Lockheed Martin (NYSE:LMT) Trading Up 1.6% - What's Next?

Key Points

• Q1 miss and guidance: Lockheed reported EPS of $6.44 vs. $6.79 expected and revenue of $18.02B (vs. $18.38B), which pressured the stock, but the company set FY‑2026 guidance of $29.35–$30.25 EPS (analysts model ~29.91).
• Big contract and program wins: Lockheed secured a $1.13 billion U.S. Army HIMARS award for 17 M142 launchers through 2028 and continues to gain roles in high‑margin programs (Skunk Works, MQ‑25A oversight, Space Force "Golden Dome", GPS III/IIIF), bolstering backlog and long‑term revenue visibility.
• Market reaction and analyst view: Shares rose ~1.6% to about $518 but trade below the 50‑day average (~$620); analysts are mixed (consensus rating "Hold" with a $632.58 average target) after several firms trimmed targets while a few raised theirs.

Lockheed Martin Corporation (NYSE:LMT - Get Free Report) shares were up 1.6% during trading on Thursday . The stock traded as high as $518.23 and last traded at $518.1450. Approximately 1,572,686 shares changed hands during mid-day trading, a decline of 11% from the average daily volume of 1,774,874 shares. The stock had previously closed at $509.81.

Lockheed Martin News Roundup

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

• Positive Sentiment: Lockheed secured a $1.13 billion U.S. Army award to produce 17 HIMARS M142 launchers through 2028, supporting U.S. and allied deliveries (Taiwan, Estonia, Sweden). A multiyear production award like this supports near‑term revenue visibility and backlog. Lockheed Martin Secures $1.13 Billion HIMARS Deal
• Positive Sentiment: Program technology wins: coverage notes Lockheed’s Skunk Works and MDCX work (MQ‑25A flight oversight) plus roles in the Space Force “Golden Dome” interceptor and GPS III/IIIF satellites — reinforcing its leadership in advanced air, space and missile defense programs. These program wins underpin long‑term backlog and higher‑margin work. Is Lockheed Martin’s Golden Dome Role Redefining Its Narrative?
• Positive Sentiment: Partnership/AI robotics angle: XTEND’s CEO detailed an AI OS for autonomous drones and cited a Lockheed partnership; XTEND plans a $1.5B NASDAQ IPO (XTND). Strategic ties to AI/autonomy startups can accelerate Lockheed’s unmanned systems roadmap and investor enthusiasm for optionality. Is This Pre‑IPO AI Robotics Company the Next Big Defense Play?
• Neutral Sentiment: Analyst/opinion context: a TipRanks piece argues LMT’s recent pullback creates a buying opportunity given a large backlog (~$186B) and valuation — a positive thesis but opinion‑driven rather than company‑reported. Lockheed Martin Slid 27% — Backlog and Valuation Still Point to a Buy
• Neutral Sentiment: Peer moves: L3Harris (LHX) reported an upside quarter and raised 2026 EPS guidance; strong results across defense peers validate sector demand but also create relative performance comparisons. L3Harris Raises 2026 Guidance After Q1 Beat
• Neutral Sentiment: Startup ecosystem: Firestorm Labs raised $82M for fieldable drone factories — a sign of increased private capital in autonomy, which can both complement and compete with incumbents’ offerings. Firestorm Labs Raises $82M
• Negative Sentiment: Competitive/outperformance risk: General Dynamics (GD) posted a stronger Q1 and raised outlook, drawing investor attention and creating relative pressure on Lockheed if sentiment rotates to better‑reporting peers. General Dynamics Raises Full‑Year Outlook After Q1 Beat
• Negative Sentiment: Policy risk: rising GOP pushback on President Trump’s proposed 44% Pentagon budget increase introduces uncertainty around the pace and size of future discretionary defense funding increases, which could temper long‑term upside scenarios. Republicans Push Back On Trump's 44% Pentagon Budget Increase
• Negative Sentiment: Near‑term execution: Lockheed’s April quarter missed EPS and revenue estimates (EPS shortfall and modest revenue beat/miss dynamics), which has pressured the stock during the recent pullback and remains a watch item for investors assessing the valuation gap versus fundamentals.

Analysts Set New Price Targets

Several analysts have commented on LMT shares. TD Cowen lowered their price objective on shares of Lockheed Martin from $670.00 to $600.00 and set a "hold" rating for the company in a report on Friday, April 24th. BNP Paribas Exane decreased their target price on shares of Lockheed Martin from $770.00 to $680.00 and set an "outperform" rating for the company in a research note on Friday, April 24th. Jefferies Financial Group reaffirmed a "hold" rating and set a $595.00 target price on shares of Lockheed Martin in a research note on Sunday. Bank of America decreased their target price on shares of Lockheed Martin from $660.00 to $600.00 and set a "neutral" rating for the company in a research note on Friday, April 24th. Finally, Argus raised their target price on shares of Lockheed Martin from $530.00 to $735.00 and gave the company a "buy" rating in a research note on Friday, March 6th. Six equities research analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $632.58.

Lockheed Martin Stock Up 1.6%

The company has a market cap of $119.46 billion, a P/E ratio of 25.09, a P/E/G ratio of 0.92 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. The company's 50-day moving average is $620.01 and its two-hundred day moving average is $553.28.

Lockheed Martin (NYSE:LMT - Get Free Report) last announced its quarterly earnings results on Thursday, April 23rd. The aerospace company reported $6.44 earnings per share for the quarter, missing the consensus estimate of $6.79 by ($0.35). The firm had revenue of $18.02 billion for the quarter, compared to the consensus estimate 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% on a year-over-year basis. During the same period last year, the business earned $7.28 EPS. Lockheed Martin has set its FY 2026 guidance at 29.350-30.250 EPS. As a group, equities analysts predict that Lockheed Martin Corporation will post 29.91 earnings per share for the current fiscal year.

Lockheed Martin Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, March 27th. Stockholders of record on Monday, March 2nd were paid a $3.45 dividend. This represents a $13.80 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date was Monday, March 2nd. Lockheed Martin's dividend payout ratio (DPR) is 66.83%.

Institutional Investors Weigh In On Lockheed Martin

A number of hedge funds have recently modified their holdings of the business. Charles Schwab Investment Management Inc. grew its position in shares of Lockheed Martin by 1.3% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 8,638,936 shares of the aerospace company's stock valued at $4,178,399,000 after acquiring an additional 114,900 shares during the period. Morgan Stanley boosted its holdings in Lockheed Martin by 10.1% in the 4th quarter. Morgan Stanley now owns 5,728,551 shares of the aerospace company's stock worth $2,770,729,000 after buying an additional 527,523 shares during the period. Wellington Management Group LLP boosted its holdings in Lockheed Martin by 3.4% in the 3rd quarter. Wellington Management Group LLP now owns 2,384,753 shares of the aerospace company's stock worth $1,190,493,000 after buying an additional 79,491 shares during the period. Invesco Ltd. lifted its stake in Lockheed Martin by 4.2% in the 3rd quarter. Invesco Ltd. now owns 2,196,058 shares of the aerospace company's stock worth $1,096,294,000 after purchasing an additional 87,663 shares in the last quarter. Finally, Franklin Resources Inc. lifted its stake in Lockheed Martin by 0.6% in the 4th quarter. Franklin Resources Inc. now owns 1,670,284 shares of the aerospace company's stock worth $807,866,000 after purchasing an additional 10,349 shares in the last quarter. Institutional investors own 74.19% of the company's stock.

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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