Aerospace and defense sectors gained momentum. Investing in a business manufacturing drone technology has upside, with defense budget allocations rising. Industry growth projections point to a 9% compound annual increase over the next five years. The big drugmaker also recently announced a major deal with the White House that removes some uncertainty that was hanging over its head like a dark cloud. Pfizer will cut the prices of many of its products in the U.S. and participate in a new "TrumpRx" website that will help consumers find discounted prescription drugs. It will also invest another $70 billion in expanding U.S. operations. In exchange, Pfizer won't be affected by the Trump administration's steep tariffs on pharmaceutical imports for three years. Normally, when one thinks of a legacy business, it's of an outdated, shrinking portion of revenue. That is not the case with Microsoft's Office products. Microsoft 365, including the applications Excel, Word, PowerPoint, Teams, and Outlook, is still growing by double digits year over year. Subscriber retention rates also hit record highs, supporting upward valuation revisions.
