We recently published a list of Why These 15 Industrial Stocks Are Skyrocketing So Far In 2025. In this article, we are going to take a look at where Redwire Corporation (NYSE:RDW) stands against other industrial stocks that are skyrocketing so far in 2025.
The industrial sector has gotten a lot of attention in the past few years from the government due to the U.S. focusing on onshoring manufacturing, and it is likely that it will get even more attention as tariffs start to increase. Moreover, industrial companies are rushing to integrate AI and automation, which could increase margins by a lot in the long run.
As such, it’s a good idea to look into industrial stocks that benefit from these trends. This includes those that have been performing very well so far this year. Companies that adapt to new techs and capitalize from the Trump administration’s policies could deliver the most growth in the coming years.
Methodology
For this article, I screened the top-performing industrial stocks year-to-date. Stocks that I have covered recently will be excluded from this list.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds invest in? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points. (see more details here).
A close-up of an antenna, its intricate designs a testament to the company’s expertise in space infrastructure.
Redwire Corporation (NYSE:RDW)
Number of Hedge Fund Holders In Q3 2024: 7
Redwire Corporation (NYSE:RDW) is an aerospace company that develops technologies and satellite components.
The stock has risen sharply so far in 2025 due to its acquisition of Edge Autonomy in a $925 million deal. This is a drone manufacturer, and Redwire (NYSE:RDW) plans to pay for the acquisition with $150 million in cash and $775 million in Redwire stock.
Analysts expect this acquisition will immediately boost Redwire’s revenue and EBITDA. They now project combined 2025 revenue of $535 million to $605 million, whereas EBITDA is expected at $70 million to $105 million. This is up massively from Redwire’s standalone 2024 forecast of $310 million in revenue.
Moreover, political catalysts have been in play too. Trump placed a lot of emphasis on Mars exploration in his inaugural address. Redwire (NYSE:RDW) could be a major beneficiary of that.
The consensus price target of $16.5 implies 31.02% downside risk.
RDW stock is up 40.38% year-to-date.
Overall, RDW ranks 9th on our list of industrial stocks that are skyrocketing so far in 2025. While we acknowledge the potential of RDW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than RDW but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
