12 Best Defense Stocks to Buy Right Now

10. Howmet Aerospace Inc. (NYSE:HWM)

Number of Hedge Fund Holders: 57

Howmet Aerospace Inc. (NYSE:HWM) is among the 12 Best Defense Stocks to Buy Right Now. The company manufactures components for aircraft engines, fasteners, aluminum wheels for trucks, and titanium structures for aerospace and defense applications.

On July 31, the firm reported robust results for the second quarter of fiscal 2025, with revenue increasing 9% year-over-year to $2.05 billion, driven by growth in commercial aerospace, defense aerospace, industrial, and other markets. Net income stood at $407 million, improving from $266 million during the same period last year.

Howmet Aerospace Inc. (NYSE:HWM) also lifted its 2025 guidance for all metrics, buoyed by soaring demand for fasteners and engine components as global demand for air travel grows.

Moreover, supply chain challenges faced by several airlines have forced them to extend the lifespan of older aircraft, which is set to benefit the company. Macquarie Core Equity Fund shed light on this factor in its second quarter 2025 investor letter:

“Howmet Aerospace Inc. (NYSE:HWM) is a supplier of critical engine and airframe components to the commercial and military aerospace complex. The company continued to benefit from robust demand and extended backlogs for new aircraft. Given the difficulty Boeing and Airbus have had ramping production of newer aircraft, old aircraft are flying longer, which aids aftermarket parts suppliers including Howmet.”

Howmet’s share price has gained 74% year-to-date as of the close of business on September 19. Wall Street analysts have an average one-year price target of $204.83, representing a further 8% upside potential.