Group 1 - Greece's parliament approved the procurement of 36 PULS rocket artillery systems from Israel, with a total contract value of approximately €650 million [1] - The PULS rocket artillery system, also known as the "Precision Universal Launching System," is developed and manufactured by Israeli company Elbit [1] - The maximum range of the PULS system can reach up to 300 kilometers [1]

Market Performance - The Tel Aviv Stock Exchange saw a rise today, with the Tel Aviv 35 Index increasing by 1.14% to 3,506.55 points and the Tel Aviv 125 Index rising by 0.70% to 3,535.70 points [1] - The BlueTech Global Index, however, fell by 0.16% to 600.50 points, and the All Bond corporate bond index decreased by 0.01% to 418.12 points [1] - Total turnover in equities reached NIS 3.77 billion, while bonds totaled NIS 3.48 billion [1] Currency Exchange Rates - The representative shekel-dollar rate increased by 0.248% to NIS 3.237/$, and the shekel-euro rate rose by 0.345% to NIS 3.780/€ [2] Notable Stock Movements - Camtek experienced the largest increase on the Tel Aviv 35 Index, rising by 3.08%, followed by Tower Semiconductor at 2.45%, Elbit Systems at 2.55%, and Teva Pharmaceutical at 2.97% [2] - Bank Hapoalim led the market with a rise of 2.29% and the highest trading turnover, while Bank Leumi increased by 2.14%, Mizrahi Tefahot Bank by 0.91%, and Israel Discount Bank by 1.43% [3] - YH Dimri Construction & Development saw the largest decline on the Tel Aviv 35 Index, falling by 2.99%, with Clal Insurance down by 2.08% and Enlight Renewable Energy down by 1.70% [3]

Core Viewpoint - The Japanese government plans to procure offensive drones from Israeli company Elbit Systems, which has faced strong opposition from parts of the Japanese public due to the company's involvement in military actions in Gaza [1] Group 1: Government Procurement Plans - The drones being considered for procurement include the "Sky Striker" model, which has been used in military operations in Gaza [1] - The procurement is linked to the actions of the Israeli military, raising ethical concerns among Japanese citizens [1] Group 2: Public Opposition - Various citizen groups held a protest on November 27 at the House of Representatives, opposing the procurement of Israeli drones [1] - Protesters labeled the military actions in Gaza as genocide and argued that trade relations with entities involved in such actions are unacceptable [1]

Core Viewpoint - The Japanese government plans to procure offensive drones from Israeli company Elbit Systems, which has faced strong opposition from some Japanese citizens, with experts suggesting that Prime Minister Fumio Kishida could face an international arrest warrant due to this decision [1][3][5] Group 1: Procurement Details - The drones in question are manufactured by Elbit Systems, a major Israeli defense contractor closely associated with military operations in Gaza [3][5] - The Japanese Ministry of Defense has acknowledged that the drone models under consideration include the "Sky Striker," which has been used in military actions in Gaza [3][5] Group 2: Public Opposition - Multiple citizen groups held a protest on November 27 at the House of Representatives, opposing the procurement of Israeli drones, arguing that military actions in Gaza constitute genocide and that Japan should not maintain trade relations with perpetrators of genocide [3][5] - Protesters emphasized that purchasing weapons from Israeli military enterprises could be seen as complicity in genocide [3][5] Group 3: Legal Implications - Professor Takahashi Munenori from New York University stated that genocide is a serious international crime, and any country has an obligation to prevent it; continuing to procure weapons from Israel under the current circumstances is a disregard for international obligations [3][5] - If the purchase of drones from Israel is deemed to support genocide, Prime Minister Fumio Kishida and Defense Minister Kishi Nobuo could potentially face international arrest warrants, similar to those previously issued against Israeli Prime Minister Netanyahu [3][5]

Core Insights - Governments globally are increasing defense budgets to modernize military capabilities, attracting investor interest in defense contractors focused on high-growth military technology areas [1] - Companies like Kratos Defense & Security Solutions, Inc. (KTOS) and Elbit Systems (ESLT) are well-positioned due to their advanced systems portfolios, including unmanned aerial vehicles and missile defense technologies [1][2] Defense Spending Trends - Significant capital is being invested in autonomous defense technologies and military drones, as modern warfare emphasizes speed, precision, and reduced human exposure [2] - Unmanned systems are crucial for surveillance and strike missions, minimizing risks to soldiers in high-risk environments [2] Technological Advancements - Military drones and autonomous systems enhance situational awareness and operational effectiveness through advanced sensors and AI-driven targeting [3] - Real-time data links allow commanders to make informed decisions quickly, improving mission efficiency [3] Company Performance: Kratos Defense (KTOS) - KTOS is experiencing robust growth in its unmanned systems segment, with revenues increasing by 35.8% year-over-year and operating income rising by 575% in Q3 2025 [4][9] - The company is expanding its global presence through new contracts and investments in next-generation platforms, positioning itself for long-term growth [5] Company Performance: Elbit Systems (ESLT) - ESLT is also seeing strong momentum in its unmanned systems business, driven by demand from global defense agencies [6] - The company has secured major multi-year contracts, including one valued at approximately $2.3 billion, enhancing long-term revenue visibility [7] Earnings Estimates - Zacks Consensus Estimates indicate KTOS's EPS growth of 4.08% and 38.95% for 2025 and 2026, respectively [8] - ESLT's EPS is expected to grow by 39.27% and 16.6% in 2025 and 2026, respectively [10] Valuation Comparison - KTOS has a forward Price/Sales (P/S F12M) multiple of 7.98, while ESLT's is 2.41, making ESLT more attractive from a valuation perspective [12] Debt Position - KTOS has no total debt to capital, while ESLT's ratio is 7.61% [13] - Interest coverage for KTOS is 11.8, compared to ESLT's 4.1, indicating KTOS's stronger ability to meet interest obligations [13] Stock Performance - Over the past year, KTOS shares have increased by 183.2%, while ESLT shares have risen by 86.9% [14] Investment Recommendation - Both companies are key players in advanced military technology, particularly in unmanned systems [15] - KTOS is currently favored due to its superior price performance and management compared to ESLT, with both stocks holding a Zacks Rank 3 (Hold) [16]

