(XAR) S&P Aerospace & Defense - Overview
ETF Category: Industrials | Exchange: NYSE ARCA (USA) | Market Cap: 6.007m USD | Total Return: 44.2% in 12m
Avg Turnover: 51.3M
Warnings
No concerns identified
Tailwinds
No distinct edge detected
The SPDR S&P Aerospace & Defense ETF (XAR) tracks the S&P Aerospace & Defense Select Industry Index by investing at least 80% of its assets in the indexs constituent securities. The fund utilizes a sampling strategy to replicate the performance of the aerospace and defense sub-industry within the broader S&P Total Market Index.
This sector is characterized by high barriers to entry due to intensive capital requirements and long-term government procurement cycles. Companies in this space often operate under cost-plus or fixed-price contracts, providing a business model tied closely to national defense budgets and global commercial aviation demand.
Investors can further evaluate the underlying fundamentals of these holdings by reviewing detailed metrics on ValueRay. For additional context, the ETF provides exposure across various market capitalizations rather than focusing exclusively on large-cap prime contractors.
- U.S. defense budget allocations drive order backlogs for primary contractors
- Global geopolitical instability increases international demand for tactical defense systems
- Commercial aviation recovery fuels aftermarket parts and aircraft maintenance revenue
- Supply chain disruptions and labor shortages impact aerospace manufacturing delivery timelines
- Federal interest rate shifts influence capital intensive aerospace R&D investment levels
As of May 27, 2026, the stock is trading at USD 276.56 with a total of 308,523 shares traded.
Over the past week, the price has changed by +5.07%,
over one month by +7.19%,
over three months by -2.48% and
over the past year by +44.16%.
S&P Aerospace & Defense has no consensus analysts rating.