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U.S. Aerospace & Defense Industry Analysis

UpdatedJun 22, 2026
DataAggregated Company Financials
Companies102
  • 7D1.7%
  • 3M5.3%
  • 1Y30.6%
  • YTD6.6%

Over the last 7 days, the Aerospace & Defense industry has risen 1.7%, driven by gains from Honeywell Aerospace of 34%. In the last 12 months, the industry was up 31%. Looking forward, earnings are forecast to grow by 18% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 22 Jun 2026US$1.7tUS$530.2bUS$37.1b40.3x46.7x3.3x
Wed, 20 May 2026US$1.6tUS$529.2bUS$37.5b34.4x43.1x3.1x
Fri, 17 Apr 2026US$1.7tUS$511.7bUS$36.3b38.9x46x3.3x
Sun, 15 Mar 2026US$1.6tUS$511.4bUS$35.2b41.6x46.6x3.2x
Tue, 10 Feb 2026US$1.7tUS$509.8bUS$35.5b42.8x47.3x3.3x
Thu, 08 Jan 2026US$1.5tUS$410.1bUS$32.0b38.9x45.4x3.5x
Sat, 06 Dec 2025US$1.3tUS$409.5bUS$32.0b37x40.1x3.1x
Mon, 03 Nov 2025US$1.4tUS$408.1bUS$32.3b38.9x42.2x3.3x
Wed, 01 Oct 2025US$1.3tUS$395.8bUS$31.0b39x41.3x3.2x
Fri, 29 Aug 2025US$1.2tUS$394.2bUS$31.0b35.3x39.2x3.1x
Sun, 27 Jul 2025US$1.2tUS$392.6bUS$31.2b36.5x38.4x3.1x
Tue, 24 Jun 2025US$1.1tUS$387.0bUS$29.9b34.7x37.3x2.9x
Thu, 22 May 2025US$1.1tUS$386.7bUS$30.0b32.4x35.3x2.7x
Sat, 19 Apr 2025US$921.1bUS$377.4bUS$28.8b31.1x32x2.4x
Mon, 17 Mar 2025US$929.1bUS$377.0bUS$29.1b31.9x32x2.5x
Wed, 12 Feb 2025US$946.0bUS$375.6bUS$29.9b33.7x31.6x2.5x
Fri, 10 Jan 2025US$882.8bUS$403.9bUS$27.9b33.1x31.6x2.2x
Sun, 08 Dec 2024US$927.5bUS$403.7bUS$27.9b34.8x33.2x2.3x
Tue, 05 Nov 2024US$900.4bUS$403.1bUS$27.7b32.6x32.5x2.2x
Thu, 03 Oct 2024US$935.0bUS$393.7bUS$23.6b35.4x39.6x2.4x
Sat, 31 Aug 2024US$898.3bUS$388.7bUS$23.3b34.3x38.6x2.3x
Mon, 29 Jul 2024US$850.5bUS$387.2bUS$22.9b34.6x37.1x2.2x
Wed, 26 Jun 2024US$799.0bUS$381.1bUS$23.9b32x33.5x2.1x
Fri, 24 May 2024US$813.2bUS$380.8bUS$23.8b31.4x34.1x2.1x
Sun, 21 Apr 2024US$762.3bUS$371.1bUS$27.8b29.4x27.4x2.1x
Tue, 19 Mar 2024US$586.3bUS$303.9bUS$18.9b31.2x31.1x1.9x
Thu, 15 Feb 2024US$563.3bUS$303.1bUS$18.5b29.7x30.4x1.9x
Sat, 13 Jan 2024US$583.1bUS$302.1bUS$20.9b29.3x27.9x1.9x
Mon, 11 Dec 2023US$566.7bUS$301.7bUS$20.9b28.2x27.1x1.9x
Wed, 08 Nov 2023US$553.7bUS$301.3bUS$20.6b28.2x26.9x1.8x
Fri, 06 Oct 2023US$497.7bUS$301.2bUS$22.4b26.1x22.2x1.7x
Sun, 03 Sep 2023US$559.0bUS$305.8bUS$22.8b25.5x24.5x1.8x
Tue, 01 Aug 2023US$561.0bUS$304.0bUS$22.8b26.3x24.7x1.8x
Thu, 29 Jun 2023US$565.7bUS$297.4bUS$21.7b24.7x26.1x1.9x
Price to Earnings Ratio

