Lockheed Martin (NYSE:LMT) Releases Quarterly Earnings Results, Misses Estimates By $0.35 EPS

Lockheed Martin (NYSE:LMT) released its quarterly earnings results on Thursday. The aerospace company reported $6.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $6.79 by ($0.35), FiscalAI reports. Lockheed Martin had a return on equity of 108.53% and a net margin of 6.69%.The firm had revenue of $18.02 billion during the quarter, compared to analysts’ expectations of $18.38 billion. During the same quarter last year, the business earned $7.28 earnings per share. The business’s quarterly revenue was up .3% on a year-over-year basis. Lockheed Martin updated its FY 2026 guidance to 29.350-30.250 EPS.

Here are the key takeaways from Lockheed Martin’s conference call:

• Lockheed announced a landmark $1.5 billion sale of 12 Block 70 F-16s to Peru—the first direct commercial F-16 sale in decades—and won additional international and program awards (including F-35 long‑lead material contracts), underscoring sustained global demand for its aircraft portfolio.
• The company secured large munitions awards (including a $4.8 billion fully funded undefinitized PAC‑3 contract and a prior ~$2.2 billion award) and is scaling production (PAC‑3 3x, THAAD 4x) with construction/modernization of 20+ facilities to expand capacity and strengthen supply‑chain resilience.
• Orion and Artemis II were highlighted as a near‑flawless success, and Lockheed is assembling Orion spacecraft for Artemis III–V, reinforcing its leadership and revenue visibility in deep‑space exploration programs.
• Q1 results showed flat sales of $18 billion, a segment operating profit decline to $1.8 billion and EPS of $6.44 (down 12%) driven by lower profit adjustments and mark‑to‑market losses; free cash flow was a use of $291 million (ERP implementation and working capital timing), though full‑year guidance was reaffirmed.
• Lockheed is increasing innovation investments—expanding its Venture Fund to $1 billion, investing in Fortem for counter‑UAS solutions, and centralizing AI work in a secure AI Center—which may drive long‑term competitive advantage but has uncertain near‑term financial impact.

Lockheed Martin Trading Down 3.0%

Shares of NYSE:LMT opened at $514.07 on Friday. The stock has a 50 day moving average of $631.13 and a 200 day moving average of $552.93. The company has a market cap of $118.47 billion, a PE ratio of 23.99, a price-to-earnings-growth ratio of 0.99 and a beta of 0.23. The company has a current ratio of 1.09, a quick ratio of 0.94 and a debt-to-equity ratio of 3.05. Lockheed Martin has a 12-month low of $410.11 and a 12-month high of $692.00.

Lockheed Martin Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 27th. Stockholders of record on Monday, March 2nd were given a dividend of $3.45 per share. This represents a $13.80 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date of this dividend was Monday, March 2nd. Lockheed Martin’s payout ratio is presently 64.22%.

Analysts Set New Price Targets

Several research analysts have issued reports on LMT shares. Sanford C. Bernstein raised their target price on Lockheed Martin from $654.00 to $661.00 and gave the stock a “market perform” rating in a research report on Tuesday. Royal Bank Of Canada reduced their price target on shares of Lockheed Martin from $650.00 to $575.00 and set a “sector perform” rating for the company in a research report on Friday. Argus raised their price objective on shares of Lockheed Martin from $530.00 to $735.00 and gave the stock a “buy” rating in a report on Friday, March 6th. Deutsche Bank Aktiengesellschaft cut their target price on shares of Lockheed Martin from $615.00 to $575.00 and set a “hold” rating for the company in a research report on Friday. Finally, Robert W. Baird increased their price target on shares of Lockheed Martin from $550.00 to $640.00 and gave the stock an “outperform” rating in a research report on Friday, January 16th. Seven equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Lockheed Martin currently has a consensus rating of “Hold” and a consensus price target of $632.32.

More Lockheed Martin News

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

• Positive Sentiment: Peru agreed to buy 12 F‑16 Block 70 fighters, a direct contract win that supports near-term backlog and revenue visibility. Peru Selects Lockheed Martin F-16 Block 70
• Positive Sentiment: An analyst price-target bump (Sanford C. Bernstein to $661) gives analysts’ support for upside versus current levels and may underpin buying interest. Lockheed Martin Price Target Raised to $661.00
• Positive Sentiment: Macro tailwinds — surging global defense budgets and a growing U.S. missile/munitions agenda — keep long-term demand strong for Lockheed’s portfolio (supports medium/long-term revenue growth). Lockheed Martin vs. RTX: Defense Spending Is Surging
• Neutral Sentiment: Management reaffirmed FY‑2026 EPS guidance ($29.35–$30.25) and revenue range (~$77.5B–$80.0B); this limits downside from guidance cuts but leaves execution risk priced in. Lockheed Martin Reports First Quarter 2026 Financial Results
• Neutral Sentiment: Positive PR from the successful Orion crewed mission underscores program credibility (reputational benefit but limited immediate financial impact). Green Hills Congratulates NASA and Lockheed Martin on Orion
• Negative Sentiment: Q1 results missed expectations: EPS $6.44 vs. estimates ~ $6.79 and revenue $18.02B vs. ~$18.38B — this triggered selling pressure and raises short-term performance concerns. Lockheed Martin First-Quarter Results Miss Street Views
• Negative Sentiment: Free cash flow swung negative (~$(291)m) and executives cited production delays and higher costs on fixed‑price programs (F‑16, C‑130), elevating execution and margin risk. Lockheed Martin posts lower quarterly profit as delays weigh

Hedge Funds Weigh In On Lockheed Martin

Several large investors have recently added to or reduced their stakes in LMT. AQR Capital Management LLC increased its stake in shares of Lockheed Martin by 107.3% in the fourth quarter. AQR Capital Management LLC now owns 1,293,823 shares of the aerospace company’s stock worth $625,784,000 after purchasing an additional 669,604 shares in the last quarter. 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. Jacobs Levy Equity Management Inc. increased its stake in Lockheed Martin by 261.8% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 454,354 shares of the aerospace company’s stock worth $219,757,000 after buying an additional 328,767 shares in the last quarter. Vident Advisory LLC raised its holdings in Lockheed Martin by 1,987.6% during the fourth quarter. Vident Advisory LLC now owns 280,825 shares of the aerospace company’s stock valued at $135,827,000 after acquiring an additional 267,373 shares during the period. Finally, Quadrature Capital Ltd boosted its stake in shares of Lockheed Martin by 447.6% in the fourth quarter. Quadrature Capital Ltd now owns 289,738 shares of the aerospace company’s stock worth $140,138,000 after acquiring an additional 236,831 shares during the period. 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.