Sectors & Industries IndustrialsAerospace & Defense
Best Defense Stocks to Buy Now (2024)
Top defense stocks in 2024 ranked by overall Zen Score. See the best defense stocks to buy now, according to analyst forecasts for the aerospace & defense industry.

Industry: Aerospace & Defense

Overview Zen Score Price Valuation Financials

Forecast Earnings & Revenue Dividends Ownership Technicals

Ticker	Company	Market Cap	ROE	ROA	ROCE	ROIC	D/E	Current Ratio	Gross Margin	Profit Margin	Operating Margin
VTSI	VIRTRA INC	$183.53M	21.40%	12.80%	18.97%	23.80%	0.63	3.11	70.10%	22.10%	26.87%
LMT	LOCKHEED MARTIN CORP	$110.83B	84.70%	12.30%	23.91%	22.30%	7.27	1.30	12.10%	9.70%	12.79%
GD	GENERAL DYNAMICS CORP	$79.06B	16.50%	6.30%	11.46%	18.60%	1.58	1.44	15.80%	7.80%	10.22%
NOC	NORTHROP GRUMMAN CORP	$69.42B	14.30%	4.70%	8.77%	10.30%	2.36	1.13	16.70%	5.40%	7.58%
HII	HUNTINGTON INGALLS INDUSTRIES INC	$9.71B	18.10%	6.40%	11.75%	13.70%	1.71	0.96	14.40%	6.10%	8.34%
LHX	L3HARRIS TECHNOLOGIES INC	$40.26B	6.30%	2.90%	5.34%	10.60%	1.24	0.98	26.20%	5.80%	8.85%
ISSC	INNOVATIVE SOLUTIONS & SUPPORT INC	$109.12M	17.20%	11.70%	21.86%	24.30%	0.40	1.75	61.50%	17.00%	23.44%
CVU	CPI AEROSTRUCTURES INC	$32.52M	164.80%	26.90%	14.72%	11.70%	2.37	1.49	19.70%	19.90%	7.29%
CW	CURTISS WRIGHT CORP	$10.27B	16.60%	8.30%	14.32%	21.10%	0.94	2.02	37.60%	12.80%	18.36%
OPXS	OPTEX SYSTEMS HOLDINGS INC	$49.34M	20.80%	13.70%	20.61%	18.20%	0.46	3.69	26.50%	10.20%	12.64%
NPK	NATIONAL PRESTO INDUSTRIES INC	$598.44M	10.10%	8.40%	11.51%	16.30%	0.24	5.00	19.80%	10.10%	12.45%
AXON	AXON ENTERPRISE INC	$23.99B	11.70%	5.50%	5.88%	5.70%	1.13	3.00	61.10%	11.10%	9.91%
WWD	WOODWARD INC	$10.29B	16.40%	8.60%	13.09%	17.00%	0.87	2.62	26.00%	11.10%	15.03%
MOG.A	MOOG INC	$5.22B	11.30%	4.80%	10.25%	10.70%	1.30	2.15	27.50%	5.40%	8.86%
PKE	PARK AEROSPACE CORP	$292.86M	8.40%	6.90%	7.58%	8.30%	0.14	14.59	29.90%	17.90%	17.25%
HXL	HEXCEL CORP	$5.67B	6.00%	3.50%	5.56%	4.80%	0.73	2.74	23.50%	5.50%	7.81%
DRS	LEONARDO DRS INC	$5.58B	8.10%	4.90%	8.54%	14.70%	0.61	1.97	22.80%	6.30%	8.35%
TXT	TEXTRON INC	$16.32B	13.30%	5.60%	9.76%	10.00%	1.37	1.66	16.70%	6.70%	8.50%
ESLT	ELBIT SYSTEMS LTD	$8.99B	7.60%	2.20%	7.65%	6.90%	2.30	1.14	24.80%	3.60%	6.29%
PL	PLANET LABS PBC	$526.02M	-26.10%	-19.70%	-24.71%	-40.90%	0.36	2.71	51.20%	-63.70%	-63.30%
ERJ	EMBRAER SA	$4.95B	6.10%	1.60%	6.21%	7.20%	2.78	1.65	17.30%	3.10%	8.40%
