War in Ukraine Fuels Demand For This British Arms Maker's Howitzer - BAE Systems (OTC:BAESF)

British arms maker BAE Systems PLC BAESF considered restarting production of the M777 howitzer, as the big gun’s performance on Ukrainian battlefields revived interest in the weapon.
BAE said several countries had expressed an interest in buying M777s after its deadly effect against Russian troops in recent months, the Wall Street Journal reported.
BAE weighed restarting with the U.S. Army, which runs the weapon’s program.
Artillery Rocket System, or Himars, and the Anglo-Swedish NLAW portable antitank missile, which have proven very effective against Russian forces, are likely to win new orders, analysts say. Meanwhile, the poor performance of many Russian arms will likely dent their sales on global markets.
BAE said that if inquiries from prospective M777 buyers, which include countries in Central Europe, turned into actual orders, it could lead to up to 500 new howitzers.
To restart the M777 production line profitably, the company needs at least 150 unit orders.
BAE estimates that it would take some 30 to 36 months to restart total production of the M777, not least because the company needs a new supplier of titanium material and suppliers to produce the weapon’s lightweight components.
Palantir Technologies Inc PLTR CEO Alex Karp claimed a 20% - 30% chance of nuclear war after Russian President Vladamir Putin clarified not holding back from using such weapons to defend his country.
Price Action: BASF shares closed at $9.88 on Friday.
Photo via Wikimedia Commons

Market News and Data brought to you by Benzinga APIs