January 21, 2025
Analysis of the aviation and defense sector.
- The aviation and defense sector delivered a 1-year return of 25.8%, slightly below the S&P 500’s 26.6%. With a market capitalization of $10.59 billion, the industry shows a return on equity (ROE) of 3.63%, earnings per share (EPS) of 109.54, and a high price-to-earnings (P/E) ratio of 234.5.
- The aerospace and defense supply chain remains under significant pressure, driven by geopolitical tensions and economic challenges.
- The aviation and defense market is projected to reach $1,234.42 billion by 2028, growing at a compound annual growth rate (CAGR) of 5.8%. This expansion is fueled by modernization programs, increased defense investments, and rising global security needs.
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