Start the conversation
Of all the best defense stocks for 2015 to buy, one is poised to see bigger gains than its much more established competitors.
That company is Kratos Defense & Security Solutions Inc. (Nasdaq: KTOS). Money Morning Chief Investment Strategist Keith Fitz-Gerald told FOX Business' "Varney & Co." viewers today (Monday) that he sees big moves for Kratos stock in 2015.
At a time when defense spending faces a lot of scrutiny for cost overruns and major projects are often written off as pork spending, Kratos is resigning itself to a niche role in the defense sector.
"They're doing systems integration work, they're very active in the [unmanned aerial vehicles] and drones, they're winning small contracts all over the place," Fitz-Gerald said today.
Kratos sticks to smaller ticket contracts, never exceeding $15 million. This is a much more politically feasible trail to blaze at a time when Congress has been looking to cut the budget all over the place.
KTOS stock has been beaten up this year. From its summer peak of $9, the stock was trading at $4.28 last week. This is a 52% decline.
But it's since rebounded slightly, trading at $5.05 when markets closed Friday.
Fitz-Gerald said it's underpriced, and is ready to soar in 2015. Watch the clip below to see his 2015 Kratos stock forecast.
Looking to Start 2015 Off with the Right Investments? Look no further than defense and tech. These two industries have a number of winning companies ready for a productive 2015. Here, our experts highlight eight of them…