China Hits Dozens of U.S. Companies With Trade Controls

The sanctions against these U.S. defense firms could lead to increased volatility in their stock prices, especially with the incoming administration's potential tariffs against China. However, the companies have shown resilience amid previous tensions. Investors might want to watch news closely, but given the nature of defense spending remaining stable, these companies should maintain a positive long-term projection despite the short-term volatility.

Raytheon, being another key defense contractor subjected to China's sanctions, might experience some pressure from the geopolitical landscape; however, the sustained military contracts from the U.S. government may cushion any adverse impacts. Investors should consider buying during dips caused by market reactions to these sanctions.

Lockheed Martin may similarly react to the escalation with China but has a broad portfolio and continuous revenue streams from government contracts. Overall, long-term prospects remain favorable despite external pressures in the short term.