11 Best American Defense Stocks to Buy Now

5. HEICO Corporation (NYSE:HEI)

Number of Hedge Fund Holders: 67

HEICO Corporation (NYSE:HEI) is an aerospace and technology company that manufactures jet engines and aircraft parts. It also supports the government through activities such as reverse engineering, manufacturing aircraft engines and parts, and repair and maintenance services.

On March 5, Truist Securities raised HEICO Corporation (NYSE:HEI)’s price target to $294 per share from $282 previously, while maintaining the Buy rating. The adjustment followed the company’s strong results for the first quarter of fiscal 2025, in which it reported an all-time record quarterly net income of $168 million, up 46% year-over-year. Net sales were also up 15% from last year, while EBITDA registered a 22% increase compared to the same period in 2024.

HEICO Corporation (NYSE:HEI)’s robust performance during the quarter was driven by double-digit organic growth within both business segments. The Flight Support Group experienced increased demand across product lines, while the Electronic Technologies Group saw a surge in demand for its defense, space and aerospace products.

HEICO Corporation (NYSE:HEI)’s shares are up by nearly 16% over the past month. Wall Street analysts have a consensus Buy rating for the stock and anticipate a further 6% uptick, on average, in its share price. According to Insider Monkey’s database for Q4 2024, 67 hedge funds held a stake in the company, improving from 57 at the end of the third quarter. It is one of the best defense stocks to buy now.