In this article, we look at the defense stocks that are gaining this week.
On Friday, President Trump unveiled a new next-generation fighter jet, the F-47. According to media reports, the name signifies Trump’s return to the White House as the 47th President of the United States.
READ ALSO: 11 Best American Defense Stocks to Buy Now and 13 Best Defense Stocks to Buy According to Billionaires.
The F-47, which is planned to replace the F-22, will be for air superiority and have stealth and penetration capabilities that exceed those of the current fleet. Defense experts believe that manned fighters will be crucial in any potential future conflict with China and other foes. USAF General David Allvin has described the F-47 as the ‘crown jewel’ of future air dominance systems.
The initial contract to proceed with the production is expected to cost approximately $20 billion. This is a welcome development for America’s defense sector, which has wobbled this year amid mixed statements from the Trump administration on the future of military expenditure in the country.
The move adds to the positive momentum after President Trump’s recent announcement to resurrect America’s military and commercial shipbuilding industry, which he sees as vital to national security, given the strategic competition with China.
Elsewhere, particularly in Europe, defense stocks have soared this year, with European capitals unlocking billions to supercharge their militaries. The United States has repeatedly called for Europe to spend more on defense while stressing that Washington could no longer foot the bill.
EU leaders met in Brussels earlier in March to discuss the ‘ReArm Europe Plan’, which will allow the bloc to mobilize funds up to $860 million through bonds and relaxed rules on borrowing and spending. Last week, the German parliament voted in favor of a historic fiscal package, which includes reforms to long-standing debt policies to allow for higher defense spending.
Several Asian contractors are also benefiting from Europe’s defense splurge. A leading aerospace and defense company in South Korea has gained over 92% year-to-date, driven by demand for weapons from NATO countries like Poland and Romania. On March 20, The Economic Times reported a 20% increase in India’s defense and shipbuilding stocks in response to Germany’s big military plans.
With that said, let’s now head over to the list of defense stocks that are gaining this week. Please note that the stocks listed are based on one week’s performance. Our analysis does not reflect the companies’ prospects, and their share price could go high or low in the future, depending on external market conditions, industry-specific challenges, and the company’s capabilities. Additional research and caution are advised before making investment decisions.
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Methodology
For this article, we went through screeners to see how stocks in the aerospace and defense industry performed over the past week (March 17-24). From there, we picked the top 10 stocks with the highest percentage gains in share price during this period. All data is as of the close of business on Monday, March 24, 2025.
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10. Rocket Lab USA, Inc. (NASDAQ:RKLB)
Weekly Gains: 5.81%
Rocket Lab USA, Inc. (NASDAQ:RKLB) is an end-to-end space company delivering reliable launch services, spacecraft components, spacecraft design services, and related software. It is among the defense stocks that are gaining this week.
The stock has gained 5.81% over the past week. Shares soared this Monday after Cantor Fitzgerald reiterated its Overweight rating for Rocket Lab USA, Inc. (NASDAQ:RKLB), citing the company’s recent affirmations regarding Neutron’s progress.
Investor sentiment has also been bolstered after Rocket Lab USA, Inc. (NASDAQ:RKLB) on March 11 announced its intention to acquire Mynaric, a German firm that specializes in laser optical communications terminals. The transaction is expected to strengthen the company’s position in national security contracts.
9. Spirit AeroSystems Holdings, Inc. (NYSE:SPR)
Weekly Gains: 5.83%
Spirit AeroSystems Holdings, Inc. (NYSE:SPR) is an OEM manufacturer of aerostructures serving the commercial airplanes, military platforms, and business/regional jets markets.
On January 31, the company announced that shareholders had approved the proposed acquisition of Spirit AeroSystems Holdings, Inc. (NYSE:SPR) by Boeing. The transaction is expected to close in mid-2025. The company is making significant strides to improve operations and reported a meaningful increase in deliveries during the fourth quarter of the fiscal year 2024.
Spirit AeroSystems Holdings, Inc. (NYSE:SPR)’s share price has increased by 5.83% over the past week, partly as a result of the positive developments around Boeing. It is among the defense stocks that are gaining this week.