26.1x


Total Market Cap: US$565.7bTotal 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 35x202420252026
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 46.7x which is higher than its 3-year average PE of 35.0x.
  • The 3-year average PS ratio of 2.5x is lower than the industry's current PS ratio of 3.3x.
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 Market1.40%
Industrials2.54%
Aerospace & Defense1.66%
Aerospace and Defense1.66%
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
HONA.V Honeywell AerospaceUS$267.8033.9%
+US$21.5b		n/aPE33.4x
GE General ElectricUS$357.644.5%
+US$16.0b		44.3%PE43.6x
HWM Howmet AerospaceUS$277.662.7%
+US$2.9b		58.1%PE63.7x
TDG TransDigm GroupUS$1.33k4.0%
+US$2.9b		-9.7%PE39.9x
RTX RTXUS$185.601.1%
+US$2.6b		27.3%PE34.4x

Latest News

HWM
US$277.66
Howmet Aerospace
7D
2.7%
1Y
58.1%
Seeking Alpha • 6h

Howmet Aerospace: A Powerful Nexus Of Secular Trends

Summary Howmet Aerospace earns a 'Strong Buy' rating for its critical role in both the aerospace and AI infrastructure value chains. HWM commands a dominant market position, outpacing domestic competitors in aerospace revenue growth and leveraging a vast IP portfolio. The company is a key supplier to global gas turbine leaders, positioning HWM to benefit from sustained AI-driven energy demand and supply constraints. While HWM trades at elevated multiples, its consistent profitability improvements and exposure to secular megatrends justify market confidence in continued execution. Read the full article on Seeking Alpha
TDG
US$1,328.31
TransDigm Group
7D
4.0%
1Y
-9.7%
Analysis Article • Jun 21

TransDigm Group (TDG) Stock Could Be 12.8% Undervalued After Q2 Results And Acquisitions

Q2 results and acquisitions put TransDigm Group (TDG) in focus TransDigm Group (TDG) is back on investors’ radar after reporting strong Q2 2026 results, raising its full year outlook, and closing a US$2.2b acquisition in the aerospace aftermarket. See our latest analysis for TransDigm Group. At a share price of US$1,328.31, TransDigm Group has seen short term momentum pick up, with a 5.75% 7 day share price return and 9.46% 30 day share price return. However, the 3 year total shareholder...
LMT
US$510.95
Lockheed Martin
7D
-3.7%
1Y
8.1%
Analysis Article • Jun 21

Lockheed Martin (LMT) Stock Could Be 24.2% Undervalued After US Iran Peace Deal

The interim peace agreement between the U.S. and Iran has reduced conflict risk, and Lockheed Martin (LMT) is feeling the impact, with defense stocks facing a broad reset in expectations for new weapons demand. See our latest analysis for Lockheed Martin. Lockheed Martin’s share price has come under pressure, with a 1-day share price return showing a 4.01% decline and a 90-day share price return showing a 17.09% decline. However, the 1-year total shareholder return of 11.51% and 5-year total...
HONA.V
US$267.80
Honeywell Aerospace
7D
33.9%
1Y
n/a
NOC
US$521.50
Northrop Grumman
7D
-4.3%
1Y
4.4%
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...
TXT
US$89.47
Textron
7D
-4.6%
1Y
15.4%
Analysis Article • Jun 20

Textron (TXT) Stock Could Be 9.6% Undervalued As Denali Engine Certification Nears

