Leonardo DRS, Inc. (DRS) saw its stock price soar 5.25% during intraday trading on Monday, as defense stocks broadly rallied following escalating geopolitical tensions.

The surge comes amid a U.S.-led military campaign against Iran, dubbed Operation Epic Fury, which began over the weekend. Analysts note that the conflict is expected to make defense spending "more urgent and less controversial," driving investor interest toward companies in the aerospace and defense sector.

Leonardo DRS was specifically highlighted by J.P. Morgan analysts as one of the European defense companies most exposed to the U.S. market that could benefit from the conflict. The broader sector rally included significant gains for other major defense contractors in premarket and early trading.