economy
Buy this Israeli defense stock because of its 'battlefield tested tech,' Bank of America says
Elbit Systems has rallied 60% in less than four months. One analyst says it will continue to gain as global demand for defense technology stays high.
TL;DR
- Bank of America reiterated a buy rating on Elbit Systems with a price target implying a nearly 16% gain.
- Elbit's significant investments have yielded a technology portfolio required in today's battlefield.
- The land technology business is projected to grow 30% in 2026 due to demand for replenishing munitions.
- Intelligence, surveillance, target acquisition, reconnaissance, and electronic warfare business to grow 15% driven by high-power laser technologies.
- Elbit's 'battlefield tested tech' portfolio has a market value of almost $44 billion.
- The stock has more than doubled in the past year and trades at more than 60 times forward earnings, but is positioned to extend gains.