LMT
RTX
Saudi Arabia’s shopping cart just got a lot heavier
The State Department approved a potential $24.3 billion package that would send 48 F-35 fighter jets to Saudi Arabia, plus 49 engines from RTX’s Pratt & Whitney, along with the usual grab bag of communications gear, spare parts, and support items. In other words: this is not a casual “add to cart” situation.
Why investors care
For Lockheed Martin, this is the kind of headline that makes defense investors sit up a little straighter. The sale still needs congressional approval, but the administration’s green light is a big step toward a deal that would deepen Lockheed’s already massive role in global fighter jet sales.
RTX gets a meaningful slice too, since those engines are part of the package. That’s not the whole meal, but it’s definitely not the parsley.
The geopolitics layer
Saudi Arabia says the proposed sale strengthens defense cooperation with the U.S., and Washington framed it as a boost to a major ally and regional stability. The catch? This deal has all the usual Middle East fine print: congressional review, Israeli sensitivities, and broader diplomacy tied to Saudi participation in the Abraham Accords.
If this goes through, it’s not just a defense contract. It’s a sign that U.S.-Saudi security ties are still getting upgraded, even while the region stays about as calm as a group chat during a fantasy football draft.
Big picture: Lockheed gets the spotlight, RTX gets a supporting role, and investors get another reminder that geopolitics can still move defense stocks like a thermostat in a bad office.