Boeing Company (NYSE:BA)
A contract for the F/A 18 aircraft program was just won by the Boeing Company (NYSE:BA). The Defense Logistics Agency Aviation in Philadelphia, Pennsylvania, presented the medal.
This contract has a total estimated value of $278M and is expected to be finished by Aug 8, 2027. Boeing will buy supplies for the F/A-18 fighter planes as the agreement requires.
Value of F/A-18 Fighter Jets
The F/A-18 Block III Super Hornet is Boeing Company’s (NYSE:BA) latest generation of multirole fighter aircraft, and it is a twin-engine, supersonic, all-weather fighter jet. Boeing Company (NYSE:BA) claims the Super Hornet is the most cost-effective aircraft in the country’s tactical aviation fleet, costing less per flight hour than any other tactical aircraft in the United States inventory.
The F/A-18 Super Hornet fighter jet has become the standard issue aircraft for armed forces around the globe. In addition to the United States Navy, the Royal Australian Air Force and the Air Force of Kuwait operate many of these fighter planes.
The most recent contract win further evidenced strong demand in the aviation market for the F/A-18 fleet.
Potential for Expanding
Emerging countries in the Asia-Pacific, the Middle East, and South America are spending heavily to strengthen their defense capabilities in response to mounting security challenges. The defense industries of wealthy nations like the United States and Europe have long been ahead of the curve. As the world’s leading exporter of military hardware, the United States spends much on defense hardware, with combat aircraft taking pride in place among these products. The United States military aircraft market is dominated by Boeing Company (NYSE:BA), the country’s largest aircraft manufacturer.
Mordor Intelligence predicts that between 2021 and 2026, the global market for combat aircraft will grow at a CAGR of 2.5%, with the highest market share coming from North America. Increasing defense spending and a surge in international tensions are to blame for this expansion. Boeing Company (NYSE:BA) and other U.S.-based combat jet producers, including Northrop Grumman (NOC), Lockheed Martin (LMT), and Textron (TXT), stand to gain from these forecasts.
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