Investment Calls: Leidos, Boeing, Lockheed Martin, QXO, On Holding, Spotify, Chevron

Aerospace and Defense Sector Analysis

• 💡 The aerospace and defense sector is highlighted as a difficult but rewarding area due to its dependence on government contracts.
• 📈 The ITA Aerospace and Defense ETF is experiencing its second-best year ever, indicating strong sector performance.

Company-Specific Investment Calls

• 🎯 Leidos receives a buy rating due to its multiple business segments, strong management, and consistent performance.
• 🚀 Boeing is viewed as a turnaround success, with new management focusing on quality and safety, suggesting its stock run is not over.
• ⚠️ Lockheed Martin is rated neutral, acknowledging a tough year with contract losses but emphasizing the strength of its F-35 program and missile systems, with potential for 2026.
• 💰 QXO is a buy based on a compelling story laid out by management, positioning it as a potential long-term compounder.
• 👟 On Holding is a top pick for 2026, with stellar management guidance, strong product demand, and positive momentum expected to drive the stock higher.
• 🎧 Spotify is a best idea for 2026, with a price target of $805, due to ad pricing initiatives, improving margins, and a dialed-in strategy compared to Netflix.
• 🛢️ Chevron has a target of $206, with 36% upside, driven by projected revenue growth exceeding oil demand and a return to capital discipline.