TLDR
- Lockheed Martin (LMT) gained 2.7% during Friday’s session, reaching approximately $659 with trading volume 34% higher than typical levels.
- Fourth-quarter revenue exceeded projections at $20.32B (compared to $19.84B consensus), though EPS fell short at $5.80 versus the $6.33 forecast.
- The Army concluded successful testing of Lockheed’s Next Generation Command and Control (NGC2) platform, with additional trials scheduled for April 2026.
- The Navy issued an $18.8M contract modification to Lockheed for Trident II (D5) Life Extension 2 work extending through August 2030.
- The defense stock has surged more than 31% in 2024, approaching record territory, while maintaining a $3.45 quarterly dividend payout.
Shares of Lockheed Martin (LMT) advanced 2.7% in Friday’s trading session, touching an intraday peak of $662.47 before consolidating near $659.24. The aerospace and defense manufacturer closed the prior session at $641.63.
Lockheed Martin Corporation, LMT
Trading activity showed notable strength. Approximately 2.59 million shares traded hands, representing a 34% increase over the standard daily volume of 1.93 million shares.
The upward price action followed two distinct military contract announcements emerging within the same timeframe, underscoring LMT’s central role in supplying critical defense systems to U.S. armed forces.
The Army wrapped up prototype evaluation of Lockheed’s Next Generation Command and Control (NGC2) platform alongside the 25th Infantry Division. This technology creates direct pathways between surveillance sensors and offensive weapons, enabling troops to detect and strike targets with reduced lag time.
This integrated “sensor-to-shooter” architecture represents a cornerstone of contemporary combat doctrine. Insights gathered from the recent trial phase are already informing system enhancements, with additional assessment scheduled for April 2026 as part of the “Lightning Surge 3” military exercise.
Meanwhile, Lockheed received an $18.8 million modification to an existing Navy contract supporting the Trident II (D5) Life Extension 2 initiative. This program maintains the submarine-launched ballistic missile component of the nation’s nuclear triad, with work continuing until August 30, 2030.
The company’s Huntsville, Alabama operations will handle the majority of contract deliverables. While the monetary value appears modest in isolation, the extended timeline and strategic significance of nuclear deterrence systems carry weight with market participants.
Q4 Earnings: Revenue Beat, EPS Miss
LMT’s latest quarterly financial disclosure, released January 29, revealed revenue of $20.32 billion versus Wall Street expectations of $19.84 billion — exceeding forecasts by approximately $480 million. Top-line growth registered at 9.1% compared to the prior-year period.
Earnings per share settled at $5.80, falling short of the $6.33 consensus estimate by $0.53. During the same quarter twelve months earlier, the defense contractor reported $7.67 in EPS.
Analyst projections call for full-year EPS of $27.15 for the ongoing fiscal period.
Analyst Targets and Dividend
Multiple Wall Street firms have adjusted their price objectives upward in recent weeks. Citigroup elevated its target from $592 to $673 while keeping a “neutral” stance. RBC increased its projection from $615 to $650 alongside a “sector perform” designation. Robert W. Baird established a $640 target with an “outperform” recommendation.
The aggregated MarketBeat consensus reflects a “Hold” rating with a mean price target of $612.50 — trailing the stock’s current market price.
Lockheed announced a quarterly dividend distribution of $3.45 per share, scheduled for payment on March 27 to investors of record as of March 2. The annualized dividend totals $13.80, translating to approximately a 2.1% yield. The company’s payout ratio registers at 64.22%.
The stock commands a market capitalization of $151.68 billion, with a price-to-earnings multiple of 30.68 and a beta coefficient of 0.23. The 50-day simple moving average stands at $578.05, while the 200-day average reaches $508.04.
LMT shares have appreciated over 31% since January and are trading in proximity to all-time peak levels. Institutional ownership accounts for 74.19% of outstanding shares.
