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Why Qualcomm (QCOM) Stock Is Trading Up Today

What Happened?

Shares of wireless chipmaker Qualcomm (NASDAQ:QCOM) jumped 4.8% in the afternoon session after macro rate relief from the Iran peace deal, a Wells Fargo price target increase, and positive positioning ahead of a June 24 Investor Day drove renewed market interest.

The macro backdrop was the same force lifting the entire chip sector. Oil fell another 4% as Trump's Iran deal announcement from the previous day gained credibility, pulling Treasury yields lower and expanding the multiples that future-earnings chips trade on.

Qualcomm had fallen 26% from its 2026 peak through June 10, hit by Nvidia's RTX Spark competing in the Windows on Arm PC market and by regulatory fears over its ByteDance AI chip deal, and seemed to be reclaiming some of that ground alongside AMD and broader semiconductors.

Also, Wells Fargo raised its price target to $230 from $160, citing growing confidence in the data centre opportunity ahead of June 24. The driver is Qualcomm's AI100 Ultra, now available through AWS, which Wells Fargo says carries competitive revenue per GPU hour versus other cloud AI products. JPMorgan is separately on positive catalyst watch, expecting the Investor Day to outline data centre revenue targets exceeding $3 billion in fiscal 2027 and $35 billion by fiscal 2031.

CEO Cristiano Amon confirmed at the Bernstein conference on May 27 that custom ASIC shipments, originally targeted for fiscal 2027, have been pulled into calendar year 2026. Asked what "material" data centre revenue means at Qualcomm's scale, Amon was direct: "Material has to be in the multiple billions of dollars.".

Is now the time to buy Qualcomm? Access our full analysis report here, it's free.

What Is The Market Telling Us

Qualcomm's shares are very volatile and have had 22 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was about 22 hours ago when the stock gained 5.6% on the news that the Nasdaq rebounded, up 1.8%, as Trump's Iran peace deal announcement released the rate pressure that weighed on the sector all week.

Semiconductor stocks trade at elevated multiples on future earnings, making them disproportionately sensitive to interest rates. Oil falling more than 3% and the 10-year Treasury yield dropping to 4.47% released the rate hike pressure that drove the sector's worst week since 2020. The structural AI demand story never broke: Intel's BofA double upgrade to $135 earlier in the day confirmed hyperscalers are placing real production orders at domestic foundries, and AI infrastructure capex commitments remained intact.

Story Continues

Qualcomm is up 24% since the beginning of the year, but at $214.51 per share, it is still trading 14.5% below its 52-week high of $251.02 from May 2026. Investors who bought $1,000 worth of Qualcomm's shares 5 years ago would now be looking at an investment worth $1,562.

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Key Points

Invesco Aerospace & Defense ETF maintains a significantly larger pool of assets under management (AUM) and a lower expense ratio than ARK Space & Defense Innovation ETF. ARK Space & Defense Innovation ETF has delivered higher 1-year total returns but carries a much higher beta and more substantial max drawdown than its peer. The Invesco Aerospace & Defense ETF portfolio is heavily concentrated in industrials while ARK Space & Defense Innovation ETF provides broader exposure to technology companies.10 stocks we like better than Invesco Exchange-Traded Fund Trust - Invesco Aerospace & Defense ETF ›

The Invesco Aerospace & Defense ETF (NYSEMKT:PPA)offers a lower-cost, lower-volatility approach to defense than the ARK Space & Defense Innovation ETF (NYSEMKT:ARKX), which prioritizes high-growth technology companies disrupting the space sector.

Both funds target the expanding aerospace and defense industries but take fundamentally different paths. While ARKX actively hunts for disruptive innovation across space exploration and orbital technologies, PPA follows a more established index-based strategy, favoring traditional U.S. defense contractors and homeland security firms that provide a more stable market profile.

Snapshot (cost & size) MetricARKXPPAIssuerARKInvescoExpense ratio0.75%0.58%1-yr return (as of June 8, 2026)58.1%25.1%Dividend yieldNone0.4%Beta1.410.74AUM$717.3 million$8.0 billion

Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.

