Stocks
Boeing Wins $20 Billion Navy Fighter Contract Over Northrop
The U.S. Navy has chosen Boeing to develop its next-generation carrier-based fighter, the F/A-XX, over Northrop Grumman in a $20 billion contract. The deal, announced on September 29, 2026, covers full-scale development and several test aircraft, with service entry expected in the 2030s.
Boeing's win comes after it was also chosen by the Air Force for the F-47 in 2025. While Boeing rose about 2% after hours on Tuesday, Northrop fell 4.2%, indicating the market viewed the loss as more significant than the win.
The contract is for development work and test jets only, with no production quantities or prices announced. This means Boeing's payoff remains years away at 50 times forward earnings.