BYRN	BYRNA TECHNOLOGIES INC	$311.04M	-14.00%	-11.60%	-12.42%	-24.90%	0.22	4.66	55.10%	-11.80%	-10.83%
EH	EHANG HOLDINGS LTD	$1.10B	-196.10%	-57.40%	-85.65%	-117.60%	1.80	1.81	64.10%	-256.90%	-254.26%
RGR	STURM RUGER & CO INC	$828.80M	14.60%	12.20%	17.59%	18.10%	0.20	4.30	24.60%	8.90%	10.86%
SPCE	VIRGIN GALACTIC HOLDINGS INC	$379.24M	-102.70%	-43.40%	-49.20%	-46.90%	1.33	5.12	-643.20%	-7,387.30%	-7,191.35%
BWXT	BWX TECHNOLOGIES INC	$8.89B	28.60%	9.00%	15.51%	11.60%	1.94	2.18	24.90%	9.80%	14.74%
VSEC	VSE CORP	$1.31B	7.30%	3.30%	7.90%	8.50%	1.19	2.70	12.80%	4.50%	9.76%
ASTC	ASTROTECH CORP	$15.43M	-23.60%	-22.20%	-25.29%	-33.00%	0.06	17.31	45.60%	-515.20%	-515.23%
SWBI	SMITH & WESSON BRANDS INC	$782.43M	6.90%	4.70%	7.28%	7.40%	0.52	3.21	27.50%	5.10%	6.76%
TATT	TAT TECHNOLOGIES LTD	$120.42M	5.70%	3.50%	6.52%	6.00%	0.61	2.40	19.70%	4.10%	6.09%
RTX	RTX CORP	$134.81B	5.30%	2.20%	4.57%	8.40%	1.62	1.07	17.00%	4.90%	7.42%
RKLB	ROCKET LAB USA INC	$1.96B	-30.50%	-18.90%	-24.33%	-31.90%	0.70	2.13	21.00%	-74.60%	-71.41%
KTOS	KRATOS DEFENSE & SECURITY SOLUTIONS INC	$2.41B	-0.90%	-0.60%	1.53%	2.20%	0.65	2.03	25.90%	-0.90%	1.98%
CAE	CAE INC	$6.52B	6.10%	2.70%	6.74%	7.30%	1.24	0.90	28.30%	6.20%	11.70%
CODA	CODA OCTOPUS GROUP INC	$74.86M	4.80%	4.50%	5.66%	13.50%	0.06	15.54	67.90%	12.90%	15.60%
RDW	REDWIRE CORP	$274.77M	N/A	-18.70%	-10.71%	-15.20%	-5.02	0.98	23.80%	-19.40%	-6.99%
CDRE	CADRE HOLDINGS INC	$1.29B	21.00%	9.40%	17.10%	20.60%	1.19	2.58	41.60%	8.00%	11.91%
HEI	HEICO CORP	$29.24B	14.00%	6.80%	9.47%	19.00%	1.12	3.17	38.70%	13.10%	19.65%
AIR	AAR CORP	$2.48B	5.30%	3.10%	6.53%	6.60%	0.73	2.90	19.10%	2.70%	4.69%
POWW	AMMO INC	$301.40M	-4.40%	-4.00%	-4.15%	-12.30%	0.11	4.85	30.40%	-11.00%	-10.47%
TDG	TRANSDIGM GROUP INC	$71.94B	-50.10%	6.70%	16.34%	13.30%	-6.89	4.07	58.60%	19.40%	44.17%
AVAV	AEROVIRONMENT INC	$4.75B	-15.60%	-11.70%	-11.77%	-19.70%	0.21	4.66	39.20%	-15.10%	-14.55%
LUNR	INTUITIVE MACHINES INC	$679.48M	-11.10%	62.90%	2,518.47%	-20,131.90%	-0.53	0.38	-26.30%	76.00%	80.06%
ATRO	ASTRONICS CORP	$634.16M	-11.10%	-4.20%	-0.61%	-0.60%	1.54	2.72	17.50%	-3.80%	-0.43%
HWM	HOWMET AEROSPACE INC	$32.20B	21.80%	8.30%	14.55%	17.00%	1.55	1.97	28.60%	12.50%	18.48%
KWE	KWESST MICRO SYSTEMS INC	$4.16M	-164.50%	-67.10%	-144.77%	445.40%	1.51	1.11	-40.40%	-716.60%	-703.44%
