Trump’s Win Stokes Defense Tech Bulls, Despite Talk of a Bubble

Count defense tech bulls among the investor groups buoyed by last week’s election of Donald Trump as president. Some investors and executives are hopeful enough in what the Trump administration will do that they’re downplaying talk of a financial bubble forming among defense and aerospace startups.

One bellwether may be Saronic Technologies, a startup that is trying to sell a fleet of autonomous military boats to the U.S. Navy. It raised $175 million in July at a $1 billion valuation, despite having secured only $17 million in government contracts, according to investor materials viewed by The Information.