The Invesco fund is more affordable for long-term holders, with a 0.58% expense ratio compared to the ARK fund’s 0.75%. This price gap reflects the difference between active management and index tracking.

Performance & risk comparison MetricARKXPPAMax drawdown (4 yr)(25.6%)(15.4%)Growth of $1,000 over 4 years (total return)$2,352$2,410

What's inside

TheInvesco Aerospace & Defense ETF is a seasoned fund launched in 2005 that tracks an index of 61 U.S. defense and homeland security holdings. Its portfolio is heavily concentrated in industrials at 91%, with just 9% in technology. Its largest positions include The Boeing Company(NYSE:BA) at 8.7%, GE Aerospace(NYSE:GE) at 8.3%, and RTX(NYSE:RTX) at 6.9%. Over the trailing 12 months, it paid $0.66 per share in dividends. With $8 billion in assets under management (AUM), it offers significantly greater scale and liquidity than newer, thematic competitors.

In contrast, the ARK Space & Defense Innovation ETF was launched in 2021 and manages $717.3 million in assets under management (AUM). It holds a tighter basket of 45 positions and has not paid a dividend over the trailing 12 months. The portfolio has a smaller industrial tilt at 56% while carrying significant technology exposure at 27% and 8% in communication services. Top holdings include Rocket Lab USA(NASDAQ:RKLB) at 8.7%, Advanced Micro Devices(NASDAQ:AMD) at 7.9%, and L3Harris Technologies(NYSE:LHX) at 7.1%. This composition reflects an active management style that targets disruptive space technologies and innovation rather than just traditional defense contractors.

Which fund is the better buy?

Not all ETFs are alike, even when they cover the same sector.

The key difference between the Invesco Aerospace & Defense ETF and the ARK Space & Defense Innovation ETF is that the Invesco offering is a passively managed ETF meant to reflect an index, the SPADE Defense Index, while the ARK offering is actively managed, meaning a person or team is making decisions to shift assets among its investment landscape. Indeed, the weightings of ARKX’s top 10 holdings have changed notably since the end of the first quarter, with some stocks weighted more heavily other more lightly, and some replaced by new names in the top holdings list.

The active hand is paying off. The year-to-date return of ARKX is about 19%, with a 54% one-year return, and a cumulative return since its early 2021 inception of close to 75%.

The Invesco fund has done decently, with year-to-date and 1-year returns of nearly 13% and 31%, respectively, but that’s left a lot of money on the table compared to the ARK ETF.

If you trust that the active managers who have posted such good returns are acting on skill and insight, then the ARK Space & Defense Innovation ETF is the better choice, given the flexibility active management gives the fund to go in whatever direction the team sees fit to find profits. PPA, meanwhile, has to wait for the index company’s quarterly rebalancing to make any significant adjustments.

For more guidance on ETF investing, check out the full guide at this link.

Should you buy stock in Invesco Exchange-Traded Fund Trust - Invesco Aerospace & Defense ETF right now?

Before you buy stock in Invesco Exchange-Traded Fund Trust - Invesco Aerospace & Defense ETF, consider this:

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Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $438,283! Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,257,427!

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*Stock Advisor returns as of June 12, 2026.

Brendan Coffey has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Boeing, GE Aerospace, L3Harris Technologies, RTX, and Rocket Lab. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Ciena Corporation CIEN is strengthening its position in high-speed connectivity with the introduction of RLS Hyper-Rail, its next-generation intelligent line system designed to address the increasing capacity and efficiency requirements of hyperscalers and service providers. Built as a multi-rail solution and co-created with multiple hyperscalers, the platform leverages an innovative photonic design to support multiple fiber pairs in parallel over hundreds of kilometers using advanced amplification. This architecture delivers significantly higher density while improving space and power efficiency, particularly at intermediary amplifier sites where these resources are limited.

