VSAT, AVAV, LMT Secure Multi-Million-Dollar Defense Contracts This Week — But One Stock Stole The Spotlight

Despite concerns that Democrats’ midterm election sweep could cloud the outlook for defense spending, defense contractors, including Lockheed Martin (LMT), Viasat (VSAT) and AeroVironment (AVAV), secured multimillion-dollar military contracts this week.

However, the biggest gainer this week was AEVEX (AVEX), which signed a roughly $400-million drone contract.

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AeroVironment Bags $720M In New Orders

AeroVironment announced a $405-million international order for its LOCUST X3 laser-defense systems, designed to destroy enemy drones using directed high-energy laser systems. The company highlighted Shahed-series one-way attack drones, which have been frequently used in the ongoing U.S.-Israel-Iran war, as a potential target.

Separately, AeroVironment also secured an initial $315 million U.S. government award under a multiyear contract with a potential value of $940 million. It did not identify the customer or program, citing operational security restrictions.

Viasat, AEVEX Win $400M+ Contracts, ONDS Picks Up Drone Order

Viasat won a $450-million U.S. Space Force contract to develop secure satellite communications infrastructure supporting military operations and the Golden Dome missile-defense initiative. The agreement includes an initial $115 million task order.

Meanwhile, AEVEX (AVEX) announced a multi-year drone contract with a potential value approaching $400 million for unmanned aircraft systems and support services.

On Tuesday, Ondas (ONDS) received an additional military drone order under its Digital Bat program, although financial terms were not disclosed.

Lockheed Martin, General Dynamics And Curtiss-Wright Receive Submarine Contracts

On Tuesday, Curtiss-Wright received contracts worth more than $140 million from General Dynamics Electric Boat to supply propulsion equipment for U.S. Navy Virginia-class and Columbia-class nuclear-powered submarines.

Lockheed Martin (LMT) received an $88.2 million U.S. Navy contract modification for submarine systems engineering and integration. General Dynamics (GD) also secured a $41.6 million contract action for Virginia-class submarine materials and a nearly $20 million award for underwater warfare research.

SpaceX, Parsons In The Spotlight

SpaceX (SPCX) secured a $9.9 million Space Development Agency contract for laser technology research supporting missile tracking, potentially rising to $12.7 million, while Parsons (PSN) announced a $63 million contract to support the National Air and Space Intelligence Center with secure intelligence software.

How Did The Stocks Fare This Week?

AEVEX emerged as the standout performer in the cohort, surging 19% this week, followed by Lockheed Martin, which gained 2.7%, SpaceX, UP 4.2%, and General Dynamics, which edged 0.3% higher. Parsons (PSN) and Viasat (VSAT) traded in the red, declining 3.15% and 4.2%, respectively.

Year to date, Viasat shares have surged more than double, outperforming Lockheed Martin’s 25% gain and General Dynamics’ 7.8% rise. Among the decliners, Parsons has shed 19.3%, AEVEX is down nearly 49%, while AeroVironment has slumped 53%.

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