Global Military Spending Hits Record High Amid Geopolitical Tensions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 27 2026
0mins
Source: CNBC
- Surge in Global Military Spending: According to the Stockholm International Peace Research Institute, global military expenditure reached $2.89 trillion in 2025, marking a 2.9% increase, reflecting heightened national priorities on defense amid ongoing wars and geopolitical upheaval.
- Significant Growth in Europe: Military spending in Europe rose by 14% to $864 billion in 2025, with Germany exceeding NATO's 2% GDP guideline for the first time, reaching 2.3%, indicating a substantial shift in the region's security focus.
- Rising Military Expenditure in Asia: Military spending in Asia and Oceania increased by 8.1% to $681 billion in 2025, with Taiwan's expenditure rising 14% to $18.2 billion, highlighting the urgency of security concerns and reliance on U.S. support in the region.
- Defense Stocks Soar: The surge in military spending has led to significant stock price increases, with Hanwha Aerospace's shares rising 193% in 2025, while Mitsubishi Heavy Industries and Kawasaki Heavy Industries saw gains of 72.7% and 42.6%, respectively, showcasing the robust growth potential in the defense sector.
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Analyst Views on BA
Wall Street analysts forecast BA stock price to rise
16 Analyst Rating
14 Buy
1 Hold
1 Sell
Strong Buy
Current: 221.300
Low
150.00
Averages
269.14
High
298.00
Current: 221.300
Low
150.00
Averages
269.14
High
298.00
About BA
The Boeing Company is an aerospace company. Its segments include Commercial Airplanes (BCA), Defense, Space & Security (BDS), and Global Services (BGS). Its BCA segment develops, produces and markets commercial jet aircraft principally for the commercial airline industry worldwide. Its family of commercial jet aircraft in production includes the 737 narrow-body model and the 767, 777 and 787 wide-body models. Its BDS segment is engaged in the research, development, production and modification of manned and unmanned military aircraft and weapons systems for strike, surveillance and mobility. Its BGS segment provides services to its commercial and defense customers worldwide. It sustains aerospace platforms and systems with a range of products and services, including supply chain and logistics management, engineering, maintenance and modifications, upgrades and conversions, spare parts, pilot and maintenance training systems and services, technical and maintenance documents, and others.
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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See More
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