Market Performance - The Tel Aviv Stock Exchange experienced a decline, with the Tel Aviv 35 Index falling by 1.15% to 3,320.72 points, and the Tel Aviv 125 Index decreasing by 1.20% to 3,359.47 points. The BlueTech Global Index also dropped by 1.36% to 574.59 points [1] - The All Bond corporate bond index saw a slight increase of 0.09% to 419.78 points. Total turnover in equities was NIS 1.54 billion, while bond turnover reached NIS 1.97 billion [1] Currency Exchange Rates - The shekel-dollar exchange rate was set 0.644% higher at NIS 3.28/$, and the shekel-euro rate increased by 0.834% to NIS 3.784/€ [2] Notable Stock Movements - Nice (Nasdaq: NICE; TASE: NICE) recorded the largest gain on the Tel Aviv 35 Index, rising by 4.60%. Other banks such as Bank Hapoalim (TASE: POLI), Mizrahi Tefahot Bank, Israel Discount Bank (TASE: DSCT), and First International Bank of Israel (TASE: FTIN1; FTIN5) also saw modest increases [2] - Conversely, Bank Leumi (TASE: LUMI) led the market decline with a drop of 0.51%. Tower Semiconductor Ltd. (Nasdaq: TSEM; TASE: TSEM) experienced the largest fall on the Tel Aviv 35 Index, decreasing by 8.37%. Other notable declines included Camtek (Nasdaq: CAMT; TASE: CAMT) down 5.22%, Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA) down 1.53%, Elbit Systems Ltd. (Nasdaq: ESLT; TASE: ESLT) down 3.40%, and Delek Group (TASE: DELKG) down 4.32% [3]

Market Performance - The Tel Aviv Stock Exchange experienced an overall increase, with the Tel Aviv 35 Index rising by 0.28% to 3,395.10 points, the Tel Aviv 125 Index increasing by 0.20% to 3,438.32 points, and the BlueTech Global Index up by 0.38% to 583.16 points [1] - The All Bond corporate bond index saw a slight increase of 0.02% to 419.46 points, with total turnover in equities reaching NIS 4.30 billion and NIS 4.08 billion in bonds [1] Foreign Exchange Rates - The shekel-dollar exchange rate was set at NIS 3.266/$, reflecting a decrease of 0.122% from the previous day, while the shekel-euro rate was set at NIS 3.783/€, down by 0.158% [2] Company Highlights - Bezeq Israel Telecommunications Company Ltd. led the market with a rise of 2.07% following the sale of its controlling stake for NIS 2.7 billion, resulting in the highest trading turnover of the day [3] - Camtek experienced a significant increase of 6.33%, marking the largest rise on the Tel Aviv 35 Index, while Tower Semiconductor rose by 3.72% [3] - Bank Leumi and Bank Hapoalim saw increases of 2.62% and 1.72% respectively, with Mizrahi Tefahot Bank up by 1.67% and Israel Discount Bank rising by 0.23% [4] - Conversely, Elbit Systems Ltd. faced the largest decline on the Tel Aviv 35 Index, falling by 5.23%, followed by Nice with a decrease of 4.35%, NextVision down by 2.93%, and Azrieli Group falling by 1.58% [4]

Group 1 - Elbit Systems (ESLT) stock price has increased by 155% since a buy rating was issued in August 2024, outperforming the S&P 500's gain of 18.8% [1] - The aerospace and defense sector is highlighted as having significant growth prospects, with the analyst providing context to developments that may affect investment theses [1] - The investing group, The Aerospace Forum, aims to discover investment opportunities within the aerospace, defense, and airline industries, utilizing data-informed analysis [1]

Group 1 - Elbit Systems (ESLT) announced a $2.3 billion contract award from an unnamed country outside of Israel, positively impacting its stock performance [1] - The company is set to report its third-quarter earnings before the market opens on Tuesday [1] - The IBD SmartSelect Composite Rating for Elbit Systems increased from 94 to 96, indicating improved performance metrics [2]

Core Viewpoint - Elbit Systems (ESLT.US) shares rose by 3.5% to $521.75 following the announcement of a $210 million contract with the Israeli Ministry of Defense for upgrading Merkava main battle tanks. Additionally, JPMorgan raised the company's target price from $520 to $530 [1]. Group 1: Financial Performance - Pre-market price increased by 3.51% to $521.75 [2]. - The closing price on November 18 was $504.05, with a price increase of $17.70 [2]. - The stock reached a high of $523.00 and a low of $489.99 during the trading session [2]. Group 2: Market Metrics - The total market capitalization of Elbit Systems is approximately $23.375 billion [2]. - The price-to-earnings (P/E) ratio is reported at 51.17, with a trailing P/E ratio of 70.20 [2]. - The stock has a dividend yield of 0.44% and a dividend of $2.20 [2]. Group 3: Trading Volume and Price Range - The trading volume was 204,800 shares, with a turnover of $104 million [2]. - The stock has a 52-week high of $529.223 and a low of $241.649 [2]. - The average price during the session was $507.272, with a price fluctuation of 6.56% [2].