14 Best Aerospace and Defense Stocks to Buy According to Wall Street Analysts

2. Redwire Corporation (NYSE:RDW)

Number of Hedge Fund Holders: 15

Analyst Upside Potential: 72.42%

Redwire Corporation (NYSE:RDW) is one of the best aerospace and defense stocks to buy according to Wall Street analysts. On December 9, Canaccord Genuity analyst Austin Moeller reiterated a Buy rating, impressed by Redwire Corporation (NYSE:RDW)’s strategic positioning and growth potential.

According to the analyst, the company is positioned for long-term growth as it transitions from a commercial space company to a defense technology business model. Consequently, the company is positioned to benefit from recurring revenue streams and expanded market presence.

The analyst has also touted the company’s innovative technologies, such as the Stalker UAS and the Roll-Out Solar Array (ROSA), which offer an extended range and a low acoustic profile. The system has already been selected for the Army’s Long Range Reconnaissance program, expected to generate a solid revenue stream. Cantor Fitzgerald analyst Colin Canfield has also touted the company’s long-term prospects. On December 10, the analyst reiterated a Buy rating on the stock and set a $9 price target.

The wave of positive ratings comes on the heels of Redwire Corporation securing a $44 million phase 2 contract from the Defense Advanced Research Projects Agency (DARPA) for its Otter Very Low E Earth Orbit VLEO Mission.

“VLEO represents an exciting new frontier for defense, intelligence, and communications missions,” said Tom Campbell, President of Space Missions at Redwire, in the announcement. “With Otter and our SabreSat platform, we are delivering higher-performance missions at lower altitudes.”

Redwire Corporation (NYSE:RDW) is an aerospace & defense company building space infrastructure, technologies, and solutions for exploration, defense, and commercial use, focusing on digital engineering, AI, microgravity R&D (like in-space manufacturing/biotech), advanced avionics/sensors, and unscrewed systems (drones) for both space and defense applications.