Stock of the Day

December 20, 2023

Elbit Systems (ESLT)

$775.16
+$20.31 (+2.7%)
Market Cap: $34.46B

About Elbit Systems

Elbit Systems Ltd. develops and supplies a portfolio of airborne, land, and naval systems and products for the defense, homeland security, and commercial aviation applications primarily in Israel. The company operates through Aerospace, C4I and Cyber, ISTAR and EW, Land, and Elbit Systems of America segments. It also offers military aircraft and helicopter systems; commercial aviation systems and aerostructures; unmanned aircraft systems; electro-optic, night vision, and countermeasures systems; naval systems; land vehicle systems; munitions, such as precision munitions for land, air, and sea applications; command, control, communications, computer, intelligence, surveillance and reconnaissance, and cyber systems; electronic warfare and signal intelligence systems; and other commercial activities. In addition, the company manufactures and sells data links and radio communication systems and equipment, and cyber intelligence, autonomous, and homeland security solutions. Further, it provides various electronic warfare and signal intelligence systems, and laser systems; armored vehicle and other platforms survivability and protection systems, artillery, and mortar systems, as well as provides various training and support services. Additionally, the company offers products and systems solutions to military, homeland security, medical instrumentation, and commercial aviation clients. It markets its systems and products as a prime contractor or subcontractor to various governments and companies. It also has operations in Israel, North America, Europe, Latin America, the Asia-Pacific, and internationally. The company was incorporated in 1966 and is based in Haifa, Israel.

Today's Trend

Elbit Systems Ltd. (NASDAQ: ESLT) is moving higher on a wave of positive business updates and upbeat analyst/industry commentary. The biggest catalyst is a newly announced $350 million international contract to upgrade Main Battle Tanks, which reinforces demand for Elbit’s defense systems and adds to its already strong backlog. The stock is also benefiting from recent coverage highlighting its strong Q1 results, expanding European business, and status as one of the better-performing defense names this year.

Overall, Elbit Systems (ESLT) appears to be rising because investors are focusing on fresh contract wins, strong backlog growth, and continued optimism around defense spending, while valuation concerns are a secondary offset.

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