Elbit Systems climbs as profit jumps on war-related demand

U.S.-listed shares of Israeli defense firm Elbit Systems ESLT.O up 6.8% premarket at $933.98 after reporting a sharp rise in 2025 profit on Tues, boosted by strong demand from the country's military during the Gaza war, and signaled additional gains from war on Iran

Defense firm said 2025 adj EPS rose to $12.75 from $8.76 in 2024 as rev grew 16% to $7.9 bln, while Q4 rev crossed the $2 bln mark for the first time

Q4 adj EPS grew 34% y/y to $3.56

Order backlog rose to $28.1 bln from $22.6 bln a yr earlier, as co noted a "continued material increase" in demand from the Israeli military since Oct 2023

U.S.-listed shares recently traded around 62x expected earnings, vs their 5-yr avg forward PE of 27, suggesting shares may be overvalued, per LSEG Datastream

Through Mon, ESLT shares surged 51% YTD and about 140% over the past 12 months. They hit record intraday high of $960 on Mar 6