MRCY	MERCURY SYSTEMS INC	$1.72B	-5.50%	-3.60%	-4.66%	-7.00%	0.62	4.36	26.80%	-9.50%	-11.51%
DPRO	DRAGANFLY INC	$9.85M	-328.20%	-190.00%	-2,544.30%	-1,179.40%	19.43	0.90	31.50%	-360.20%	-361.49%
SPR	SPIRIT AEROSYSTEMS HOLDINGS INC	$3.82B	N/A	-9.30%	-5.79%	-3.90%	-14.90	1.71	3.40%	-10.20%	-4.55%
BA	BOEING CO	$110.37B	N/A	-1.60%	1.24%	0.70%	-8.91	1.14	10.00%	-2.80%	0.67%
AULT	AULT ALLIANCE INC	$10.01M	-233.60%	-58.70%	-204.99%	-72.60%	5.37	0.68	19.90%	-148.60%	-123.64%
LLAP	TERRAN ORBITAL CORP	$215.36M	N/A	-86.00%	-155.55%	-51.30%	-2.40	1.01	6.30%	-111.70%	-76.01%
DCO	DUCOMMUN INC	$818.44M	2.60%	1.50%	3.96%	4.70%	0.76	2.99	21.60%	2.10%	4.91%
SATL	SATELLOGIC INC	$109.27M	-77.30%	-55.40%	-97.58%	-132.80%	0.48	1.24	49.80%	-605.70%	-532.64%
SKYH	SKY HARBOUR GROUP CORP	$688.13M	-48.00%	-4.60%	N/A	-3.00%	3.90	N/A	5.40%	-213.60%	-206.42%
VVX	V2X INC	$1.61B	-2.30%	-0.70%	4.37%	7.00%	2.11	1.04	8.40%	-0.60%	2.47%
MNTS	MOMENTUS INC	$3.54M	-374.70%	-130.20%	-731.50%	-621.10%	6.80	0.92	76.80%	-3,625.80%	-3,475.80%
SPPL	SIMPPLE LTD	N/A	N/A	-14.60%	-29.60%	-15.60%	17.05	1.09	55.30%	-12.10%	-8.26%
ACHR	ARCHER AVIATION INC	$1.23B	-129.20%	-88.00%	-107.61%	-3,956.60%	0.51	4.21	N/A	N/A	N/A
TGI	TRIUMPH GROUP INC	$1.06B	N/A	-3.20%	7.37%	4.40%	-3.50	2.66	27.30%	-3.90%	7.19%
SIDU	SIDUS SPACE INC	$13.05M	-172.20%	-81.50%	-177.56%	-157.80%	1.71	0.75	27.50%	-243.70%	-212.37%
ZOOZ	ZOOZ POWER LTD	$19.21M	-789.50%	-16.90%	-114.96%	-17.50%	0.47	3.16	-144.60%	-1,538.60%	-1,538.61%
LOAR	LOAR HOLDINGS INC	N/A	N/A	N/A	6.96%	N/A	1.51	3.32	48.60%	-1.50%	21.89%
EVEX	EVE HOLDING INC	$1.46B	-59.30%	-47.50%	-65.08%	-59.90%	0.49	4.66	N/A	N/A	N/A
AIRI	AIR INDUSTRIES GROUP	$21.98M	-13.60%	-4.10%	-0.88%	-0.40%	2.34	1.46	14.40%	-4.10%	-0.41%
SIF	SIFCO INDUSTRIES INC	$19.28M	-27.60%	-9.70%	-14.69%	-8.70%	2.25	0.99	8.10%	-11.00%	-9.08%
AZ	A2Z SMART TECHNOLOGIES CORP	$16.09M	-503.80%	-141.30%	-545.86%	-716.40%	4.35	0.84	17.50%	-141.20%	-138.54%
ASTR	ASTRA SPACE INC	$14.99M	-23,462.80%	-167.90%	324.49%	-761.40%	-2.03	0.24	53.20%	-4,604.40%	-4,511.02%
KITT	NAUTICUS ROBOTICS INC	$11.67M	N/A	-112.30%	-478.36%	-81.50%	-1.63	0.53	-80.60%	-767.20%	-634.39%
LILM	LILIUM NV	$547.64M	-323.50%	-129.50%	-496.34%	-2,023.80%	7.42	0.84	N/A	N/A	N/A
HOVR	NEW HORIZON AIRCRAFT LTD	$36.44M	N/A	N/A	N/A	N/A	-1.42	2.85	N/A	N/A	N/A
EVTL	VERTICAL AEROSPACE LTD	$171.69M	N/A	-50.90%	-96.34%	-152.30%	-2.69	4.17	N/A	N/A	N/A

