TLDR
- Shares of Lockheed Martin (LMT) advanced 2.7% during Friday’s session, touching approximately $659 with trading volume surging 34% above typical levels.
- Fourth quarter revenue exceeded Wall Street projections at $20.32B compared to the $19.84B consensus, though earnings per share fell short at $5.80 versus the anticipated $6.33.
- The U.S. Army completed successful field trials of Lockheed’s Next Generation Command and Control (NGC2) platform, scheduling additional evaluation exercises for April 2026.
- A contract modification worth $18.8M from the U.S. Navy extends Lockheed’s work on the Trident II (D5) Life Extension 2 initiative through August 2030.
- Year-to-date gains for LMT exceed 31%, pushing shares close to record territory, while the company maintains its $3.45 per share quarterly dividend.
Shares of Lockheed Martin (LMT) posted solid gains on Friday, advancing 2.7% in intraday action with a peak of $662.47 before closing the session near $659.24. The stock had ended Thursday’s trading at $641.63.
Lockheed Martin Corporation, LMT
Trading activity picked up notably during the session. Approximately 2.59 million shares traded hands, representing a 34% increase over the stock’s average daily volume of 1.93 million shares.
The upward momentum followed news of two distinct military contract wins announced within the same week, underscoring Lockheed’s entrenched role as a primary defense supplier to the United States armed forces.
The Army concluded prototype testing of Lockheed’s Next Generation Command and Control (NGC2) platform alongside the 25th Infantry Division. This advanced system creates direct links between sensor feeds and weapons platforms, enabling troops to detect and neutralize threats with greater speed.
This integrated “sensor-to-shooter” architecture represents a critical component of contemporary combat doctrine. Insights gathered from the recent testing phase are already informing system improvements, with another assessment scheduled for April 2026 as part of the “Lightning Surge 3” training operation.
Meanwhile, Lockheed received an $18.8 million modification to its existing Navy contract supporting the Trident II (D5) Life Extension 2 initiative. This program maintains the United States’ submarine-launched nuclear missile capabilities, with work extending through August 30, 2030.
The majority of contract activities will take place at Lockheed’s Alabama facility in Huntsville. While the dollar value appears modest in isolation, the extended timeline and strategic significance of the program carry weight with market participants.
Q4 Earnings: Revenue Beat, EPS Miss
LMT’s latest quarterly financial report, released January 29, delivered revenue of $20.32 billion compared to analyst expectations of $19.84 billion — exceeding projections by approximately $480 million. Top-line results increased 9.1% compared to the prior-year period.
Earnings per share registered at $5.80, falling short of the $6.33 consensus estimate by $0.53. The company had reported $7.67 EPS during the comparable quarter one year earlier.
Wall Street analysts are currently projecting full-year EPS of $27.15 for the ongoing fiscal period.
Analyst Targets and Dividend
Multiple Wall Street firms have adjusted their price objectives higher in recent weeks. Citigroup increased its target from $592 to $673, while keeping a “neutral” stance on the shares. RBC Capital Markets raised its target from $615 to $650 alongside a “sector perform” rating. Robert W. Baird moved to a $640 target with an “outperform” designation.
The average analyst price target tracked by MarketBeat stands at $612.50 with a consensus “Hold” recommendation — notably beneath current trading levels.
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, yielding approximately 2.1% at current prices. The company’s payout ratio currently measures 64.22%.
The defense contractor’s market capitalization reaches $151.68 billion, with a price-to-earnings multiple of 30.68 and a beta coefficient of 0.23. The stock’s 50-day moving average stands at $578.05, while the 200-day moving average sits at $508.04.
LMT has climbed more than 31% since the start of the year and trades near record levels. Institutional ownership accounts for 74.19% of outstanding shares.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
