Greece and Israel are working closer than ever to keep their borders safe. On Monday, Elbit Systems (ESLT) announced a contract worth about $750 million to supply its PULS™ rocket artillery to the Hellenic Armed Forces. This major agreement, signed in Athens, marks a massive step in Greece’s plan to modernize its military. Following the news, Elbit Systems stock jumped 2.77% to $913.60 in pre-market trading, adding to the momentum from earlier this month.
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New Tech Helps Guard the Border
Greece chose the PULS system to help protect its most sensitive areas. These launchers will likely be placed in the Evros region near Turkey and across the Aegean islands.
What makes this system such a big win for the Greek Army is how much it can do. Unlike older systems that only fire one type of rocket, the PULS can launch everything from basic rockets to high-precision missiles that reach up to 300 km. The army gets extreme accuracy while keeping costs down by using existing truck frames, like those from Iveco (IVCGF).
The Deal Helps Greek Businesses
Essentially, this agreement is a long-term commitment to Greek business. The contract covers four years of deliveries and ten years of support and maintenance.
Elbit Systems will lead the project but will work closely with local Greek defense companies. This partnership includes sharing technical know-how, which ensures Greek engineers can help build and fix the systems at home. This approach follows the Greek government’s goal of making sure big military spending also helps grow the local economy and create jobs.
Greece Gains a Stronger Defense
This $750 million deal happens at a time when Greece is racing to keep up with its neighbor, Turkey. While adding these rocket systems, Greece is also working with Israel on a much larger $3.5 billion air-defense dome called Achilles Shield.
The adoption of the PULS system aligns Greece with other NATO members who use the same technology. Israeli defense tools are becoming the standard for modern European armies. These 36 new launchers serve as a powerful deterrent. This tech means Greek islands and borders now have some of the smartest, most advanced artillery in the world protecting them.
Is Elbit Systems a Good Stock to Buy?
Elbit System’s stock has a consensus Hold rating among 2 Wall Street analysts. That rating is based on 2 unanimous Hold recommendations issued in the last three months. The average 12-month ESLT price target of $1,075 implies nearly 17.5% upside from current levels.
