Trump's Military Strike Sparks Surge in Defense Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 05 2026
0mins
Source: CNBC
- Shift in Military Policy: Trump's announcement of a military operation in Venezuela, capturing President Maduro, could lead to increased defense spending, thereby boosting the market performance of related stocks.
- Investment Opportunities: Analysts noted that U.S. oil companies plan to invest billions in Venezuela following Maduro's ouster, prompting defense and engineering consulting firms to develop future investment proposals.
- Defense Stock Performance: Following the military action, global defense stocks broadly advanced, with the iShares U.S. Aerospace & Defense ETF (ITA) rising over 1% in trading to reach an all-time high, reflecting market optimism about defense spending.
- Increase in Foreign Spending: Analysts expect foreign military spending to rise between 2023 and 2025, particularly as U.S. military presence in South America strengthens, potentially driving future defense budget increases.
Analyst Views on CACI
Wall Street analysts forecast CACI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CACI is 663.13 USD with a low forecast of 620.00 USD and a high forecast of 759.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
9 Buy
2 Hold
0 Sell
Strong Buy
Current: 655.460
Low
620.00
Averages
663.13
High
759.00
Current: 655.460
Low
620.00
Averages
663.13
High
759.00
About CACI
CACI International Inc (CACI) is a holding company, which operates through its subsidiaries located in the United States and Europe. It is a provider of expertise and differentiated technology to customers in support of national security in the intelligence, defense, and federal civilian sectors. Its segments include Domestic Operations and International Operations. The Domestic Operations segment provides expertise and technology to U.S. federal government agencies. The International Operations segment provides expertise and technology to international government and commercial customers. It provides a diverse mix of IT services and proprietary data and software products, serving commercial and government customers throughout the United Kingdom, continental Europe and around the world. Its software offerings consist of signals intelligence (SIGINT), electronic warfare (EW), and intelligence, surveillance, and reconnaissance (ISR), across multiple domains, platforms, and customer sets.
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.
