General Electric Stock And 2 Top Defense Stocks

Global bond yields are elevated as central banks weigh how far to take rate hikes, which keeps investors focused on areas linked to government spending and long term contracts. Companies tied to aircraft, satellites and military systems sit in that camp. For investors seeking exposure to this theme without picking blindly, this article highlights three stocks from our aerospace and defense supplier universe that may warrant a closer look.

The three aerospace and defense suppliers featured below are just a starting sample, and the full screen surfaced 311 more companies with equally compelling narratives that are not covered here. To identify and analyze the highest conviction ideas in this space, head straight to the Aerospace And Defense screener.

General Electric (GE)

Overview: General Electric, now operating as GE Aerospace, designs and services commercial and military jet engines, propulsion systems and related aircraft components, giving investors direct exposure to the Aerospace and Defense theme through long term engine programs and maintenance contracts. Alongside its own branded engines, GE Aerospace supports fleets worldwide through businesses such as Avio Aero, Unison and Dowty Propellers.

Operations: GE Aerospace generates most of its revenue from Commercial Engines & Services at about US$37.7b, with Defense & Propulsion Technologies contributing roughly US$11.5b and Corporate & Other about US$1.4b.

Market Cap: US$349.8b

Investors looking at aerospace and defense suppliers may find GE Aerospace hard to ignore because its commercial and military engines sit on aircraft that can drive decades of service revenue, and its backlog in both areas provides long visibility on demand. At the same time, the company is leaning into next generation propulsion and digital maintenance tools. Recent multi billion dollar defense contracts for engines like the F414 and programs such as hypersonics and missile propulsion reinforce that military exposure is not an afterthought. The trade off is high leverage and heavy dependence on global air travel and execution on complex engine ramps, which can pressure margins. That mix of long term contracts, technology ambition and financial risk is exactly what makes GE worth a closer look for this theme.

GE Aerospace’s large engine backlog and long term contracts can mask where the real tension sits between technology spending and financial risk. Get the full picture in the 3 key rewards and 1 important warning sign

NYSE:GE Earnings & Revenue History as at Sep 2026 Rocket Lab (RKLB)

Overview: Rocket Lab is a space company that provides orbital launch services and builds small and medium class rockets, giving investors direct exposure to the space focused side of the Aerospace and Defense theme. Alongside its Electron small launch vehicle and the larger Neutron rocket in development, Rocket Lab also designs and manufactures satellites and spacecraft components for commercial customers, aerospace primes and government agencies.

Operations: Rocket Lab generates most of its revenue from its Space Systems segment at about US$544 million, with Launch Services contributing roughly US$225 million.

Market Cap: US$38.5b

Rocket Lab is worth a close look if you want direct exposure to launch vehicles and satellite infrastructure that sit at the backbone of the aerospace and defense industry. Its Electron rocket, growing Space Systems business and a Neutron pipeline tied to US Space Force and other government contracts show how the company is trying to turn technical capability and a rising defense backlog into scale. The flip side is that Rocket Lab is still loss making, depends heavily on external funding and has seen insider selling and shareholder dilution, so execution on Neutron and integration of acquisitions like Iridium will matter a lot. The full story on how those moving parts come together is where the real opportunity and risk sit for investors.

Rocket Lab’s push to turn launch and satellite contracts into scale is only half the story. The real twist sits in how its balance sheet and growth plans intersect in the Rocket Lab financial health report

NasdaqGS:RKLB Earnings & Revenue Growth as at Sep 2026 Lockheed Martin (LMT)

Overview: Lockheed Martin is a large US based defense contractor that designs, builds and supports military aircraft such as the F 35 fighter jet, along with missiles, rotorcraft and space systems for government and allied customers. For investors interested in the Aerospace and Defense theme, the company’s F 35 program and wider portfolio of advanced defense platforms provide exposure to long term government spending on air power, missile defense and national security.

Operations: Lockheed Martin generates most of its revenue from Aeronautics at about US$31.2b, with Rotary and Mission Systems at roughly US$19.8b, Missiles and Fire Control at about US$16.4b and Space at around US$13.8b. The United States accounts for about US$54.0b of total sales.

Market Cap: US$121.2b

Lockheed Martin deserves a close look if you want exposure to core defense programs where fighter jets, missiles and space systems are tied to multi year government contracts and a large backlog. Demand for platforms such as the F 35, PAC 3 and THAAD provides some revenue visibility. At the same time, recent cost overruns, high leverage and dependence on US and allied defense budgets mean earnings and cash flow involve risk. The mix of a record backlog, dividend income and meaningful program level challenges creates a detailed story for investors who want to understand whether current expectations fully reflect both the opportunity and the pressure points.

Lockheed Martin’s sizable backlog and dividend profile can make the stock appear straightforward. The key question, however, is whether current expectations fully reflect program risks. Get the full context in the 6 key rewards and 1 important warning sign

NYSE:LMT Past Earnings Growth as at Sep 2026 Seeking Alternatives Before The Crowd Moves

Fresh ideas move quickly. Some stocks are building breakout momentum while others are dropping off radars and staying under the radar for now. Do not get caught late. Consider your options promptly.

This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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