NATO spending boom: LMT, NOC, RTX, BAE, GD — cost-plus contracts = guaranteed margins
Defense Prime Contractors
| Symbol | Action | Vol | Stop Loss | Take Profit | Size | Links |
|---|---|---|---|---|---|---|
| LMT | BUY | 25% | 17.5% below entry | 10.5% above entry | 4.4% | TVYH |
| NOC | BUY | 26% | 17.9% below entry | 10.8% above entry | 4.3% | TVYH |
| BAESY | BUY | 34% | 23.9% below entry | 14.4% above entry | 3.3% | TVYH |
| LHX | BUY | 23% | 16.2% below entry | 9.7% above entry | 4.8% | TVYH |
| RTX | BUY | 25% | 17.4% below entry | 10.5% above entry | 4.5% | TVYH |
| GD | BUY | 21% | 14.8% below entry | 8.9% above entry | 5.3% | TVYH |
| LDOS | BUY | 30% | 20.8% below entry | 12.5% above entry | 3.7% | TVYH |
| HII | BUY | 40% | 27.8% below entry | 16.7% above entry | 2.8% | TVYH |
This strategy has moderate long-term potential but requires monitoring. - Take profit: Rebalance when any position exceeds 2x its target weight. Trim back to target, redeploy to underweight positions. - Stop loss: NO price-based stop loss. This strategy recovered from -34% drawdown to return 88% long-term. - Exit rule: Review annually. Exit if strategy underperforms its benchmark for 3 consecutive years.