Meet America's Newest Defense Stock (but Don't Buy It Yet)
If you're looking for a cheap defense stock, keep looking -- Karman isn't it.
In 1991, the world changed.
After more than four decades of Cold War, and a growing military-industrial complex in America (with a growing number of defense stocks to support it), the fall of the Soviet Union in 1991 led to a dramatic pullback in defense spending in Western nations, the U.S. included.
It also sparked a wave of closures and consolidations among U.S. defense businesses. Lockheed merged with Martin Marietta to form Lockheed Martin; Northrop acquired Grumman to form Northrop Grumman; Boeing swallowed McDonnell Douglas whole. This has resulted in dramatically fewer but dramatically bigger defense stocks to invest in, and it's a trend that has continued all the way up to ... well, right about now.
