From Nasdaq:

The fourth-quarter reporting cycle for defense stocks is off to a strong start, with companies like Lockheed Martin, General Dynamics, Northrop Grumman, and Textron reporting better-than-expected earnings. As geopolitical instability prompts increased defense spending, other companies like CAE Inc. and Leidos Holdings are expected to beat earnings this reporting cycle. With major defense primes seeing increased order inflows and rising commercial air passenger traffic, Q4 earnings for defense stocks are projected to rise 8.6% on 6.8% sales growth. The highly diverse defense space has seen the rise of certain stocks, such as CAE Inc., Leidos Holdings, and Triumph Group, as potential areas for an earnings beat. Their stock rankings show a high degree of potential for outperforming other companies. Their upcoming earnings reports will provide more information on their potential success in the market.



Read more: 3 Defense Stocks Poised to Surpass Q4 Earnings Estimates