Global Defense Spending Surges: RTX and Honeywell Aerospace Poised for Growth

The defense industry is experiencing significant growth due to escalating global military spending.

Last year, global governments spent a record $2.9 trillion on defense, accounting for roughly 2.5% of the world's economic output.

Two major players in this market are RTX and Honeywell Aerospace (HONA).

RTX has a massive backlog of orders worth $289 billion, which is expected to surge to $460 billion by the end of 2028.

The company has become a preferred defense vendor for various governments, including the U.S., due to its ability to provide critical military equipment such as the Tomahawk missile.