The company recently secured the industry's first multi-rail order from a leading hyperscaler, validating early demand for the RLS Hyper-Rail platform and reinforcing its position in the intelligent line systems market. Ciena is also engaged in discussions with multiple additional hyperscalers, neoscalers and service providers across domestic and international markets, with management noting that customer interest has exceeded expectations. Management highlighted that the platform enables high-intensity AI training across greater distances with enhanced amplification and density, making it a strategic technology for customers seeking to standardize on Hyper-Rail.

Management expects deployments to begin in 2027, with contracts representing hundreds of millions of dollars over multiple years. The company anticipates linear growth as adoption expands among multiple hyperscalers and service providers, particularly those involved in managed optical fiber networks (MOFN), where the technology is considered highly transformative.

Beyond AI training, Hyper-Rail is designed to support long-distance, high-density and low-latency connectivity for data center interconnections, while also addressing growing inference and agentic AI workloads. Ciena expects the platform to generate higher revenues beginning in 2027 and believes its larger revenue contribution, combined with higher margin potential than its single-rail RLS product, will support continued margin expansion as adoption accelerates.

Taking a Look at CIEN's Competitors

Arista Networks ANET is benefiting from rising AI and cloud networking investments as enterprises and hyperscalers expand high-speed Ethernet infrastructure. The company is gaining traction in 800-gig deployments and expects broader adoption of scale-up and scale-out AI fabrics over time. The Arista 2.0 strategy continues to resonate with customers as modern networking platforms become increasingly important for AI-driven data center architectures. In March 2026, Arista announced XPO, a high-density, liquid-cooled pluggable optics solution for data centers. It delivers ultra-fast connectivity, improves energy efficiency and reduces cooling requirements, supporting modern AI, cloud and high-performance workloads. Expanding software automation, campus networking and routing capabilities are also supporting customer diversification and operational efficiency.

Story Continues

Cisco Systems' CSCO partner base supports expansion in AI infrastructure and security. The company is working with NVIDIA on Cisco Secure AI Factory with NVIDIA, founded on the NVIDIA Spectrum-X Ethernet networking platform, and is including Cisco AI Defense and Cisco Hypershield in validated designs for enterprise AI factories. Cisco also offers NVIDIA RTX PRO 6000 Blackwell Server Edition GPUs with Cisco UCS C845A M8 servers, broadening its compute attach opportunities. Beyond NVIDIA, Cisco has been selected as a technology partner to HUMAIN, a new AI company in Saudi Arabia, alongside partners such as BlackRock Global Infrastructure Partners, MGX, Microsoft, NVIDIA and xAI.

CIEN Price Performance, Valuation and Estimates

Shares of CIEN have plunged 23% in the past month against the Communications - Components industry's growth of 15.3%.Zacks Investment Research

Image Source: Zacks Investment Research

CIEN trades at a forward 12-month price-to-earnings (P/E) ratio of 64.53, above the industry's 48.34.Zacks Investment Research

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for CIEN's earnings for fiscal 2026 has been revised upward over the past 60 days.Zacks Investment Research

Image Source: Zacks Investment Research

CIEN currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.

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Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report

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Arista Networks, Inc. (ANET) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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Arm Holdings (NASDAQ:ARM) is one of the best IPO stocks to buy and hold for 2 years. On June 2, Chris Bergey, Arm's Executive VP of the Edge AI Business Unit, announced that the newly unveiled NVIDIA RTX Spark is set to redefine personal computing for the agentic era. As AI shifts from traditional application-based models to autonomous agents capable of reasoning, planning, and executing complex workflows, there is an increasing demand for computing platforms that balance extreme efficiency with high-performance capabilities for local inference.

