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Lockheed Martin (LMT) Wins Contract for UH-60M Helicopters
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Lockheed Martin Corp.’s (LMT - Free Report) arm, Sikorsky, recently secured a contract for UH-60M helicopters. The deal has been awarded by the U.S. Army Contracting Command, Redstone Arsenal, AL.
Valued at $21.7 million, the contract is expected to be completed by Jun 30, 2027. The work related to this deal will be carried out in Stratford, CT.
What’s Favoring Lockheed?
Nations are reinforcing their defense capabilities to deter any war-like situation due to rising geopolitical tensions. In such a scenario, the demand for military helicopters has increased significantly, thus benefiting companies like Lockheed Martin, which are the primary contractors in the realm of military helicopter manufacturing.
The latest contract win for UH-60M Black Hawk helicopters bears testimony to the increased demand that the company is enjoying. Apart from UH-60M, Lockheed Martin manufactures CH-148 Cyclone, CH-53K, RAIDER X and a few more that enjoy consistent demand in the military market.
Going forward, per projections by the Mordor Intelligence firm, the global military rotorcraft market is expected to witness a CAGR of more than 4% over the 2022-2027 period. Such projections further exemplify immense growth opportunities for Lockheed Martin to win more orders involving helicopters like the latest one. This shall bolster LMT’s revenues from the Sikorsky business unit.
Peer Moves
Such growth prospects will not only benefit LockheedMartinbut also other prominent defense majors, namely Textron(TXT - Free Report) , Boeing (BA - Free Report) and Airbus (EADSY - Free Report) , which are involved in helicopter manufacturing and offer associated support.
Textron’s Bell segment supplies advanced military helicopters and provides parts and support services to the U.S. Government and other U.S. allies.Bell’s primary U.S. Government programs are for producing and supporting V-22 tiltrotor aircraft, primarily for the U.S. Department of Defense, and H-1 helicopters for the U.S. Marine Corps.
Textron has a long-term earnings growth rate of 11.7%. Its investors have gained 17.7% in the past three months.
Boeing supports the vital missions of defense forces worldwide with combat-proven helicopters. Its H-47 Chinook, AH-64 Apache, AH-6 Little Bird and V-22 Osprey helicopters have redefined the limits of technology, capability and sustainability to ensure the production and delivery of reliable, maintainable and mission-ready aircraft.
Boeing’s long-term earnings growth rate is pegged at 4%. Shares of BA have returned 18.8% value to its investors in the past year.
Airbus Group’s military helicopters comprise the H125M, Military Training H135, H145M, AS565 MBe, H160M, H215M, H225M, Tiger and NH90 (TTH and NFH).
Airbus boasts a long-term earnings growth rate of 12.4%. EADSY stock has appreciated 20.8% in the past year.
Price Movement
In the past month, shares of Lockheed Martin have decreased 0.1% against the industry’s growth of 4.5%.
Image: Shutterstock
Lockheed Martin (LMT) Wins Contract for UH-60M Helicopters
Lockheed Martin Corp.’s (LMT - Free Report) arm, Sikorsky, recently secured a contract for UH-60M helicopters. The deal has been awarded by the U.S. Army Contracting Command, Redstone Arsenal, AL.
Valued at $21.7 million, the contract is expected to be completed by Jun 30, 2027. The work related to this deal will be carried out in Stratford, CT.
What’s Favoring Lockheed?
Nations are reinforcing their defense capabilities to deter any war-like situation due to rising geopolitical tensions. In such a scenario, the demand for military helicopters has increased significantly, thus benefiting companies like Lockheed Martin, which are the primary contractors in the realm of military helicopter manufacturing.
The latest contract win for UH-60M Black Hawk helicopters bears testimony to the increased demand that the company is enjoying. Apart from UH-60M, Lockheed Martin manufactures CH-148 Cyclone, CH-53K, RAIDER X and a few more that enjoy consistent demand in the military market.
Going forward, per projections by the Mordor Intelligence firm, the global military rotorcraft market is expected to witness a CAGR of more than 4% over the 2022-2027 period. Such projections further exemplify immense growth opportunities for Lockheed Martin to win more orders involving helicopters like the latest one. This shall bolster LMT’s revenues from the Sikorsky business unit.
Peer Moves
Such growth prospects will not only benefit LockheedMartinbut also other prominent defense majors, namely Textron(TXT - Free Report) , Boeing (BA - Free Report) and Airbus (EADSY - Free Report) , which are involved in helicopter manufacturing and offer associated support.
Textron’s Bell segment supplies advanced military helicopters and provides parts and support services to the U.S. Government and other U.S. allies.Bell’s primary U.S. Government programs are for producing and supporting V-22 tiltrotor aircraft, primarily for the U.S. Department of Defense, and H-1 helicopters for the U.S. Marine Corps.
Textron has a long-term earnings growth rate of 11.7%. Its investors have gained 17.7% in the past three months.
Boeing supports the vital missions of defense forces worldwide with combat-proven helicopters. Its H-47 Chinook, AH-64 Apache, AH-6 Little Bird and V-22 Osprey helicopters have redefined the limits of technology, capability and sustainability to ensure the production and delivery of reliable, maintainable and mission-ready aircraft.
Boeing’s long-term earnings growth rate is pegged at 4%. Shares of BA have returned 18.8% value to its investors in the past year.
Airbus Group’s military helicopters comprise the H125M, Military Training H135, H145M, AS565 MBe, H160M, H215M, H225M, Tiger and NH90 (TTH and NFH).
Airbus boasts a long-term earnings growth rate of 12.4%. EADSY stock has appreciated 20.8% in the past year.
Price Movement
In the past month, shares of Lockheed Martin have decreased 0.1% against the industry’s growth of 4.5%.
Image Source: Zacks Investment Research
Zacks Rank
Lockheed Martin currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.