Airbus Clinches Deal to Deliver Two A330 MRTT Aircraft to NATO

Airbus SE EADSY recently secured an order from the NATO Support and Procurement Agency to deliver two of its A330 Multi Role Tanker Transport (“MRTT”) aircraft. These aircraft, scheduled for delivery in 2028 and 2029, brought the Multinational MRTT Fleet (“MMF”) to 12 aircraft. 

This contract is expected to bolster Airbus’ defense business segment’s revenues, which registered an 11% jump in the first quarter of 2025, on completion of the deliveries.

EADSY’s Growth Potential

Factors like increased defense spending and evolving geopolitical tensions around the world, such as the ongoing conflict in the Middle East, have compelled nations to prioritize long-range combat missions. Tanker aircraft play an important part in such operations, allowing fighter jets, bombers and surveillance aircraft to conduct operations without the limitation of fuel range.

This is likely to have led the Mordor Intelligence firm to predict that the tanker aircraft market will witness a CAGR of 6.4% during the 2025-2030 period. Such growth opportunities offered by the aforementioned market should bode well for Airbus.

Airbus' A330 MRTT is a cutting-edge aircraft that effortlessly integrates air-to-air refueling, strategic airlift and medical evacuation capabilities. With a fuel capacity of up to 111 tons, the A330 MRTT is well-suited for long-range missions supporting NATO and allied operations globally. Its selection by 15 nations — including Australia, Canada, France and NATO’s Multinational MRTT Fleet — underscores its strong international appeal. Backed by proven performance and versatility, the A330 MRTT commands 90% of the new-generation tanker market outside the United States, with 84 aircraft ordered by 17 customers, reflecting this aircraft’s robust global demand.

Opportunities for Other Defense Stocks

Other prominent defense players that have a strong presence in the tanker aircraft market are mentioned below:

The Boeing Company BA: The company’s KC-46 Pegasus is a wide-body, multirole tanker capable of refueling all U.S. allied and coalition military aircraft that comply with international aerial refueling standards. It brings together multi-domain warfighters, giving tactical situational awareness and real-time information supremacy.

Boeing has a long-term (three to five years) earnings growth rate of 18.1%. The Zacks Consensus Estimate for BA’s 2025 sales indicates an improvement of 25.6%.

Lockheed Martin Corp. LMT: The company's KC-130J is a multipurpose military tanker that provides aerial refueling support. Its enhanced fuel capacity, dependability and modern avionics make it ideal for long-range operations.

Lockheed boasts a long-term earnings growth rate of 10.5%. The Zacks Consensus Estimate for LMT’s 2025 sales suggests an improvement of 4.7%.

Embraer S.A. ERJ: The company's C-390 Millennium is a tactical multi-mission tanker. It can accommodate a variety of operations and considerably reduce crew workload while increasing mission efficiency and precision.

Embraer delivered an average earnings surprise of 150.60% in the last four quarters. The Zacks Consensus Estimate for ERJ’s 2025 sales suggests an improvement of 15.4%.

EADSY Stock Price Movement

In the past six months, Airbus shares have risen 23.2% compared with the industry’s growth of 16.1%.

EADSY’s Zacks Rank

Airbus currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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