The RTX Spark addresses this evolution by integrating an Arm-based Grace CPU with NVIDIA's Blackwell RTX GPU and unified memory. This architecture provides the tight integration required to support multi-stage AI tasks (such as code generation and dynamic reasoning) directly on the device. By optimizing these hardware components, the platform offers the low-latency acceleration needed to manage the rising cost and token-usage demands of modern AI models while ensuring user data privacy.Arm (ARM), NVIDIA (NVDA) Executive Highlight Shift Toward Agentic AI Computing

Supported by a close partnership with Microsoft, this launch represents a significant milestone for the Windows on Arm ecosystem. By delivering advanced AI performance within efficient, thin-and-light form factors, the RTX Spark aims to provide developers, creators, and gamers with the responsive computing power necessary for the next generation of autonomous AI experiences.

Arm Holdings (NASDAQ:ARM) is involved in the licensing, research, marketing, and development of systems IP, microprocessors, graphics processing units, physical IP, and associated systems IP, software, and tools. The company's operations are divided into the following geographical segments: the UK, the US, and Other Countries.

While we acknowledge the potential of ARM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on thebest short-term AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy.

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Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.

The upcoming SpaceX IPO is touted to be the biggest public offering since Aramco in 2019. However, the more than $1.7 trillion valuation puts it further ahead than some of the biggest companies on the S&P 500 index, operated by the S&P Dow Jones Indices.

SpaceX IPO Is Bigger Than S&P 500 Aerospace Companies

Barron’s, in a report on Tuesday, said that the SpaceX IPO was worth more than all of the 12 aerospace and defense companies listed on the S&P 500 index, including RTX Corp, Boeing Co., Northrop Grumman Corp, GE Aerospace and more.

The report said that the combined valuation of the 12 companies came in at approximately $1.5 trillion, which is less than the $1.77 trillion valuation touted by SpaceX in its S-1 filings with the Securities and Exchange Commission (SEC).

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However, the companies generated approximately $500 billion in revenue, which was well over SpaceX’s reported revenue of $18.7 billion before the IPO.

Gene Munster, Ron Baron Bullish On SpaceX IPO

Industry analysts and experts have expressed bullish sentiments about the IPO, with Deepwater Asset Management‘s Gene Munster calling the IPO an exciting event for the tech industry.

He also said that SpaceX could emerge as a rival for Alphabet Inc., but outlined that SpaceX had an edge because Google did not make rockets.

Investor Ron Baron also expressed bullish sentiment for the IPO, predicting that the Elon Musk-led company could go on to become worth $30 trillion in the future, prompting Musk to call him “smart.”

See Also: Avoid the #1 Investing Mistake: How Your ‘Safe' Holdings Could Be Costing You Big Time

Goldman Sachs Group Inc., which is the lead underwriter for the SpaceX IPO, reportedly shared with prospective investors that the company's total revenue could reach over $474 billion by 2030.

SpaceX IPO Casts Doubt

However, not everyone is bullish on SpaceX, with NYU Stern Professor Aswath Damodaran, widely known as the Dean of Valuation, saying that he would avoid participating in the IPO, citing concerns with SpaceX’s valuation, its $28.5 trillion market opportunity and other reasons.

Top Pension officials from New York and California have also criticized SpaceX’s IPO, accusing Musk of creating a management-favorable structure. SpaceX will incorporate a dual-class share structure, with Musk's Class B shares each worth 10 regular shares, holding significant voting power.

Photo courtesy: Shutterstock

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Building Wealth Across More Than Just the Market

Building a resilient portfolio means thinking beyond a single asset or market trend. Economic cycles shift, sectors rise and fall, and no one investment performs well in every environment. That's why many investors look to diversify with platforms that provide access to real estate, fixed-income opportunities, precious metals, and even self-directed retirement accounts. By spreading exposure across multiple asset classes, it becomes easier to manage risk, capture steady returns, and create long-term wealth that isn't tied to the fortunes of just one company or industry.

Arrived

Backed by Jeff Bezos, Arrived Homes makes real estate investing accessible with a low barrier to entry. Investors can buy fractional shares of single-family rentals and vacation homes starting with as little as $100. This allows everyday investors to diversify into real estate, collect rental income, and build long-term wealth without needing to manage properties directly.

