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FTSE 100 news / Companies and sectors / Aerospace and defence / 2 October 2026

Aerospace and defence: sector news on Friday 2 October 2026

Average tone +5.1 (positive) across 4 companies with relevant coverage, from 37 stories.

Company by company

CompanyToneStoriesWhat the coverage was about
BAE Systems+5.021Coverage was mostly positive, centred on a $16m US Navy GPS contract, successful counter-drone trials and other contract wins.
Rolls-Royce Holdings+7.78Coverage focused on Rolls-Royce licensing local mtu engine production in Saudi Arabia, a £300m UK factory investment, and Berenberg raising its target.
Babcock International+2.05Coverage was mixed but leaned slightly positive, with Babcock named among British defence stocks in focus amid NATO tensions and executives increasing holdings through dividend reinvestment and share awards.
Melrose Industries+5.73Coverage was mainly positive, led by GKN Aerospace moving into the widebody MRO market with the A330 and a higher analyst target being cited.

Strongest stories in the sector

Aerospace and defence: every day · FTSE 100 overview for the day