Lockheed Martin (NYSE:LMT) Rating Lowered to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Lockheed Martin from a "buy" to a "hold"; overall analyst sentiment is mixed with seven Buys, thirteen Holds and one Sell, and an average target price of $632.32.
• Q1 results missed expectations—EPS $6.44 vs. $6.79 and revenue $18.02B vs. $18.38B—free cash flow turned negative and the company cited production delays and fixed‑price contract pressure, though FY‑2026 guidance was reaffirmed at $29.350–$30.250 EPS.
• Offsetting the near‑term execution risk, Pentagon plans to boost F‑35 buys and recent international and missile‑defense contract wins (e.g., Peru F‑16 sale, Golden Dome roles) support medium‑term demand and backlog.

Lockheed Martin (NYSE:LMT - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Saturday.

A number of other analysts also recently issued reports on LMT. UBS Group lifted their target price on Lockheed Martin from $580.00 to $663.00 and gave the company a "neutral" rating in a research report on Monday, February 2nd. TD Cowen lifted their target price on Lockheed Martin from $600.00 to $670.00 and gave the company a "hold" rating in a research report on Friday, January 30th. Truist Financial lifted their target price on Lockheed Martin from $605.00 to $695.00 and gave the company a "buy" rating in a research report on Friday, January 30th. Argus lifted their target price on Lockheed Martin from $530.00 to $735.00 and gave the company a "buy" rating in a research report on Friday, March 6th. Finally, BNP Paribas Exane lowered their target price on Lockheed Martin from $770.00 to $680.00 and set an "outperform" rating on the stock in a research report on Friday. Seven investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $632.32.

Lockheed Martin Stock Performance

LMT opened at $513.21 on Friday. The business's 50-day moving average price is $628.34 and its two-hundred day moving average price is $552.93. Lockheed Martin has a 1 year low of $410.11 and a 1 year high of $692.00. The company has a market capitalization of $118.27 billion, a price-to-earnings ratio of 24.85, a P/E/G ratio of 0.95 and a beta of 0.23. The company has a debt-to-equity ratio of 2.74, a current ratio of 1.14 and a quick ratio of 0.94.

Lockheed Martin (NYSE:LMT - Get Free Report) last released its earnings results on Thursday, April 23rd. The aerospace company reported $6.44 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $6.79 by ($0.35). The company had revenue of $18.02 billion during the quarter, compared to analyst estimates of $18.38 billion. Lockheed Martin had a net margin of 6.38% and a return on equity of 101.64%. Lockheed Martin's revenue was up .3% compared to the same quarter last year. During the same period in the prior year, the firm posted $7.28 EPS. Lockheed Martin has set its FY 2026 guidance at 29.350-30.250 EPS. Equities analysts expect that Lockheed Martin will post 29.97 EPS for the current fiscal year.

Institutional Investors Weigh In On Lockheed Martin

A number of large investors have recently added to or reduced their stakes in the stock. Carnegie Investment Counsel lifted its position in shares of Lockheed Martin by 11.4% during the 3rd quarter. Carnegie Investment Counsel now owns 29,639 shares of the aerospace company's stock worth $14,796,000 after buying an additional 3,031 shares in the last quarter. Oppenheimer & Co. Inc. lifted its position in shares of Lockheed Martin by 9.3% during the 3rd quarter. Oppenheimer & Co. Inc. now owns 39,410 shares of the aerospace company's stock worth $19,674,000 after buying an additional 3,352 shares in the last quarter. Welch Group LLC lifted its position in shares of Lockheed Martin by 1.5% during the 4th quarter. Welch Group LLC now owns 132,684 shares of the aerospace company's stock worth $64,175,000 after buying an additional 1,999 shares in the last quarter. Jain Global LLC bought a new position in shares of Lockheed Martin during the 3rd quarter worth approximately $38,064,000. Finally, Clough Capital Partners L P bought a new position in shares of Lockheed Martin during the 3rd quarter worth approximately $31,018,000. Institutional investors and hedge funds own 74.19% of the company's stock.

Lockheed Martin News Roundup

Here are the key news stories impacting Lockheed Martin this week:

• Positive Sentiment: Pentagon planning to raise F‑35 purchases. Proposed increases in USAF and Navy buys through 2030–31 could lift future F‑35 production volumes and revenue for Lockheed. Pentagon Plans Boost to F‑35 Orders
• Positive Sentiment: Peru agreed to buy 12 F‑16 Block 70 jets — a direct commercial sale that supports near‑term aircraft revenue and international aftermarket/upgrade opportunities. Peru Selects F‑16 Block 70
• Positive Sentiment: Lockheed picked up roles in U.S. missile‑defense programs (including the multi‑company “Golden Dome” awards) and DOD contracts to replenish Patriot inventories — supports sustained demand in missile & munitions franchises. Golden Dome Program Coverage Patriot Stockpile Report
• Neutral Sentiment: Q1 results included an FY‑2026 EPS range that largely reaffirmed guidance; that limits downside from a guidance shock but leaves execution risk on production and cash flow. Q1 Financial Results
• Neutral Sentiment: Positive program PR (Orion crewed flight, GPS III support) bolsters long‑term aerospace credibility but is less material to near‑term cash flow. Program/PR Coverage
• Negative Sentiment: Q1 miss on EPS ($6.44 vs. Street) and revenue shortfall; free cash flow turned negative and Lockheed cited production delays and fixed‑price contract pressure — the immediate catalyst for selling pressure. Q1 Results Coverage
• Negative Sentiment: Multiple analysts trimmed price targets (BNP Paribas Exane, RBC, Morgan Stanley, Deutsche Bank, Susquehanna), reflecting increased execution/cash‑flow risk and tempering near‑term upside. Analyst PT Changes
• Negative Sentiment: Investor focus on cash burn and program delays increases short‑term volatility despite healthy backlog; near‑term valuation will track execution and whether cash flow recovers. Execution Risk Coverage

About Lockheed Martin

Lockheed Martin Corporation NYSE: LMT is a global aerospace and defense company that designs, develops and manufactures advanced technology systems for government and commercial customers. Formed through the 1995 merger of Lockheed Corporation and Martin Marietta, the company is headquartered in Bethesda, Maryland, and focuses on providing integrated solutions across air, space, land and sea domains. Its primary customers include the U.S. Department of Defense, NASA and allied governments around the world.

Lockheed Martin's product and service portfolio spans military aircraft, missile and fire-control systems, missile defense, space systems and satellite technologies, sensors and precision weapons.

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