5 Best Defense Contractor Stocks to Buy Right Now

In this article, we will list the 5 Best Defense Contractor Stocks to Buy Right Now. Please visit 8 Best Defense Contractor Stocks to Buy Right Now if you would like to to see the extended list and the methodology behind it.

5. L3Harris Technologies, Inc. (NYSE:LHX)

Stock Upside Potential: 14.80%

Number of Hedge Fund Holders: 48

L3Harris Technologies, Inc. (NYSE:LHX) is one of the best defense contractor stocks to buy right now. On March 24, L3Harris Technologies, Inc. (NYSE:LHX) began high‑volume production of its VAMPIRE counter‑drone systems in Huntsville, Alabama to meet growing demand from the U.S. and allies facing persistent drone threats.

The facility features flexible assembly, testing, and installation areas that allow VAMPIRE to be integrated onto vehicles and containerized weapon systems, with capacity to scale as needed. Company leaders emphasized the urgency of delivering these combat‑proven systems quickly to protect lives. VAMPIRE has already been used successfully in European operations since 2023, and in 2025, L3Harris expanded the family to include land, maritime, air, and electronic warfare variants.

Photo by Joel Rivera-Camacho on Unsplash

On March 18 at the JPMorgan Industrials Conference 2026, L3Harris Technologies outlined its strategic growth plans for the year.

At the top of the list is the planned initial public offering of the company’s Missile Solutions segment, as the company also eyes investments across various sectors to unlock growth opportunities. L3Harris Technologies is currently working on regulatory compliance as it seeks to close the IPO in the second half of the year.

In addition, the company plans to become the largest supplier of solid rocket motors. It already boasts a $20 billion pipeline, including $2 billion in contracts in South Korea. It has also inked a deal with a NATO ally as a customer. L3Harris Technologies projects high teen’s compound annual growth in margins through 2028, driven by revenue doubling.

The company delivered a 3% increase in revenue in 2025 to $21.9 billion, with diluted earnings per share of $10.73. For 2026, the company expects EPS to range between $11.30 and $11.50.

L3Harris Technologies, Inc. (NYSE:LHX) is a major American aerospace and defense contractor that provides advanced technology solutions across air, land, sea, space, and cyber domains. It specializes in tactical communications, electronic warfare, night vision equipment, and integrated mission systems (ISR) for government and commercial customers worldwide.