The defense and public safety technology sector has been strong this earnings season. Northrop Grumman (NOC) posted Q4 revenue of $11.7 billion, up nearly 10% and beating estimates by over $100 million, while RTX Corp's (RTX) sales surged 12% to $24.2 billion, supported by a record $268 billion backlog.
In the same vein, Motorola Solutions (MSI) saw its Q4 revenue climb 12.3% to $3.38 billion as AI-powered tools like its SVX body-worn assistant, which has already shipped over 15,000 units, lifted demand from law enforcement agencies. All of this is happening against the backdrop of the Trump administration's plan to boost defense spending to $1.5 trillion in fiscal 2027, a 66% increase that would send significant new funding into companies building advanced security and policing technology.
