Sinclair Fox Aerospace and Defense ETFs Rocket Higher - Sinclair Fox

Aerospace, Technology

Aerospace and Defense ETFs Rocket Higher

Aerospace and defense stock ETFs are rising on news of Northrop Grumman's $7.8 billion bid for Orbital ATK.

Aerospace and defense company stocks got a boost Monday morning on news of  traduire agence de rencontre en anglais Northrop Grumman‘s (NOC) $7.8 billion acquisition of  http://zspskorcz.pl/pictose/eseit/5361 Orbital ATK (OA).  citation amour site de rencontre Barron’s Jack Hough, who wrote the cover story about the new space race and highlighted Orbital as a pick back in 2015, deserves a round of applause.

An Orbital Sciences Corporation Antares rocket launches. Photo by Bill Ingalls/NASA via Getty I

Shares of Orbital are up more than 20% so far today to around $132.51. Northrop’s stock is up a little more than 2% to around $272.63.

Meanwhile the $4.2 billion  click iShares U.S. Aerospace & Defense ETF (ITA) and the $863 million go site  SPDR S&P Aerospace & Defense ETF(XAR) climbed 1.4% and 2.1%, respectively. The SPDR ETF is up slightly more because it tracks an equal-weighted index to capture industry exposure across large-, mid-, and small-cap stocks with roughly the same weighting in Northrop and Grumman. The market-cap weighted iShares ETF has a bigger exposure to Northrop than Orbital.

 While the SPDR ETF charges a slightly lower fee, the iShares ETF has a longer tenure and a proven record for delivering slightly better returns. Over the last five years, the iShares ETF returned 22.39% compared to the SPDR’s 21.89%, according to Morningstar.
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