We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Lockheed Wins $88M Navy Deal for Trident II Support Services
Read MoreHide Full Article
Lockheed Martin Corp.’s (LMT - Free Report) business unit, Space Systems Co., has won a modification contract from the U.S. Navy to offer support services for the Trident II (D5) missile field processing and deployed system.
Contract Details
The contract is valued at $88.1 million. It was awarded by Strategic Systems Programs, Washington, D.C.
Work is scheduled to be complete by Sep 2021. The majority of the work will be performed in Sunnyvale, CA, while the rest will be executed in Cape Canaveral, FL and other locations across the U.S. The contract will use fiscal 2017 weapons procurement (Navy), operations and maintenance (Navy) and UK funds.
A Brief Note on Trident II (D5)
Trident II (D5) is the latest generation of the Navy's submarine-launched fleet ballistic missiles, developed and produced by Lockheed Martin. It was first deployed in 1990 and is currently aboard the OHIO-class and British VANGUARD-class submarines.
These missiles are equipped with multiple independently targetable reentry vehicles (MIRV) and armed with thermonuclear warheads.
What’s Favoring Lockheed?
Lockheed Martin’s Space Systems Co. is the prime contractor of the Navy's Trident missile. The company also supplies technical and logistical support at sites where the missiles are deployed.
In September, the Navy launched an unarmed Trident II D5 Fleet Ballistic Missile, following which the company announced that it is building on a 60-year partnership with the Navy to ensure that the missile system remains capable for decades ahead through the company’s shared robust flight test plan.
Naturally, the latest contract is expected to boost the company’s business substantially and may even attract more of such contracts in the future, given that Trident II (D5) has one of the top priorities in the U.S. Navy’s missile system.
Price Movement
Lockheed Martin’s stock has improved about 17% in the last one year, outperforming the Zacks categorized Aerospace/Defense industry’s gain of 11.8%. This could be because Lockheed continues to witness a steady flow of contracts from the Pentagon and other international customers.
Zacks Rank & Key Picks
Lockheed Martin currently has a Zacks Rank #3 (Hold). A few better-ranked stocks in the aerospace and defense space include Engility Holdings, Inc. , Northrop Grumman Corporation (NOC - Free Report) and Leidos Holdings, Inc. (LDOS - Free Report) .
On an average, Engility has delivered a positive earnings surprise of 23.19% in the trailing four quarters. The company’s 2016 earnings estimates increased 13.4% over the last 60 days. Engility sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Northrop Grumman, another Zacks Rank #1 stock, delivered a positive earnings surprise of 8.29% in the trailing four quarters. The company’s 2016 earnings estimates increased 6% in the last 60 days.
Leidos Holdings carries a Zacks Rank #2 (Buy). The company’s 2016 earnings estimates increased 10.3% over the last 60 days. On an average, the company has delivered a positive earnings surprise of 12.20% in the trailing four quarters.
Zacks' Top Investment Ideas for Long-Term Profit
How would you like to see our best recommendations to help you find today’s most promising long-term stocks? Starting now, you can look inside our portfolios featuring stocks under $10, income stocks, value investments and more. These picks, which have double and triple-digit profit potential, are rarely available to the public. But you can see them now. Click here >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Lockheed Wins $88M Navy Deal for Trident II Support Services
Lockheed Martin Corp.’s (LMT - Free Report) business unit, Space Systems Co., has won a modification contract from the U.S. Navy to offer support services for the Trident II (D5) missile field processing and deployed system.
Contract Details
The contract is valued at $88.1 million. It was awarded by Strategic Systems Programs, Washington, D.C.
Work is scheduled to be complete by Sep 2021. The majority of the work will be performed in Sunnyvale, CA, while the rest will be executed in Cape Canaveral, FL and other locations across the U.S. The contract will use fiscal 2017 weapons procurement (Navy), operations and maintenance (Navy) and UK funds.
A Brief Note on Trident II (D5)
Trident II (D5) is the latest generation of the Navy's submarine-launched fleet ballistic missiles, developed and produced by Lockheed Martin. It was first deployed in 1990 and is currently aboard the OHIO-class and British VANGUARD-class submarines.
These missiles are equipped with multiple independently targetable reentry vehicles (MIRV) and armed with thermonuclear warheads.
What’s Favoring Lockheed?
Lockheed Martin’s Space Systems Co. is the prime contractor of the Navy's Trident missile. The company also supplies technical and logistical support at sites where the missiles are deployed.
In September, the Navy launched an unarmed Trident II D5 Fleet Ballistic Missile, following which the company announced that it is building on a 60-year partnership with the Navy to ensure that the missile system remains capable for decades ahead through the company’s shared robust flight test plan.
Naturally, the latest contract is expected to boost the company’s business substantially and may even attract more of such contracts in the future, given that Trident II (D5) has one of the top priorities in the U.S. Navy’s missile system.
Price Movement
Lockheed Martin’s stock has improved about 17% in the last one year, outperforming the Zacks categorized Aerospace/Defense industry’s gain of 11.8%. This could be because Lockheed continues to witness a steady flow of contracts from the Pentagon and other international customers.
Zacks Rank & Key Picks
Lockheed Martin currently has a Zacks Rank #3 (Hold). A few better-ranked stocks in the aerospace and defense space include Engility Holdings, Inc. , Northrop Grumman Corporation (NOC - Free Report) and Leidos Holdings, Inc. (LDOS - Free Report) .
On an average, Engility has delivered a positive earnings surprise of 23.19% in the trailing four quarters. The company’s 2016 earnings estimates increased 13.4% over the last 60 days. Engility sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Northrop Grumman, another Zacks Rank #1 stock, delivered a positive earnings surprise of 8.29% in the trailing four quarters. The company’s 2016 earnings estimates increased 6% in the last 60 days.
Leidos Holdings carries a Zacks Rank #2 (Buy). The company’s 2016 earnings estimates increased 10.3% over the last 60 days. On an average, the company has delivered a positive earnings surprise of 12.20% in the trailing four quarters.
Zacks' Top Investment Ideas for Long-Term Profit
How would you like to see our best recommendations to help you find today’s most promising long-term stocks? Starting now, you can look inside our portfolios featuring stocks under $10, income stocks, value investments and more. These picks, which have double and triple-digit profit potential, are rarely available to the public. But you can see them now. Click here >>