# Defense stocks rose after the joint U.S.-Israel strike on Iran heightened tensions and boosted expectations for military spending.

*aerospace, business · news · 2026-03-03 · Benzinga*

## Key points

- AeroVironment is actively negotiating a contract with the U.S. Space Force for BADGER antenna systems.
- The Space Force contract was temporarily paused to finalize a firm-fixed-price agreement and expedited delivery.
- AeroVironment will invest over $30 million to expand New Mexico manufacturing, with $6 million in incentives.
- The New Mexico expansion is projected to create 450+ high-wage jobs and $670 million economic impact.
- AeroVironment's Q3 2026 revenue estimate jumped to $483.39 million from $167.64 million year-over-year.

**Companies:** AeroVironment Inc.
**Countries:** United States, Israel, Iran

[Read the full story on Benzinga](https://www.benzinga.com/trading-ideas/movers/26/03/51007020/why-is-aerovironment-stock-soaring-tuesday)

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