0901 GMT - U.K. defense stocks such as QinetiQ, Babcock International Group and BAE Systems, could benefit from a potential increase in British defense spending, J.P. Morgan analysts say. U.K. Prime Minister Keir Starmer called for delivering "generational investment" in defense during his speech at the Munich Security Conference last weekend. The BBC reports that the U.K. government is looking at proposals to spend 3% of the country's gross domestic product on defense by the end of the current parliament, which could last until 2029, up from around 2.3% last year. Some European companies with exposure to the U.K. budget such as Leonardo, Renk and Thales could benefit too, J.P. Morgan says. Babcock gains 2.5%, Thales rises 1.8%, BAE Systems increases 1.6%, Leonardo is up 1.5%, QinetiQ moves up 1%. Renk, a bit further behind, nudges up 0.2%. (cristina.gallardo@wsj.com)

(END) Dow Jones Newswires

February 16, 2026 04:01 ET (09:01 GMT)

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