Lockheed Martin (NYSE:LMT) Stock Price Down 4.9% – What’s Next?
by Amy Steele · The Cerbat GemShares of Lockheed Martin Corporation (NYSE:LMT – Get Free Report) dropped 4.9% during mid-day trading on Wednesday . The company traded as low as $496.00 and last traded at $496.5890. Approximately 3,849,389 shares traded hands during mid-day trading, an increase of 59% from the average daily volume of 2,427,240 shares. The stock had previously closed at $522.04.
Key Stories Impacting Lockheed Martin
Here are the key news stories impacting Lockheed Martin this week:
- Positive Sentiment: Lockheed reached a multi‑year agreement to ramp PAC‑3 MSE Patriot interceptor capacity from ~600 to 2,000 units a year — a sizable backlog and production uplift that should boost revenue visibility, margins and long‑term cash flows. Lockheed Martin to more than triple Patriot missile production capacity
- Positive Sentiment: Lockheed’s press release/PR filing framed the deal as a “landmark” acquisition transformation to accelerate deliveries to the U.S. and allies — supports higher revenue run‑rate and production leverage over the next seven years. Lockheed Martin and Department of War Advance Landmark Acquisition Transformation
- Neutral Sentiment: Media pieces explaining the intraday rally note the Patriot production news as the primary reason shares popped earlier in the week — useful context for why the stock was bid before today’s pullback. Here’s Why Shares in Lockheed Martin Popped Higher Today
- Neutral Sentiment: Lockheed scheduled its Q4 and full‑year 2025 earnings webcast for Jan. 29 — an upcoming event that could reset investor expectations once management provides detail on the production ramp and guidance. Lockheed Martin Announces Fourth-Quarter and Full-Year 2025 Earnings Results Webcast
- Negative Sentiment: President Trump said he will not permit dividends or stock buybacks by defense companies until contractors “fix” production problems — a political risk that could constrain capital returns (dividends/share repurchases) and weigh on sentiment toward LMT and peers. Trump says he won’t permit dividends, buybacks for defense companies till they fix equipment production
- Negative Sentiment: Zacks trimmed Q2/Q3/FY2027 EPS estimates modestly — the downward revisions (small in absolute terms) signal analysts are watching execution and margins as production ramps; such cuts can amplify near‑term selling pressure.
Wall Street Analyst Weigh In
A number of equities analysts have recently weighed in on LMT shares. BNP Paribas Exane initiated coverage on Lockheed Martin in a research note on Tuesday, November 18th. They issued an “outperform” rating and a $550.00 target price on the stock. Sanford C. Bernstein lifted their price target on Lockheed Martin from $497.00 to $545.00 and gave the stock a “market perform” rating in a report on Monday, October 20th. JPMorgan Chase & Co. reissued a “neutral” rating and issued a $515.00 price objective (up previously from $465.00) on shares of Lockheed Martin in a research report on Friday, December 19th. The Goldman Sachs Group raised their target price on Lockheed Martin from $398.00 to $425.00 and gave the company a “sell” rating in a research report on Friday, October 10th. Finally, Truist Financial boosted their price target on shares of Lockheed Martin from $440.00 to $500.00 and gave the stock a “hold” rating in a report on Wednesday, October 15th. Two research analysts have rated the stock with a Strong Buy rating, four have given a Buy rating, seventeen have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Lockheed Martin presently has a consensus rating of “Hold” and an average target price of $506.18.
Lockheed Martin Price Performance
The firm has a 50 day moving average price of $472.00 and a two-hundred day moving average price of $466.96. The company has a market cap of $114.91 billion, a P/E ratio of 27.73, a P/E/G ratio of 1.45 and a beta of 0.24. The company has a debt-to-equity ratio of 3.32, a quick ratio of 0.97 and a current ratio of 1.13.
Lockheed Martin (NYSE:LMT – Get Free Report) last announced its quarterly earnings data on Tuesday, October 21st. The aerospace company reported $6.95 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $6.33 by $0.62. The business had revenue of $18.61 billion for the quarter, compared to analysts’ expectations of $18.45 billion. Lockheed Martin had a return on equity of 111.84% and a net margin of 5.73%.The firm’s quarterly revenue was up 8.8% compared to the same quarter last year. During the same period in the previous year, the business posted $6.84 EPS. Lockheed Martin has set its FY 2025 guidance at 22.150-22.350 EPS. On average, analysts predict that Lockheed Martin Corporation will post 27.15 EPS for the current fiscal year.
Lockheed Martin Increases Dividend
The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, December 30th. Investors of record on Monday, December 1st were paid a $3.45 dividend. The ex-dividend date was Monday, December 1st. This represents a $13.80 dividend on an annualized basis and a yield of 2.8%. This is a positive change from Lockheed Martin’s previous quarterly dividend of $3.30. Lockheed Martin’s dividend payout ratio (DPR) is presently 77.05%.
Insider Transactions at Lockheed Martin
In other Lockheed Martin news, COO John Frank A. St sold 7,792 shares of the stock in a transaction on Thursday, October 23rd. The stock was sold at an average price of $491.04, for a total transaction of $3,826,183.68. Following the sale, the chief operating officer owned 1 shares in the company, valued at $491.04. This represents a 99.99% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 0.14% of the stock is owned by insiders.
Institutional Trading of Lockheed Martin
A number of institutional investors have recently added to or reduced their stakes in the stock. United Financial Planning Group LLC purchased a new stake in shares of Lockheed Martin in the third quarter worth about $25,000. Barnes Dennig Private Wealth Management LLC increased its holdings in Lockheed Martin by 285.7% during the 3rd quarter. Barnes Dennig Private Wealth Management LLC now owns 54 shares of the aerospace company’s stock worth $27,000 after acquiring an additional 40 shares during the period. Grey Fox Wealth Advisors LLC purchased a new stake in Lockheed Martin in the 3rd quarter worth approximately $27,000. Mid American Wealth Advisory Group Inc. bought a new position in Lockheed Martin in the 2nd quarter valued at $28,000. Finally, Twin Peaks Wealth Advisors LLC purchased a new position in shares of Lockheed Martin during the 2nd quarter valued at $29,000. Hedge funds and other 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.