Scott Bessent Blasts Defense Companies Over Missed Deadlines And Big Bonuses: Lockheed Martin, Boeing, RTX In Focus
Treasury Secretary Scott Bessent criticized major U.S. defense contractors for significant contract delays, excessive stock buybacks, and high executive compensation during a speech at the World Economic Forum. He stated that these companies, reliant on government contracts, must prioritize factory expansion and reduce stock buybacks until they normalize their backlog. This follows President Trump's earlier directive to halt dividends and buybacks, leading to a decline in defense stocks. Over the past year, RTX stock rose 56.15%, while Boeing, General Dynamics, and Lockheed Martin saw increases of 41.83%, 32.23%, and 13.78%, respectively.
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