Tue, 20 Feb 2024US$569.9bUS$303.1bUS$18.5b29.9x30.8x1.9x
Thu, 18 Jan 2024US$573.6bUS$302.1bUS$20.9b28.5x27.4x1.9x
Sat, 16 Dec 2023US$566.6bUS$301.7bUS$20.9b27.7x27.1x1.9x
Mon, 13 Nov 2023US$551.2bUS$301.4bUS$20.7b30x26.6x1.8x
Wed, 11 Oct 2023US$535.2bUS$301.2bUS$22.4b26.7x23.9x1.8x
Fri, 08 Sep 2023US$543.1bUS$305.9bUS$22.9b24.7x23.8x1.8x
Sun, 06 Aug 2023US$554.8bUS$305.2bUS$22.8b26.6x24.3x1.8x
Tue, 04 Jul 2023US$579.8bUS$297.4bUS$21.7b25.3x26.7x1.9x
Price to Earnings Ratio

26.7x


Total Market Cap: US$579.8bTotal Earnings: US$21.7bTotal Revenue: US$297.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Aerospace & Defense Industry Price to Earnings3Y Average 35.1x202420252026
Current Industry PE
  • Investors are optimistic on the American Aerospace & Defense industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 46.2x which is higher than its 3-year average PE of 35.1x.
  • The 3-year average PS ratio of 2.5x is lower than the industry's current PS ratio of 3.2x.
Past Earnings Growth
  • The earnings for companies in the Aerospace & Defense industry have grown 20% per year over the last three years.
  • Revenues for these companies have grown 21% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.S. Industrials industry?

US Market-2.65%
Industrials-0.38%
Aerospace & Defense-1.00%
Aerospace and Defense-1.00%
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
GE General ElectricUS$369.003.2%
+US$11.9b		45.0%PE45x
AXON Axon EnterpriseUS$464.839.8%
+US$3.3b		-43.2%PE181.9x
RTX RTXUS$187.991.3%
+US$3.2b		30.0%PE34.9x
HEI HEICOUS$345.212.4%
+US$1.1b		6.0%PE61.1x
LOAR Loar HoldingsUS$79.1410.4%
+US$699.4m		-10.0%PE109x

Latest News

RKLB
US$84.54
Rocket Lab
7D
-21.2%
1Y
138.9%
AVAV
US$137.95
AeroVironment
7D
-18.7%
1Y
-50.4%
GE
US$369.00
General Electric
7D
3.2%
1Y
45.0%
HWM
US$268.87
Howmet Aerospace
7D
-3.2%
1Y
45.4%
Narrative Update • Jun 26

HWM: Future Margin Upside Will Rely On Defense And Data Center Demand

The analyst price target for Howmet Aerospace has shifted from about $234 to roughly $305 as analysts adjust fair value, discount rate, revenue growth, profit margin, and future P/E assumptions in updated sector models following recent aerospace and defense research. Analyst Commentary Recent research on Howmet Aerospace highlights a cluster of upward price target revisions, with analysts fine tuning their models for valuation, execution and growth assumptions across the aerospace and defense group.
HEI
US$345.21
HEICO
7D
2.4%
1Y
6.0%
RTX
US$187.99
RTX
7D
1.3%
1Y
30.0%
Seeking Alpha • Jun 25

RTX: Own A Piece Of Global Multipolar Peace

Summary RTX Corporation is not a war trade. It is a peace-through-strength platform for a multipolar world that still needs air defense, engines, sensors, safe aviation, and allied readiness. After a 60% gain since my prior 'Buy' rating, RTX still has a credible setup: premium quality, disciplined sizing, and +15% base to +35% bull-case upside. The risk is execution at a premium valuation. Backlog must become deliveries, profit, and cash. But my balance of power thesis supports a 'Buy' rating. Read the full article on Seeking Alpha
BA
US$217.25
Boeing
7D
-2.5%
1Y
1.3%
MOG.A
US$425.36
Moog
7D
4.0%
1Y
135.0%
New Narrative • Jun 25

Missile And Space Capacity Expansion Will Heighten Earnings Risk And Margin Pressure

Catalysts About Moog Moog is a motion control and systems supplier serving space and defense, commercial and military aircraft, and industrial markets. What are the underlying business or industry changes driving this perspective?
AIR
US$143.14
AAR
7D
6.1%
1Y
107.3%
KTOS
US$47.21
Kratos Defense & Security Solutions
7D
-12.9%
1Y
3.0%
TXT
US$91.22
Textron
7D
2.0%
1Y
13.5%
Narrative Update • Jun 24

TXT: Industrial Separation And Sector Momentum Will Support Future EPS Rebound

Textron’s analyst price target has been revised higher by about $4.50 to $103.45, reflecting updated analyst assumptions around slightly different revenue growth, margins, discount rate, and future P/E expectations following a series of recent price target increases and ratings changes across the Street. Analyst Commentary Recent Street research on Textron shows a cluster of price target revisions and rating changes that point to a more active debate around where the stock should trade.
AXON
US$464.83
Axon Enterprise
7D
9.8%
1Y
-43.2%
Seeking Alpha • Jun 24

Axon: Time To Pull The Trigger (Rating Upgrade)

Summary Axon Enterprise is upgraded to a buy as fundamentals and growth prospects have strengthened while valuation remains nearly unchanged. AI-driven full-stack solutions and robust international adoption, including 100%+ YoY international revenue growth, reinforce its global leadership. Q1 results showed 34% YoY revenue growth, a raised 2026 outlook, and strong demand with 44% YoY bookings growth and 125% net revenue retention. Tariff pressures persist, but resilient adjusted EBITDA margin and a brightened near-term outlook make current risk/reward attractive for investors. Read the full article on Seeking Alpha
FTAI
US$260.08
FTAI Aviation
7D
-5.8%
1Y
119.3%
Narrative Update • Jun 23

FTAI: Power Platform And Capital Moves Will Drive Future Earnings Repricing

Analysts have lifted their price target on FTAI Aviation by $25, citing updated assumptions around revenue growth, profit margins, and future P/E that support a higher fair value estimate for the stock. What’s in the News for FTAI Aviation FTAI Aviation shares rallied as much as 23% over a five day stretch in June 2026, with trading activity linked to strong revenue growth in the aviation leasing business and a high GF Score in the high 80s.
HONA.V
US$221.01
Honeywell Aerospace
7D
-17.5%
1Y
n/a
NOC
US$500.03
Northrop Grumman
7D
-4.1%
1Y
1.2%
Analysis Article • Jun 20

Northrop Grumman (NOC) Stock Could Be 25.2% Undervalued After Record Backlog Update

Backlog, DARPA Project, and What They Mean for Northrop Grumman Stock Northrop Grumman (NOC) is drawing attention after reporting a record backlog of US$95.61b and highlighting its role in DARPA’s Rads to Watts program, giving investors fresh context for the stock’s recent performance. The backlog is tied in part to an expanded B-21 production agreement. It sits alongside full year 2026 guidance calling for sales between US$43.5b and US$44.0b and MTM adjusted EPS of US$27.40 to US$27.90. At...
LOAR
US$79.14
Loar Holdings
7D
10.4%
1Y
-10.0%
Narrative Update • Jun 15

LOAR: Rebased Margin Assumptions Will Support Future Upside Despite Recent Market Repricing

Narrative Update on Loar Holdings Loar Holdings' consensus analyst price target has been reduced by multiple firms in recent research, with an aggregate cut of around $40 as analysts reflect updated assumptions around discount rates, growth, and valuation multiples. Analyst Commentary Recent research reports have centered on resetting price targets for Loar Holdings rather than changing overall views on the business.