Immersed

Immersed is building technology for the future of work through spatial computing. Known for its AR/VR productivity platform that enables users to work across multiple virtual screens, the company has grown to more than 1.5 million users worldwide. Immersed is also developing Visor, a lightweight headset designed specifically for professional productivity, positioning the company at the intersection of remote work, extended reality (XR), and next-generation computing.

Vinovest

Fine wine and rare whiskey have historically moved independently of the stock market, making them a compelling alternative asset. Vinovest manages authenticated, insured portfolios of investment-grade wine and whiskey starting at $5,000 — sourcing, storage, and insurance all handled for you.

EnergyX

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© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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L3Harris Technologies, Inc. LHX recently secured a U.S. Army contract worth up to $106 million to deliver its VAMPIRE counter-unmanned systems (c-UxS), reinforcing its role in addressing the growing threat posed by hostile drones. The order supports the United States' layered c-UxS defense strategy and highlights rising demand for affordable, rapidly deployable drone defense capabilities.

LHX's Leadership in Counter-Unmanned Systems

L3Harris has leveraged decades of expertise to develop affordable, reliable and best-in-class solutions that swiftly counter the growing global threat posed by unmanned systems. The company has launched a new Counter-Unmanned Systems initiative, using its wide-ranging capabilities to tackle unmanned threats across air, land and sea domains.

L3Harris has already developed and proven counter-unmanned systems, including VAMPIRE, CORVUS-RAVEN, Nimble Finch and Drone Guardian.

The company's VAMPIRE is an affordable, compact Intelligence, Surveillance, and Reconnaissance and counter-unmanned weapons system engineered to deploy on nearly any platform, vehicle or vessel. This all-in-one system excels in Counter-small Unmanned Airborne System operations, providing precision strike capabilities against drones and remotely piloted aircraft with configurable sensors and weapons.

Such expertise may have attracted the interest of nations looking to incorporate L3Harris' counter-unmanned systems into their defense arsenals.

Growth Potential

According to a report by Market Research Future, the rising use of drones across military, commercial and recreational applications is driving the need for counter-unmanned aerial systems capable of detecting, tracking and neutralizing unauthorized drones. Per the same report, the market is projected to witness a CAGR of 24.72% between 2025 and 2035.

Such growth prospects are favorable for LHX, which is a trusted developer of counter-unmanned aerial systems. Other defense companies poised to benefit from the expanding counter-unmanned aerial systems market are discussed below:

RTX Corporation RTX: The company's Coyote counter-unmanned aircraft system is capable of neutralizing both single-drone threats and swarms, with shortened engagement timelines to address multiple targets. Its kinetic and non-kinetic variants can counter small to large unmanned aircraft systems at extended ranges and higher altitudes.

RTX boasts a long-term (three to five years) earnings growth rate of 10.2%. The Zacks Consensus Estimate for 2026 sales stands at $93.68 billion, which calls for an increase of 5.7%.

The Boeing Company BA: The company's Compact Laser Weapon System is a modular, high-energy laser platform that delivers proven air defense capabilities against unmanned aircraft systems. Its flexible design allows transport and operation by a single warfighter and can be configured for mobile deployment on various combat vehicles, offering exceptional adaptability to maintain readiness in any environment.

The Zacks Consensus Estimate for BA's 2026 loss is pegged at 15 cents, which suggests an improvement. The Zacks Consensus Estimate for 2026 sales is pegged at $96.70 billion, which suggests an increase of 8.1%.

BAE Systems plc BAESY: The company's TRIDON Mk2 is a high-precision, cost-effective anti-aircraft system that is simple to deploy and maintain. It can engage threats ranging from drones and cruise missiles to aircraft and armored vehicles, providing security and protection for both military forces and civilian infrastructure.

BAESY boasts a long-term earnings growth rate of 15%. The Zacks Consensus Estimate for 2026 sales stands at $44.65 billion, which calls for an increase of 56.8%.