Defense Stocks FAQ

What are the best defense stocks to buy right now in May 2024?

According to Zen Score, the 3 best defense stocks to buy right now are:

1. Virtra (NASDAQ:VTSI)

Virtra (NASDAQ:VTSI) is the top defense stock with a Zen Score of 55, which is 26 points higher than the defense industry average of 29. It passed 18 out of 33 due diligence checks and has strong fundamentals. Virtra has seen its stock return 199.82% over the past year, overperforming other defense stocks by 188 percentage points.

Virtra has an average 1 year price target of $16.00, a downside of -3.15% from Virtra's current stock price of $16.52.

Virtra stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Virtra, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Lockheed Martin (NYSE:LMT)

Lockheed Martin (NYSE:LMT) is the second best defense stock with a Zen Score of 52, which is 23 points higher than the defense industry average of 29. It passed 19 out of 38 due diligence checks and has strong fundamentals. Lockheed Martin has seen its stock return 1.95% over the past year, underperforming other defense stocks by -10 percentage points.

Lockheed Martin has an average 1 year price target of $502.75, an upside of 8.84% from Lockheed Martin's current stock price of $461.91.

Lockheed Martin stock has a consensus Buy recommendation according to Wall Street analysts. Of the 8 analysts covering Lockheed Martin, 37.5% have issued a Strong Buy rating, 0% have issued a Buy, 62.5% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Northrop Grumman (NYSE:NOC)

Northrop Grumman (NYSE:NOC) is the third best defense stock with a Zen Score of 49, which is 20 points higher than the defense industry average of 29. It passed 17 out of 38 due diligence checks and has strong fundamentals. Northrop Grumman has seen its stock return 5.72% over the past year, underperforming other defense stocks by -6 percentage points.

Northrop Grumman has an average 1 year price target of $496.83, an upside of 5.91% from Northrop Grumman's current stock price of $469.09.

Northrop Grumman stock has a consensus Hold recommendation according to Wall Street analysts. Of the 6 analysts covering Northrop Grumman, 16.67% have issued a Strong Buy rating, 0% have issued a Buy, 66.67% have issued a hold, while 16.67% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the defense stocks with highest dividends?

Out of 20 defense stocks that have issued dividends in the past year, the 3 defense stocks with the highest dividend yields are:

1. National Presto Industries (NYSE:NPK)

National Presto Industries (NYSE:NPK) has an annual dividend yield of 5.35%, which is 4 percentage points higher than the defense industry average of 1.55%. National Presto Industries's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. National Presto Industries's dividend has shown consistent growth over the last 10 years.

National Presto Industries's dividend payout ratio of 92.6% indicates that its high dividend yield might not be sustainable for the long-term.

2. Park Aerospace (NYSE:PKE)

Park Aerospace (NYSE:PKE) has an annual dividend yield of 3.46%, which is 2 percentage points higher than the defense industry average of 1.55%. Park Aerospace's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Park Aerospace's dividend has shown consistent growth over the last 10 years.

Park Aerospace's dividend payout ratio of 319.1% indicates that its dividend yield might not be sustainable for the long-term.

3. Smith & Wesson Brands (NASDAQ:SWBI)

Smith & Wesson Brands (NASDAQ:SWBI) has an annual dividend yield of 2.79%, which is 1 percentage points higher than the defense industry average of 1.55%.

Smith & Wesson Brands's dividend payout ratio of 80.7% indicates that its dividend yield is sustainable for the long-term.

Why are defense stocks up?

Defense stocks were up 0.77% in the last day, and up 1.71% over the last week.

We couldn't find a catalyst for why defense stocks are up.

What are the most undervalued defense stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued defense stocks right now are:

1. Cpi Aerostructures (NYSEMKT:CVU)

Cpi Aerostructures (NYSEMKT:CVU) is the most undervalued defense stock based on WallStreetZen's Valuation Score. Cpi Aerostructures has a valuation score of 71, which is 52 points higher than the defense industry average of 19. It passed 5 out of 7 valuation due diligence checks.

Cpi Aerostructures's stock has dropped -23.56% in the past year. It has underperformed other stocks in the defense industry by -35 percentage points.

2. Innovative Solutions & Support (NASDAQ:ISSC)

Innovative Solutions & Support (NASDAQ:ISSC) is the second most undervalued defense stock based on WallStreetZen's Valuation Score. Innovative Solutions & Support has a valuation score of 71, which is 52 points higher than the defense industry average of 19. It passed 5 out of 7 valuation due diligence checks.

Innovative Solutions & Support's stock has dropped -5.87% in the past year. It has underperformed other stocks in the defense industry by -17 percentage points.

3. Virtra (NASDAQ:VTSI)

Virtra (NASDAQ:VTSI) is the third most undervalued defense stock based on WallStreetZen's Valuation Score. Virtra has a valuation score of 57, which is 38 points higher than the defense industry average of 19. It passed 4 out of 7 valuation due diligence checks.

Virtra's stock has gained 199.82% in the past year. It has overperformed other stocks in the defense industry by 188 percentage points.

Are defense stocks a good buy now?

54.35% of defense stocks rated by analysts are a strong buy right now. On average, analysts expect defense stocks to rise by 6.14% over the next year.

What is the average p/e ratio of the aerospace & defense industry?

The average P/E ratio of the aerospace & defense industry is 23.4x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.