Defense stocks
Defense stocks are the aerospace and defense contractors that build military aircraft, missiles, and systems — companies whose revenue is closely tied to government budgets and long-term contracts.
Updated daily · as of July 27, 2026
1-month
+1.7%
6-month
+1.8%
1-year
+22.0%
Sentiment
Bullish
Leaders
6
Combined cap
$824B
Top Defense stocks by market cap
The biggest defense companies — tap any to trade it with virtual cash.
About the Defense sector
Defense companies sell primarily to governments, often under multi-year contracts. That gives them unusually predictable revenue and large order backlogs, which many investors view as a source of stability.
The sector tends to react to geopolitics: rising global tensions and higher defense budgets can lift the whole group, while peace talks or budget cuts can weigh on it. Many defense names also have commercial aerospace exposure, linking them to air travel demand.
What moves Defense stocks
- National defense budgets and procurement cycles
- Geopolitical tension and conflict
- Multi-year contract backlogs
- Commercial aerospace demand for dual-line makers
Compare Defense leaders
How to invest in Defense stocks
- 1
Get to know the leaders. Start with the biggest names above — like RTX — and read what each company does and how its stock has performed.
- 2
Decide between single stocks and a basket. Picking one company concentrates your bet; a sector ETF like ITA spreads it across the whole group.
- 3
Practice before you commit. On Invest you trade defense stocks at live prices with €1,000,000 in virtual cash — so you can test ideas with zero risk.
Defense stocks: FAQ
What are the best Defense stocks?
The largest defense companies by market value right now include RTX, BA, LMT. "Best" depends on your goals — Invest lets you compare each one's price, performance, and Buy/Hold/Sell signal, then practice trading them with virtual cash before risking real money.
How do I invest in Defense stocks?
You can invest in defense by buying individual companies like RTX or BA, or by holding a sector ETF such as ITA for instant diversification. On Invest you can practice both approaches free, with €1,000,000 in virtual cash at live market prices.
Is Defense a good sector to invest in?
Defense stocks are the aerospace and defense contractors that build military aircraft, missiles, and systems — companies whose revenue is closely tied to government budgets and long-term contracts. Over the past year the ITA defense benchmark is +22.0%. No sector is guaranteed to rise, so many investors diversify across several — the safest way to learn how defense behaves is to trade it in a simulator first.
Can I practice trading Defense stocks for free?
Yes. Invest is a free stock market simulator — start with €1,000,000 in virtual cash and buy or sell any defense stock at live prices, with no real money and no risk. It runs in your browser and as a free iOS app.