Tomahawk missile maker’s stock climbs after US strike on Syria

Raytheon, the contractor that manufactures the Tomahawk line of cruise missiles, is enjoying a good day on Wall Street after Trump’s attack on Syria.

As of 12:22 PM Eastern Time, the missile manufacturer’s stock is already up 2.5 percent compared to the day before, prior to the missile strike. If current trends continue, Raytheon’s stock may close above its previous 5-year high of March 17, when its share price was at $156.97.

As CNN Money reported, stock prices for other defense contractors were also rallying on Friday, just one day after President Trump announced the missile strike against a Syrian airbase in Homs province in response to Syrian President Bashar al-Assad’s chemical weapons attack that killed roughly 70 Syrians. Lockheed Martin and Northrop Grumman’s stocks are both on the rise, and my also close at near all-time highs before the weekend begins.

Defense stocks have been particularly bullish since the onset of the Trump administration. Since late January, stocks for major military contractors have been steadily rising, given President Trump’s promises to boost military spending and hawkish rhetoric regarding ISIS and Syria. Between January 26 and March 17, 2017, Raytheon’s stock jumped approximately $14 in share price. Lockheed Martin’s share price jumped by almost $20 between early February and April.

Should Trump continue to escalate his rhetoric and actions in regard to the Assad regime, it’s likely that defense stocks will remain bullish throughout the year.

 

Tom Cahill is a senior editor for the Resistance Report based in the Pacific Northwest. He specializes in coverage of political, economic, and environmental news. You can contact him via email at [email protected], or follow him on Facebook by clicking here.