Flyby: Aerospace & Defense Activity – Iran, F-35s, NATO Capacity & LMT M&A

Research evidence excerpt

Flyby: Aerospace & Defense Activity – Iran, F-35s, NATO Capacity & LMT M&A

Update

July 10, 2026 04:01 AM GMT

Morgan Stanley & Co. LLCMAerospace & Defense | North America Kristine T Liwag

Equity Analyst

Flyby: Aerospace & Defense Kristine.Liwag@morganstanley.comJustin M Lang +1 212 761-2980

Justin.Lang@morganstanley.com +1 212 761-6251

Activity – Iran, F-35s, NATO Jason T Holcomb

Research Associate

Jason.Holcomb@morganstanley.com +1 212 761-5592

Capacity & LMT M&A Gabrielle Knafelman

Gaby.Knafelman@morganstanley.com +1 212 761-4838

In this week’s Flyby, we highlight key Aerospace & Defense Shaina C Zuber

developments from the week, including the potential end of the ResearchShaina.Zuber@morganstanley.comAssociate +1 212 761-6353

U.S.-Iran ceasefire, President Trump’s talks with Türkiye on lifting

Aerospace

F-35 sanctions, U.S. Prime partnerships with NATO Allies, and North America

Lockheed Martin’s Ultra Maritime acquisition. Industry View Attractive

Defense

North America

A Busy Week in Aerospace and Defense Industry View Attractive

The past week in Aerospace & Defense has been busy. Most notably, the potential Key Stories in MS Research:

end of the U.S.-Iran ceasefire reverses some of the de-escalation momentum from MDA Space Ltd: Acquiring CLS: Initial Take

the prior Memorandum of Understanding (MoU), bringing oil volatility back into Rocket Lab USA Inc: Following in the Footsteps

focus. Separately, President Trump signaled openness to resuming F-35 sales to of SpaceX

Türkiye, though the path forward remains complicated by existing U.S. sanctions due Honeywell Aerospace Inc: Nose-to-Tail Scale,

to Türkiye’s 2017 purchase of Russia’s S-400 system and potential Congressional But Limited Lift; Initiate at Equal-weight

scrutiny.