Russia’s hybrid warfare campaign across Europe has pushed defense spending back to the top of government agendas, keeping investor attention firmly on aerospace and defense companies.
Governments routinely prioritize military budgets even during periods of fiscal tightening, making defense stocks a resilient corner of the market for many portfolio managers.
Three companies in particular stand out from a broader aerospace and defense supply chain screen that surfaced 313 additional companies with compelling narratives worth watching.
Redwire (RDW) is a space and defense technology specialist supplying mission hardware including star trackers, sun sensors, RF payloads, and spacecraft platforms for government and commercial missions.
The company generates approximately US$209 million from Space and US$217 million from Defense Tech, carrying a market value near US$2.9 billion.
Redwire reported year-over-year revenue of US$103.4 million in Q3 2025 with an adjusted gross margin of 27.1%, driven by its combination with Edge Autonomy and a shift toward a scalable platform model.
Reliance on U.S. government programs such as the Long Range Reconnaissance UAS and Golden Dome exposes Redwire to award delays from events like an ongoing government shutdown, which can affect contract timing and cash from operations.
General Electric (GE), now operating as GE Aerospace, centers on jet engines and aircraft systems powering both commercial and defense fleets around the world.
GE Aerospace generates approximately US$37.7 billion from Commercial Engines and Services and US$11.5 billion from Defense and Propulsion Technologies, with a market value near US$339.4 billion.
The company’s Defense and Propulsion Technologies backlog has surpassed US$30 billion, with a defense book-to-bill ratio of 1.7x, pointing to multi-year visibility on future defense revenue and segment profit contributions.
Next-generation engine programs including adaptive cycle engines and CCA propulsion continue to accelerate, underpinning GE Aerospace’s longer-term growth runway in defense markets.
RTX Corporation (RTX) brings together defense systems, aircraft engines, and aerospace equipment under one roof, with its Raytheon arm providing clear exposure through radar, missiles, sensors, and command software.
RTX generated approximately US$35 billion from Pratt and Whitney, US$31.2 billion from Collins, and US$29.9 billion from Raytheon, with a total market value near US$255.3 billion.
RTX’s record backlog stands at US$289 billion, supported by a Raytheon rolling 12-month book-to-bill of 1.77 and US$19.9 billion of quarterly awards for systems such as Patriot, AMRAAM, AIM-9X, and LTAMDS.
That backlog signals multi-year conversion of contracted demand into revenue and segment operating profit, though execution on capacity and supply chains will ultimately determine how much flows through to margins and cash generation.