Story Continues

LHX Stock Price Movement

In the past year, shares of L3Harris have risen 21% against the industry's decline of 0.3%.Zacks Investment Research

Image Source: Zacks Investment Research

LHX's Zacks Rank

L3Harris currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

The Boeing Company (BA) : Free Stock Analysis Report

Bae Systems PLC (BAESY) : Free Stock Analysis Report

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RTX Corporation (RTX) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Flight or fight? In looking at your investment portfolio, you have the choice of both.

Invesco Aerospace & Defense ETF (NYSEMKT:PPA) offers broad exposure to defense contractors and aerospace manufacturing with lower historical volatility, while U.S. Global Jets ETF (NYSEMKT:JETS) provides a pure-play, more concentrated bet on global airline operators.

Investors looking for exposure to flight-related industries generally choose between two distinct paths: commercial travel or military defense. While both funds are housed primarily within the industrial sector, their underlying economic drivers differ significantly, ranging from consumer leisure demand and fuel costs to national security budgets and long-term government defense contracts.

Snapshot (cost & size)

Metric JETS PPA Issuer US Global Invesco Expense ratio 0.60% 0.58% 1-yr return (as of June 8, 2026) 20.10% 25.10% Dividend yield 0.80% 0.40% Beta 1.21 0.74 AUM $860.4 million $8.0 billion

Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.

The Invesco fund is slightly more affordable with a 0.58% expense ratio compared to the 0.60% charged by the U.S. Global fund. However, the airline-focused ETF provides a higher payout, yielding 0.80% over the trailing 12 months at its recent price of $27.55, versus the 0.40% yield from the defense fund when it was trading around $166.

Performance & risk comparison

Metric JETS PPA Max drawdown (5 yr) (44.00%) (18.40%) Growth of $1,000 over 5 years (total return) $1,060 $2,282

What's inside

The Invesco Aerospace & Defense ETF holds 60 positions and tracks the SPADE Defense Index, focusing on firms vital to U.S. homeland security and aerospace support. Its largest positions include Boeing Co. (NYSE:BA) at 8.1%, RTX Corp. (NYSE:RTX) at 7.91%, and GE Aerospace (NYSE:GE) at 7.77%. The portfolio is almost 94% Industrials, with the balance in technology and communication services. This fund was launched in 2005 and has a trailing-12-month dividend of $0.66 per share.

The U.S. Global Jets ETF offers a more concentrated portfolio of 50 positions, including both airline operators and aircraft manufacturers worldwide. Its largest positions include Delta Air Lines Inc (NYSE:DAL) at 12.69%, American Airlines Group Inc (NASDAQ:AAL) at 12.01%, and United Airlines Holdings Inc (NASDAQ:UAL) at 11.57%. The sector mix is 91% Industrials, 7% Consumer Cyclical, and 2% Technology. This fund was launched in 2015 and has a trailing-12-month dividend of $0.23 per share.

Story Continues

Which is the better buy?

The Invesco Aerospace & Defense ETF is the better buy, having outpaced the U.S. Global JETS fund year-to-date, over the past three years, and over the previous five years. In the three years through March 31, 2026, PPA has returned 27.87%, while avancing 17.85% over the previous five years. By comparison, the U.S. Global JETS ETF has returned 17.38% over the past three years and 2% over the past five years.

The primary difference is that JETS is focusing solely on the commercial aerospace business, mainly consumer travel on aircraft. That's a boom-and-bust industry, where intense competition over airfare pricing makes it difficult for most airlines to post consistent profits.

The Invesco PPA fund holds a number of stocks not seen in JETS, including defense contractors L3Harris Technologies (NYSE:LHX), GeneralDynamics (NYSE:GD), and Northrop Grumman (NYSE:NOC). All of those are stocks benefiting from the U.S. increasing defense spending amid multiple military campaigns in recent years.

With lower volatility than JETS, as indicated by its lower maximum drawdown, PPA is the choice for 2026.

For more guidance on ETF investing, check out the full guide at this link.

Should you buy stock in Invesco Exchange-Traded Fund Trust - Invesco Aerospace & Defense ETF right now?

