Karman Soars Amid War Turmoil; Nears Buy Point With Earnings Due

2026-03-24 17:30:18

Aerospace and defense stocks have been rallying after the U.S.-Iran war stoked investor bets on the group. Karman Holdings (KRMN) has jumped more than 10% during March and is setting up in a base ahead of earnings. The IPO stock is Tuesday’s selection for IBD 50 Stocks To Watch.

Shares are near a buy point of 107.56 in a cup-with-handle base. This is a late-stage base that may not net the higher gains that early-stage ones do. But with a possible earnings catalyst on the horizon, the stock is one to watch.

				    ↑
					X

This video file cannot be played.(Error Code: 102630)

								Palantir Is Shaking Up The Defense Sector. What Comes Next As The AI Revolution Heads To The Front Lines?
							

							

								See All Videos
							

						

					
					
						NOW PLAYING
						Palantir Is Shaking Up The Defense Sector. What Comes Next As The AI Revolution Heads To The Front Lines?

The weekly chart on IBD MarketSurge shows that the relative strength line is at a new high with a blue dot on MarketSurge confirming the strong setup.

Karman undertakes projects for the U.S. Department of War and for other space and defense missions. The company is due to release its fourth-quarter results on Wednesday after market close.

Analysts expect earnings growth to accelerate by 380% to 12 cents per share from a year ago, according to MarketSurge data. The estimate also points to Karman’s third straight quarter of triple-digit earnings expansion.

Also, Wall Street anticipates sales to vault 46% year over year to $133 million. The company designs and manufactures missiles, launchers and related electromechanical systems, and undertakes rocket assemblies. It also makes sub-systems to help place satellites in orbits and for deep space exploration.

Karman Holdings: Analysts Raising Profit Estimates

For the full year, Wall Street foresees profit jumping by 202% to 36 cents per share. That would make 2025 the third consecutive year of triple-digit profit increases. Analysts have also raised their earnings estimates for 2026, seeing a rise of 74% to 63 cents per share.

Stock Market Today: Get The Latest News And Analysis

Karman holds an ideal Composite Rating of 99 and its Relative Strength Rating places it among the top 3% of stocks in the Investor’s Business Daily database over the past 52 weeks in terms of performance.

Its Earnings Per Share Rating of 80 meets the minimum recommended threshold for growth stocks.

The stock leads the aerospace and defense group, according to IBD Stock Checkup. The group ranks 24th among IBD’s 197 industry groups.

IBD Newsletters

Get exclusive IBD analysis and actionable news daily.

		SIGN UP NOW!

IBD Newsletters

Get exclusive IBD analysis and actionable news daily.

										*   							
								How To Invest								
								
							
						
										*   							
								Market Prep								
								
							
						
										*   							
								Tech Report

Please enter a valid email address

Please select a newsletter

GO

Get these newsletters delivered to your inbox & more info about our products & services. Privacy Policy & Terms of Use

Thank You!

You will now receive IBD Newsletters

			ALL DONE!

Something Went Wrong!

Please contact customer service

			CLOSE

Karman shares made their trading debut on the New York Stock Exchange on Feb. 13, 2025. The initial public offering was priced at 22, above expectations, with Karman raising more than $500 million. The stock soared to an all-time high of 118.38 in January.

More funds have been net buyers of the IPO stock over the past three quarters. The price and volume metrics tracked on MarketSurge also suggest abundant institutional purchases over the recent 13 weeks, giving the stock an Accumulation/Distribution Rating of B+.

In the IBD mutual fund index, the Invesco Discovery Fund (OPOCX) and the Lord Abbett Developing Growth Fund (LAGWX) hold shares of Karman.

Please follow VRamakrishnan on X/Twitter for more news on the stock market today.

YOU MAY ALSO LIKE:

Is Nvidia A Buy?

IBD Live: Learn And Analyze Growth Stocks With The Pros

MarketSurge: Research, Charts, Data And Coaching All In One Place

The Four Pillars Of The IBD Methodology

Risk Management In The Stock Market: How Much Money To Invest

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.