South Korea military shrinks by 20% due to record low birthrate https://t.co/vY8lylBsmt ...

Company Overview - Viasat is a global communications and defense technology company operating in two segments: Communication Services and Defense and Advanced Technologies (DAT) [1] - The Communications Services segment includes fixed broadband, government, maritime, and inflight communications, while the DAT segment focuses on defense-technology platforms for information security, cyber defense, and tactical networking [1] Activist Involvement - Carronade Capital Management LP, an activist investment firm, owns 2.60% of Viasat and has called for the separation of the DAT business through a spin-off or IPO [2][3] Financial Performance - Viasat's revenue breakdown shows Communications contributing 73% of revenue and 80% of EBITDA, while DAT accounts for 27% of revenue and 20% of EBITDA [4] - The Communications segment is experiencing a decline in broadband revenue, down over 27% year over year, but other areas like Government and Inflight Communications (IFC) are growing at approximately 25% and 22% respectively [5] - Viasat's share price has significantly underperformed, down 21.12%, 51.56%, and 57.98% over the past 1, 3, and 5 years [4] Market Perception and Misunderstanding - Carronade argues that Viasat is misunderstood by the market, perceived as a small-cap legacy satellite company overshadowed by competitors like Starlink [5] - The DAT business is highlighted as a hidden gem with best-in-class EBITDA margins of 28% and significant growth potential in next-generation defense technologies [6][7] Valuation Analysis - Carronade estimates the DAT business could be valued between $6.3 billion to $16.2 billion based on a 20-times to 51-times EBITDA multiple, while the entire company has an enterprise value of approximately $8 billion [8] - The Communications segment is valued at $4.9 billion, with an additional $1 billion from a legal settlement, leading to a total valuation range for Viasat of $48.93 to $112.49 per share, representing a potential return of 76% to 304% [8] Strategic Direction - Carronade's proposal to spin-off or IPO the DAT business aims to unlock intrinsic value and mitigate negative market sentiment surrounding the satellite business [8] - Viasat management has indicated consideration of selling parts of the DAT business, suggesting alignment with Carronade's value proposition [9]

Prime Minister Mark Carney’s government announced a major pay increase for military members, a move that pushes Canada closer to meeting its NATO defense spending target https://t.co/EcZB7DvCQu ...

Business Strategy - Thyssenkrupp is divesting its warship unit [1] - The move aims to capitalize on increased European defense spending [1] - The warship business has been slow, costly, and difficult to scale [1]

Rocket Lab eyes big defense opportunities with new acquisition | TechCrunch https://t.co/deKSg25JFT ...

Company Overview - CSG, an armored vehicle and ammunition maker, is considering an IPO [1] - The company seeks a valuation of €30 billion or more [1] Market Opportunity - The firm aims to capitalize on increased defense spending [1]

Core Insights - The second-quarter 2025 reporting cycle for defense stocks has begun, with major S&P 500 defense contractors like Lockheed Martin, Northrop Grumman, Textron, and General Dynamics reporting better-than-expected earnings [1] - Optimism remains for the upcoming results of other defense majors due to escalating geopolitical tensions driving demand for defense products and services [2] - Companies like Archer Aviation and Heico Corp are anticipated to exceed earnings expectations in this reporting cycle [3] Industry Overview - Global defense spending is increasing amid geopolitical instability, particularly due to conflicts in the Middle East, with the U.S. government proposing a 13% increase in defense spending to $1.01 trillion for fiscal 2026 [4] - Increased budget allocations are expected to lead to higher order volumes from the Pentagon and allied governments, enhancing revenue prospects for U.S. defense contractors [5] - Ongoing conflicts, such as the Russia-Ukraine and Israel-Iran wars, have contributed to revenue growth in the defense sector, with the U.S. providing $66.9 billion in military assistance to Ukraine since February 2022 [6] - The U.S. has 751 active Foreign Military Sales cases valued at $39.2 billion with Israel, which is expected to boost order growth for U.S. defense manufacturers [7] - Companies like General Dynamics are benefiting from growth in both defense and commercial aerospace sectors, with a reported 4.1% year-over-year growth in its Aerospace segment [8] Challenges - The defense sector faces challenges such as skilled labor shortages, supply-chain disruptions, and new import tariffs imposed by the U.S. government, which may impact production and delivery timelines [9] Earnings Projections - The Aerospace sector is projected to see a year-over-year earnings surge of 11.5% on 24.8% sales growth for the second quarter [12] - Archer Aviation is advancing its defense aircraft program and raised $301.8 million in February 2025, with an expected earnings loss of 19 cents per share, an improvement from the previous year's loss [16][17] - Heico, a U.S. Department of Defense Prime Contractor, is expected to show solid growth in its Defense and Space unit, with earnings projected at $1.12 per share, reflecting a 15.5% year-over-year improvement [18][19]

German defense company Rheinmetall records operating profit of €475 million in the first half of 2025, missing the average analyst estimate https://t.co/cT4VCOxVLs ...

This morning, shortly before 11:00, an active duty soldier assigned to Fort Stewart, Georgia, shot and wounded five of his fellow soldiers. soldiers here on Fort Stewart. Thankfully, all are in stable condition and all are expected to recover.Sergeant Radford has been interviewed by the Army Criminal Investigation Division and is currently in pre-trial confinement, awaiting a charging decision by the Office of the Special Trial Council. Right now, our primary focus is first on caring for our injured soldier ...

We're continuing to follow the breaking news of a shooting. At least five people have been injured or five casualties at Fort Stewart base in Georgia. Now the question turns to who did it and why. I want to bring in NBC News national law enforcement correspondent Tom Winter, retired ATF, retired ATF special agent in SNBC terrorism analyst Jim Kavanaaugh. On the phone is our senior national security correspondent Courtney QB. Uh let's set set the stage if we can Tom. What do we know at this hour? >> Sure. So ...