Before you buy stock in Invesco Exchange-Traded Fund Trust - Invesco Aerospace & Defense ETF, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Invesco Exchange-Traded Fund Trust - Invesco Aerospace & Defense ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $442,220! Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,230,114!

Now, it's worth noting Stock Advisor's total average return is 926% — a market-crushing outperformance compared to 203% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

See the 10 stocks »

*Stock Advisor returns as of June 11, 2026.

Brendan Coffey has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Boeing, GE Aerospace, L3Harris Technologies, and RTX. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.

Better Returns, Lower Risk: Invesco Aerospace ETF Tops Jets ETF was originally published by The Motley Fool

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GE Aerospace GE is witnessing strong momentum in its Defense & Propulsion Technologies segment, supported by a solid pipeline of orders. Growing popularity for the company’s propulsion & additive technologies, critical aircraft systems and aftermarket services in the defense sector is driving the segment’s performance.

The company recently secured a deal from Boeing Defence UK for the extension of support services for T700-GE-T701D engines. The contract will involve GE to provide logistics management, repair, maintenance and technical support services for these turboshaft engines that run the Apache AH-64E fleet of the British Army. It entered into a multi-year partnership with Palantir Technologies Inc. (PLTR) in March 2026 to work on improving the fleet management and operational readiness of the U.S. Air Force’s military aircraft.

In first-quarter 2026, GE clinched a $1.4 billion deal for T408 engines to support the U.S. Marine Corps’ CH-53K helicopter fleet. This apart, its $5 billion contract from the U.S. Air Force to supply F110 engines, parts and support services as part of a Foreign Military Sales (FMS) program is noteworthy.

GE’s strong pipeline of projects supported its first-quarter results as the Defense & Propulsion Technologies segment’s orders surged 67% and revenues increased 19% to $3.2 billion. The segment’s operating profit grew 17% to $379 million.

Robust budgetary provisions for the defense sector set the stage for GE Aerospace, which remains focused on winning more defense contracts, which is likely to boost its top line. For 2026, GE expects revenues from the Defense & Propulsion Technologies segment to increase in the mid-to-high single-digit range, whereas operating profit is anticipated to be in the band of $1.55-$1.65 billion.

GE's Peers in the Defense Market

Among its major peers, Textron Inc. TXT enjoys solid demand for its defense products as well. In the first quarter of 2026, revenues from Textron’s Bell segment increased year over year, driven by continued growth on the MV-75 Cheyenne program. Textron Systems revenues increased 13% largely due to higher volume on the Ship-to-Shore Connector program and military training services at ATAC.

Its another peer, RTX Corporation RTX, is witnessing solid bookings and backlog levels. RTX’s strong backlog supports a positive outlook for revenue growth in its defense business, which is expected to strengthen profits over the long term. RTX won several notable defense contracts during the first quarter of 2026, which resulted in solid bookings of $14 billion and a record backlog of $271 billion.

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GE's Price Performance, Valuation and Estimates

Shares of GE Aerospace have gained 1.6% in the past three months against the industry’s 12.4% decline.Zacks Investment Research

Image Source: Zacks Investment Research

From a valuation standpoint, GE is trading at a forward price-to-earnings ratio of 41.29X, above the industry’s average of 31.83X. GE Aerospace carries a Value Score of D.Zacks Investment Research

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for GE’s 2026 and 2027 earnings has increased over the past 60 days.Zacks Investment Research

Image Source: Zacks Investment Research

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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Elon Musk's SpaceX (SPAX.PVT) is just days away from its scheduled IPO this Friday, June 12, currently valued at $1.75 trillion.

Yahoo Finance Senior Business Reporter Ines Ferré breaks down the aerospace companies whose combined market caps fall just shy of SpaceX's valuation.

SpaceX is expected to go public on the Nasdaq this week under the ticker SPCX, with the space operator aiming for an IPO price of $135 per share.

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GE Aerospace, part of General Electric (NYSE:GE), signaled a major reopening for U.S. jet engine sales in China tied to a plan for the country to acquire 200 Boeing jets. The company also announced a propulsion power order from the U.S. Navy, expanding its role as a supplier to U.S. military programs. These moves point to fresh commercial and defense orders following recent diplomatic progress between the U.S. and China.

