A Look at Foreign Defense Sector ADRs

One of the sectors that seem to perform well regardless of the state of the economy is the defense sector.  For example, U.S. defense contractors have held up well despite budgets cuts. While many of the major U.S. defense companies trade on the organized exchanges none of the foreign firms are listed on them. Instead all these firms trade on the OTC markets as shown below with their current dividend yields:

S.No.CompanyTickerDividend Yield as of Apr 26, 2013Country
1BAE SystemsBAESY5.15%United Kingdom
2BBA AviationBBAVY3.84%United Kingdom
3Chemring GroupCMGMY3.85%United Kingdom
4CobhamCBHMY3.56%United Kingdom
5European Aeronautic Defence & Space-EADSEADSY1.08%Netherlands
7MeggittMEGGY3.37%United Kingdom
8MTU Aero EnginesMTUAY1.88%Germany
9Qinetiq GroupQNTQY1.65%United Kingdom
10Rolls-RoyceRYCEY2.24%United Kingdom
13Ultra ElectronicsUEHPYN/AUnited Kingdom
14VitecVTEPYN/AUnited Kingdom
15Zodiac AerospaceZODFY1.51%France


France-based Safran (SAFRY) is one of the best performing stocks with the stock up over 13.0% YTD. British aerospace and defense giant BAE Systems (BAESY) has had an performance since the merger proposal with EADS fell apart late last year.

Note: Dividend yields noted are as of April 26, 2013. Data is known to be accurate from sources used.Please use your own due diligence before making any investment decisions

Disclosure: No Positions

Leave a Reply

Your email address will not be published. Required fields are marked *