Many investors hear 'defense stocks' and immediately start worrying about budget cuts. But within the sector is this 2016 best stock pick More
- Poll of the Day
Global powers rise and fall throughout history, making defense a key component to any nation’s infrastructure. As defense companies emerged, the government gave massive contracts to these corporations, causing a boom in the industry. Defense companies design and manufacture military grade weaponry, vehicles, and other military centric technologies, most often sold to the United States government. With looming threats in North Korea and the Middle East, the defense industry appears be aimed high for the next few years.
Defense stocks are often aerospace based, with corporations like Lockheed Martin (NYSE:LMT) and Northrop Grumman (NYSE:NOC) taking charge. However, companies such as Textron (NYSE:TXT) are at their heels by seizing market share drone technology and other new technologies. Either way, defense stocks add great protection to any portfolio and are beginning to take to the sky.
A study of analyst recommendations at the major brokerages shows that United Technologies stock is the #5 broker pick, on average, out of the 30 Dow Jones components. More
Just over a year ago, there were concerns sequestration budget cuts would destroy jobs and hurt defense stocks. It turns out that isn't the case. Here's why More