For you as an investor, this places GE Aerospace at the intersection of two large end markets: global commercial aviation and U.S. defense. The commercial side could see more activity as airlines refresh fleets, while defense spending remains a consistent source of demand for propulsion and power systems.

Looking ahead, a key consideration is how steadily these China-related engine deals and U.S. Navy contracts convert into booked orders and long-term programs. The mix between commercial and defense exposure will matter for revenue visibility, cash flow stability, and how investors ultimately value NYSE:GE within the broader industrial and aerospace sector.

Wall Street's queuing for one rocket. While SpaceX counts down to its IPO, other companies tied to the new space race are already in orbit. → 20 Compelling Space Companies watchlist · Global Space Race Investing Ideas screener · Scan the sector by valuation on Rocket Lab's valuation page.NYSE:GE Earnings & Revenue Growth as at Jun 2026

We've flagged 1 risk for General Electric. See which could impact your investment.

For General Electric, the reopening of U.S. jet engine sales in China and the new U.S. Navy propulsion order sit alongside the Wolfspeed partnership as part of the same bigger theme: GE Aerospace tying its future to large, long-duration programs across commercial and defense. More engines on Boeing aircraft for Chinese airlines support the installed-base story that underpins long-term servicing revenue, while the Navy contract extends GE's reach into ocean-surveillance platforms. At the same time, the Wolfspeed MOU points to a focus on high-voltage silicon carbide power electronics, which could matter for future aircraft and defense systems that require compact, efficient power management. Together, these moves suggest GE is trying to position itself across traditional jet propulsion, electrified power systems, and defense applications, in competition with peers like Rolls-Royce and RTX. For you as an investor, the key question is how consistently these partnerships and orders turn into contracted backlog and later, recurring service work.

Story Continues

How This Fits Into The General Electric Narrative

The China engine opportunity and U.S. Navy order align with the narrative that advanced engine programs, a growing installed base, and defense spending can support long-term revenue and service-driven cash generation. They also sharpen the execution challenge highlighted in the narrative, because adding China exposure and new defense platforms increases complexity on top of existing engine ramp-ups and supply chain constraints. The Wolfspeed silicon carbide focus and the Navy propulsion work touch on power electronics and non-engine systems that are not fully captured by a narrative centered mainly on engines and digital maintenance tools.

Knowing what a company is worth starts with understanding its story. Check out one of the top narratives in the Simply Wall St Community for General Electric to help decide what it's worth to you.

The Risks and Rewards Investors Should Consider

⚠️ Analysts have flagged GE's high debt, so adding more commercial and defense commitments could put pressure on cash flows if program ramp-ups take longer or cost more than expected. ⚠️ Greater exposure to China and U.S. defense budgets increases sensitivity to trade policy shifts, export controls, and defense-spending priorities, while competitors like Rolls-Royce and RTX are also pursuing engine and power-system contracts. 🎁 Growing engine sales tied to Chinese Boeing orders and a new Navy propulsion contract support the view that GE can build a broad installed base that feeds recurring maintenance, repair, and overhaul revenue. 🎁 The Wolfspeed collaboration and focus on high-voltage silicon carbide power modules suggest GE is working on power systems that could be used across future aircraft, industrial, and AI-enabled defense platforms, potentially widening its addressable market.

What To Watch Going Forward

From here, pay attention to whether the China-related engine discussions translate into firm orders, how large the Navy propulsion program becomes, and how often management references these wins in backlog and book-to-bill commentary. It is also worth tracking any update on the Wolfspeed MOU, especially milestones toward commercial silicon carbide module introduction and references to those modules in future aircraft or defense awards versus competing systems from RTX or Honeywell.

To ensure you're always in the loop on how the latest news impacts the investment narrative for General Electric, head to the community page for General Electric to never miss an update on the top community narratives.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include GE.

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