Textron stock performance snapshot Textron (TXT) has been relatively steady recently, with the stock down about 3% over the past week and slightly lower over the past month, while still showing a gain over the past 3 months. At a recent close of $89.47 and a market value of about $15.6b, Textron operates in both industrials and aerospace, with exposure to aircraft, defense programs, specialty vehicles, and related financing activities. See our latest analysis for Textron. Recent trading has...
RTX
US$185.60
RTX
7D
1.1%
1Y
27.3%
BA
US$222.72
Boeing
7D
-2.7%
1Y
10.6%
Analysis Article • Jun 19

Boeing (BA) Stock Could Be 18% Undervalued on Backlog Driven Growth Narrative

Boeing (BA) stock has drawn fresh attention after recent trading left it at a last close of US$222.72. This gives the company a market value of about US$177.9b and puts recent returns into sharper focus for investors. See our latest analysis for Boeing. Recent trading has been choppy for Boeing, with the share price slipping 1.29% over the last day but still sitting on a 14.15% 3 month share price return and a 12.67% 1 year total shareholder return, which may indicate that momentum has picked...
FTAI
US$276.11
FTAI Aviation
7D
4.8%
1Y
112.0%
Analysis Article • Jun 19

FTAI Aviation (FTAI) Stock Could Be 22.7% Overvalued After Redemption And AI Power Optimism

FTAI Aviation (FTAI) is back in focus after announcing the full redemption of its high-cost Series C preferred shares, along with a large asset-backed securitization and renewed attention on its AI data center power plans. See our latest analysis for FTAI Aviation. The recent preferred share redemption, securitization and AI power plans sit against a strong backdrop for FTAI Aviation. The share price is $276.11 with a 30-day share price return of 23.54%, supported by a 1-year total...
GD
US$350.01
General Dynamics
7D
-2.6%
1Y
24.0%
WWD
US$430.08
Woodward
7D
6.9%
1Y
78.0%
Narrative Update • Jun 18

WWD: Rich Stock Price Will Depend On Commercial Aerospace Backlogs Holding Up

The analyst price target for Woodward stock has been revised slightly higher to $391.90 from $391.26 as analysts factor in updated assumptions around the discount rate, revenue growth, profit margin and future P/E, following recent positive coverage and price target increases from several firms. Analyst Commentary Recent research coverage of Woodward highlights a generally constructive stance on the company, with several firms initiating with positive views and issuing higher price targets.
GE
US$357.64
General Electric
7D
4.5%
1Y
44.3%
CRS
US$586.47
Carpenter Technology
7D
4.1%
1Y
124.4%
LHX
US$294.82
L3Harris Technologies
7D
-3.1%
1Y
17.4%
RKLB
US$107.24
Rocket Lab
7D
-1.8%
1Y
227.2%
Seeking Alpha • Jun 17

Rocket Lab: The End Of The SpaceX Proxy

Summary Rocket Lab lost roughly $25 billion in market value despite maintaining strong operational momentum and growth outlook. Q1 revenue surged 63.5% to $200.3 million while backlog doubled to a record $2.2 billion. Neutron could generate $1.0-$1.1 billion annually under a 20-launch scenario, exceeding FY2025 revenue projections. Gross margins reached record levels of 38.2% GAAP and 43% non-GAAP despite heavy investment spending. Management sees a path toward $2-$3 billion annual revenue through Space Systems, Neutron, Electron, and HASTE growth. Read the full article on Seeking Alpha
AXON
US$423.40
Axon Enterprise
7D
-4.5%
1Y
-45.9%
Narrative Update • Jun 15

AXON: AI And Public Safety Platform Expansion Will Support Long Term Upside

Axon Enterprise's analyst price target has been reduced by $100 to $825, as analysts incorporate higher discount rates and a lower future P/E multiple, while still reflecting updated assumptions for revenue growth and profit margins. Analyst Commentary Recent Street research on Axon Enterprise has focused on recalibrating price targets, with several firms revising their assumptions around discount rates and future P/E multiples.