Core Insights - The defense sector is experiencing a multi-year capital expenditure (capex) wave driven by contract assurance from the Department of Defense, benefiting both major primes and smaller suppliers [1] Group 1: Major Defense Companies - Lockheed Martin (LMT) has a record backlog of $194 billion, with F-35 deliveries expected to increase from 110 in 2024 to 191 in 2025, and a projected revenue of $77.5 to $80 billion for 2026 [1] - RTX (RTX) holds a $268 billion backlog, with $107 billion in defense, and reported a 30% growth in military revenues in Q4 2025 [1] - Boeing (BA) has a total backlog of $682 billion and is ramping up production of the 737, although it is still facing cash burn and negative operating margins [1] Group 2: Smaller Suppliers - Albany International (AIN) is highlighted as a small aerospace and defense supplier, with a 45% year-over-year revenue increase in Q4 2025, reaching $143.7 million [1] - Albany International's Engineered Composites division produces structural components for major defense systems, including the F-35 and missile applications [1] - The company is also developing ceramic matrix composites for hypersonic missile applications, with announcements expected in spring 2026 [1]