Question 1

What are the best aerospace & defense stocks in 2026?

Accepted Answer

Based on AI conviction analysis, the top best aerospace & defense stocks include TXT, GD, HWM, LMT, NOC. Each stock is scored on quality, fair value, and risk-reward asymmetry.

Question 2

How are best aerospace & defense stocks ranked?

Accepted Answer

Stocks are ranked by AI conviction score (1-10) using fundamental analysis: DCF valuation, earnings quality, Monte Carlo scenarios, and risk-reward asymmetry. Each stock also receives a quality grade (A-F) and a rating from Strong Buy to Avoid.

#	Ticker	Company	Rating	Convex Score	Fair Value	Upside	Quality
1	TXT	Textron Inc.	Score A+	10/10	$163	+80.0%	A	View
2	GD	General Dynamics Corporation	Score A+	10/10	$545	+47.1%	A	View
3	HWM	Howmet Aerospace Inc.	Score B	10/10	$183	-32.9%	A	View
4	LMT	Lockheed Martin Corporation	Score A	10/10	$654	+28.4%	A	View
5	NOC	Northrop Grumman Corporation	Score B	10/10	$677	+29.3%	B	View
6	RTX	RTX Corporation	Score A	10/10	$289	+48.5%	C	View
7	TDG	TransDigm Group Incorporated	Score B	10/10	$1,459	+20.1%	B	View
8	CW	Curtiss-Wright Corporation	Score A	10/10	$608	-14.2%	A	View
9	HEI	HEICO Corporation	Score A	10/10	$290	-14.7%	A	View
10	BWXT	BWX Technologies, Inc.	Score B	9/10	$188	+10.6%	B	View
11	HONAV	Honeywell Aerospace Inc. Common Stock When Issued	Score A	8/10	$296	+33.9%	B	View
12	LHX	L3Harris Technologies, Inc.	Score B	8/10	$452	+61.1%	D	View
13	GE	GE Aerospace	Score B	7/10	$232	-32.1%	B	View
14	AVAV	AeroVironment, Inc.	Score B (Speculative)	6/10	$325	+127.7%	B	View
15	SPCX	Space Exploration Technologies Corp.	Score A (Speculative)	6/10	$198	+65.3%	B	View
16	AXON	Axon Enterprise, Inc.	Score B	6/10	$280	-46.8%	B	View
17	HONA	Honeywell Aerospace Inc	Score B	4/10	$467	+130.8%	C	View
18	KTOS	Kratos Defense & Security Solutions, Inc.	Score D	4/10	$33	-27.6%	F	View
19	BA	The Boeing Company	Score D	3/10	$217	+3.4%	D	View
20	RKLB	Rocket Lab USA, Inc.	Score D (Speculative)	1/10	$47	-28.9%	B	View

Best Aerospace & Defense Stocks

Methodology