Trump Shook up Defense Stocks This Week
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Kratos' stock is soaring on the back of increased defense spending budgets for 2027. The company also just won a sizable contract this week with the U.S. Marine Corps. With a soaring share price, the stock looks overvalued today.
US stocks closed mixed on Thursday as investors rotated out of tech as they took in fresh labor market data and grappled with President Trump's salvos on defense and Venezuela. More broadly, markets are treading cautiously amid a flurry of labor market updates.
All it took was a pledge for $1.5 trillion in military spending to spark a reversal in the sector.
Kratos Defense & Security ( KTOS +10.20%) stock got a huge lift yesterday after President Trump called for a huge expansion of the U.S. defense budget to $1.5 trillion. Shares of Kratos surged again Friday after two separate analysts raised their price targets on the military drones stock.
President Trump on Wednesday said he “will not permit” defense companies to issue dividends or buy back their own stock until they invest more in military equipment production and address several
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Defense Stocks Tank Then Soar: Here’s Why They’re Gunning Higher Today
President Donald Trump rattled the defense sector yesterday by signing an executive order prohibiting contractors from issuing dividends or repurchasing shares until they prioritize investments in new facilities and machinery to boost production speed and quality.
Wall Street ended mixed on Thursday, as Nvidia and other technology stocks dipped, while defense companies advanced after President Donald Trump called for an enlarged $1.5 trillion military budget.
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