Pentagon Accelerates Missile System Production Amid Conflict
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5 days ago
0mins
Source: seekingalpha
- Production Capacity Boost: The Pentagon has reached framework agreements with Lockheed Martin and BAE Systems to quadruple the production of seekers for the Terminal High Altitude Area Defense (THAAD) interceptor, significantly enhancing U.S. defense capabilities in response to heavy usage during the early stages of the U.S.-Israeli conflict with Iran.
- Missile System Upgrade: Lockheed Martin will also increase production of the Precision Strike Missile (PrSM), which is set to replace the Army Tactical Missile System (ATACMS), thereby improving the Army's strike capabilities and battlefield flexibility.
- Critical Component Investment: Honeywell Aerospace plans to invest $500 million over several years to surge production of critical components for America’s munitions stockpile, including navigation systems, ensuring a sustained supply of military equipment for the U.S.
- Positive Market Reaction: Following this news, Lockheed Martin shares rose 0.3% in premarket trading, while Honeywell shares gained 1.39%, indicating market optimism regarding defense spending and potential long-term growth for related companies.
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Analyst Views on HON
Wall Street analysts forecast HON stock price to rise
15 Analyst Rating
8 Buy
6 Hold
1 Sell
Moderate Buy
Current: 223.120
Low
195.00
Averages
235.07
High
262.00
Current: 223.120
Low
195.00
Averages
235.07
High
262.00
About HON
Honeywell International Inc. is an integrated operating company serving a range of industries and geographies around the world, with a portfolio that is underpinned by its Honeywell Accelerator operating system and Honeywell Forge platform. The Company provides actionable solutions for aerospace, building automation, industrial automation, process automation, and process technology. The Company supplies products, software, and services for aircrafts that it sells to original equipment manufacturers (OEM) and other customers in a variety of end markets. The Company’s portfolio of solutions and services is used in buildings worldwide for fire prevention, controls, access and security. Its offerings serve as the fundamental building blocks of industrial automation. Its sensor technologies and value-added smart edge devices offer connectivity across a variety of sensing and measurement applications. The Company offers a comprehensive portfolio of end-to-end process automation solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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- Company Overview: Honeywell is an integrated operating company that provides solutions across various industries globally, supported by its Honeywell Accelerator and Honeywell Forge platforms, showcasing its strengths in technological innovation and market adaptability.
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