10 Best Mid Cap Defense Stocks to Buy According to Analysts

8. Woodward, Inc. (NASDAQ:WWD)

Market Cap: $9.95 billion

Share Price Upside Potential: 15.28%

Woodward, Inc. (NASDAQ:WWD) is a leader in the development of satellite, launch vehicle, and missile control systems, with several defense contractors looking toward the company for control and actuation solutions.

In December last year, the company announced it had signed an agreement to acquire the Safran Electronics & Defense electromechanical actuation business in North America, including intellectual property, talent, operations assets, and long-term customer agreements for the HSTA systems for aircraft stabilization. The transaction is expected to close in mid-2025.

On February 3, Woodward, Inc. (NASDAQ:WWD) announced financial results for the first quarter of the fiscal year 2025. It reported net sales of $773 million, down 2% from last year. Adjusted earnings per share were logged at $1.35, beating expectations of $1.14 per share. The company stated the results aligned with forecasts, putting it on track to deliver full-year guidance.

Defense OEM sales increased 21% year-over-year during the quarter, while the defense aftermarket increased 8%. Woodward, Inc. (NASDAQ:WWD) is seeing robust demand for defense products amid the recent geopolitical developments. The company anticipates the momentum will continue, with strong growth expected in smart defense.

Wall Street analysts are bullish on Woodward, Inc. (NASDAQ:WWD), with a consensus Buy rating and an average share price upside potential of 15.28%, making it one of the best mid cap stocks to buy now.