Lockheed Martin (NYSE:LMT) Stock Falls 1.7% – Here’s What Happened

Lockheed Martin Corporation (NYSE:LMT) shares traded down 1.7% during trading on Friday. The company traded as low as $561.85 and last traded at $566.4310. Approximately 1,386,206 shares were traded during trading, a decline of 6% from the average session volume of 1,473,343 shares. The stock had previously closed at $576.16.

More Lockheed Martin News

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

• Positive Sentiment: Zacks says Lockheed Martin has gained 12% over six months, supported by a record backlog, global defense demand, major contracts and strategic acquisitions. It also describes the shares as trading at a discount to the industry, which could appeal to value-focused investors. Article: LMT Trades at a Discount to the Industry
• Positive Sentiment: Industry earnings point to ongoing demand for conventional weapons as well as drones and advanced defense systems, a supportive backdrop for defense contractors, although the article does not provide Lockheed-specific results. Article: Defense earnings reveal a more complicated rearmament boom
• Neutral Sentiment: Lockheed Martin is attracting increased attention from Zacks users, but the coverage does not identify a specific new company development driving that interest. Article: What to Know Beyond Why Lockheed Martin Is a Trending Stock
• Negative Sentiment: Defense shares faced political and budget uncertainty after Democrats took control of Congress. Reports say a proposed $1.5 trillion defense budget request may be in jeopardy, raising questions about future spending and contributing to pressure on Lockheed Martin and other contractors. Article: Defense Stocks Sank as Democrats Took Congress
• Negative Sentiment: Lockheed Martin agreed to pay $29.5 million to settle federal claims that it discriminated against white workers. The payment is a cost and may bring reputational scrutiny, though it is not presented as a change to the company’s operating outlook. Article: Lockheed Martin paying $29.5M settlement

Analyst Upgrades and Downgrades

LMT has been the topic of several analyst reports. JPMorgan Chase & Co. raised their target price on Lockheed Martin from $620.00 to $665.00 and gave the company a “neutral” rating in a report on Monday, October 26th. Citigroup boosted their target price on shares of Lockheed Martin from $691.00 to $706.00 and gave the stock a “buy” rating in a research report on Friday, October 23rd. UBS Group upped their target price on shares of Lockheed Martin from $653.00 to $692.00 and gave the company a “buy” rating in a research note on Friday, October 23rd. Wall Street Zen lowered shares of Lockheed Martin from a “strong-buy” rating to a “buy” rating in a report on Saturday, October 17th. Finally, Sanford C. Bernstein dropped their price target on shares of Lockheed Martin from $629.00 to $564.00 and set a “market perform” rating on the stock in a research note on Wednesday, October 14th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Lockheed Martin presently has a consensus rating of “Moderate Buy” and a consensus target price of $647.00.

Lockheed Martin Stock Performance

The company has a market capitalization of $130.85 billion, a PE ratio of 20.12, a PEG ratio of 1.26 and a beta of 0.07. The company has a debt-to-equity ratio of 2.04, a quick ratio of 1.10 and a current ratio of 1.26. The company has a 50 day moving average price of $548.24 and a 200 day moving average price of $569.69.

Lockheed Martin (NYSE:LMT) last released its earnings results on Thursday, October 22nd. The aerospace company reported $7.97 earnings per share for the quarter, topping the consensus estimate of $7.52 by $0.45. The company had revenue of $20.71 billion during the quarter, compared to the consensus estimate of $20.48 billion. Lockheed Martin had a net margin of 8.23% and a return on equity of 83.41%. The company’s revenue was up 11.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $6.95 EPS. Equities analysts forecast that Lockheed Martin Corporation will post 30.66 EPS for the current year.

Lockheed Martin Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 31st. Investors of record on Tuesday, December 1st will be issued a $3.60 dividend. This is an increase from Lockheed Martin’s previous quarterly dividend of $3.45. This represents a $14.40 annualized dividend and a yield of 2.5%. The ex-dividend date of this dividend is Tuesday, December 1st. Lockheed Martin’s dividend payout ratio is presently 49.02%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in LMT. Allworth Financial LP raised its stake in Lockheed Martin by 10.2% during the third quarter. Allworth Financial LP now owns 31,901 shares of the aerospace company’s stock worth $16,252,000 after acquiring an additional 2,945 shares during the period. Fisher Asset Management LLC grew its stake in Lockheed Martin by 28.1% during the 3rd quarter. Fisher Asset Management LLC now owns 8,102 shares of the aerospace company’s stock worth $4,127,000 after buying an additional 1,779 shares during the last quarter. SVB Wealth LLC increased its position in Lockheed Martin by 12.8% in the third quarter. SVB Wealth LLC now owns 1,971 shares of the aerospace company’s stock worth $1,004,000 after buying an additional 224 shares during the period. Russell Investments Group Ltd. boosted its holdings in shares of Lockheed Martin by 24.3% during the third quarter. Russell Investments Group Ltd. now owns 291,256 shares of the aerospace company’s stock valued at $148,354,000 after acquiring an additional 57,007 shares during the period. Finally, Nikulski Financial Inc. increased its holdings in shares of Lockheed Martin by 8.8% in the 3rd quarter. Nikulski Financial Inc. now owns 6,487 shares of the aerospace company’s stock worth $3,304,000 after acquiring an additional 525 shares during the period. Institutional investors and hedge funds own 74.19% of the company’s stock.

About Lockheed Martin

Lockheed Martin Corporation is a global security and aerospace company headquartered in Bethesda, Maryland. Formed in 1995 through the merger of Lockheed Corporation and Martin Marietta, the company develops and produces advanced defense, aerospace, and technology systems for government and commercial customers.

Its principal business areas include Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space. Products and services include military aircraft such as the F-35 Lightning II, C-130 Hercules, and F-16 Fighting Falcon; missile-defense and precision-strike systems; helicopters and naval systems; command, control, communications, and intelligence technologies; satellites; space exploration systems; and other classified space and defense programs.

Lockheed Martin serves the U.S.