Airbus Clinches a $315M Deal to Support UH-72 Lakota Helicopter

Airbus SE EADSY secured a contract to provide logistics support and engineering services for the UH-72 Lakota helicopter. The award has been offered by the Army Contracting Command, Redstone Arsenal, AL.Valued at $315 million, the contract is expected to be completed by Dec. 31, 2025. The majority of the work related to this deal will be carried out in Grand Prairie, TX.EADSY’s Expertise in Military Helicopters As nations are upgrading their defense capabilities, expenditures on cutting-edge defense equipment and ammunition have been rising quickly. Increasing expenditures on military helicopters, which are essential for air combat operations, contribute to the rising defense expenditures. As a leading manufacturer of combat helicopters, Airbus has received a steady stream of orders from all over the world.More than 140 armed forces worldwide rely on Airbus for its expertise to produce high-quality multi-role helicopters. These copters are able to fulfill a wide range of operational military roles, such as armed reconnaissance, utility, attack, naval, maritime and special operations.In particular, EADSY’s UH-72 Lakota is a highly adaptable and reconfigurable helicopter capable of carrying out a wide range of tasks under a variety of climates and environments. Its missions are as diverse as its operational locations, encompassing training, general utility, search and rescue, reconnaissance, medical evacuation, disaster response, homeland security, counterdrug, command and control, and VIP transportation.Growth Prospects for Airbus Amid rising military conflicts, terrorism and border disputes, these combat-proven helicopters play a critical role in a country's security system. This is likely to have prompted the Mordor Intelligence firm to forecast a compound annual growth rate of 2.9% for the military helicopter market during the 2024-2030 period. Such growth opportunities offered by the aforementioned market should bode well for Airbus.EADSY’s product portfolio consists of varied combat helicopters, such as the H125M, H160M, H175M, H215M, H225M, Tiger, NH90 and a few more. These enjoy solid demand in the global military helicopter market, with some 19,000 helicopters delivered across 150 nations.Opportunities for Other Defense Companies Other defense companies that are expected to enjoy the perks of the expanding military helicopter market have been discussed below:Boeing BA: The company’s helicopters are renowned for their leading-edge, relevant solutions that provide capacity. Boeing’s product portfolio includes combat helicopters and rotorcraft like the H-47 Chinook, AH-64 Apache, AH-6 Little Bird and V-22 Osprey.Boeing has a long-term (three to five years) earnings growth rate of 19.3%. The Zacks Consensus Estimate for BA’s 2025 sales indicates an improvement of 21.9% from the 2024 estimated figure.Textron TXT: Its Bell business segment supplies advanced military helicopters and provides parts and support services to the U.S. Government and military customers outside the United States. Its portfolio of combat helicopters includes Bell 412M, Bell 429M, Bell 407M and Bell 505M. TXT boasts a long-term earnings growth rate of 10.1%. The Zacks Consensus Estimate for TXT’s 2025 sales indicates year-over-year growth of 7.4% from the 2024 estimated figure.Lockheed Martin LMT: Its Sikorsky business unit provides military and rotary-wing aircraft to all five branches of the U.S. armed forces, along with military services and commercial operators in 40 nations. Some of LMT’s renowned products are Armed Black Hawk, CH-53K, MH-60R SEAHAWK, Raider X, S-97 Raider, S-70 BLACK Hawk, etc.Lockheed boasts a long-term earnings growth rate of 4.4%. The Zacks Consensus Estimate for LMT’s 2025 sales indicates an improvement of 3.9% from the 2024 estimated figure.EADSY Stock Price Movement In the past six months, Airbus shares have risen 13.1% compared to the industry’s fall of 1.7%.Image Source: Zacks Investment ResearchEADSY’s Zacks Rank Airbus currently carries a Zacks Rank #4 (Sell).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant 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 Lockheed Martin Corporation (LMT): Free Stock Analysis Report Textron Inc. (TXT): Free Stock Analysis Report Airbus Group (EADSY): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks