Leonardo DRS price target raised to $48 from $33 at JPMorgan

JPMorgan raised the firm’s price target on Leonardo DRS (DRS) to $48 from $33 and keeps a Neutral rating on the shares. The firm says small-cap defense stocks have done relatively well this year and are trading at valuations that are high in historical terms, the analyst tells investors in a research note. JPMorgan sees this as justified, however, “given their positioning in the defense landscape.” The Department of Defense is seeking to expand the industrial base, and the portions of the budget where the Department is focused on growth tend to favor the smaller names, the analyst tells investors in a research note. The firm upped price targets in the group and would look for pullbacks to get more constructive on the shares.