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Lockheed Martin (LMT) Outpaces Stock Market Gains: What You Should Know

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Lockheed Martin (LMT - Free Report) closed at $380.19 in the latest trading session, marking a +0.32% move from the prior day. This move outpaced the S&P 500's daily gain of 0.15%.

Prior to today's trading, shares of the aerospace and defense company had gained 10.92% over the past month. This has outpaced the Aerospace sector's gain of 8.31% and the S&P 500's gain of 6.19% in that time.

LMT will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $6.34, up 4.28% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $16.46 billion, up 5.15% from the year-ago period.

LMT's full-year Zacks Consensus Estimates are calling for earnings of $26.32 per share and revenue of $68.14 billion. These results would represent year-over-year changes of +7.43% and +4.19%, respectively.

Investors might also notice recent changes to analyst estimates for LMT. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. LMT currently has a Zacks Rank of #4 (Sell).

In terms of valuation, LMT is currently trading at a Forward P/E ratio of 14.39. Its industry sports an average Forward P/E of 16.96, so we one might conclude that LMT is trading at a discount comparatively.

Meanwhile, LMT's PEG ratio is currently 2.42. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Aerospace - Defense was holding an average PEG ratio of 1.85 at yesterday's closing price.

The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 194, putting it in the bottom 24% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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