Bloomberg News

Shares of Raytheon (RTN - Get Report) were locked in Monday as the giant defense contractor saw an analyst upgrade and a fresh round of global instability from the weekend's drone attacks on Saudi oil fields.

Raytheon's stock price jumped 2.3% to $203.22 after J.P. Morgan raised its rating on the defense contractor's stock to overweight from neutral, according to published reports.

Analyst Seth Seifman, citing growing bullishness about Raytheon's pending merger with peer United Technologies (UTX - Get Report) , boosted its target price on RTN to $230 from $225.

Shareholders of Raytheon and United Technologies will meet Oct. 11 to vote on the merger, which would create a company valued at more than $120 billion.

Raytheon stands to gain business as "increasing cyberattacks, threats and geopolitical instabilities globally" require ramping up security and defense programs, Zacks Investment Research recently noted.

The assessment was written before this weekend's devastating drone attacks on Saudi oil complexes, which could further bolster Raytheon's already established relationship with Aramco. That's the Saudi state-owned oil company, for which the defense contractor has helped develop cyberdefenses.

"Raytheon, being a producer of a wide range of next-generation radars, enjoys a pioneering position in the global radar and sensor market," Zacks noted.