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 (LMT) Wins $81.3M Contract for Littoral Combat Ship
Read MoreHide Full Article
Lockheed Martin Corp. (LMT - Free Report) clinched a modification contract to provide class design support, integrated data and product model environment support for the Littoral Combat Ship (“LCS”).
Valued at $81.3 million, the deal has been awarded by the Naval Sea Systems Command, Washington, D.C. The contract is expected to be complete by August 2024. The work related to this deal will be carried out at multiple locations across the United States.
What’s Favoring Lockheed Martin?
Per a report from Mordor Intelligence, the naval combat system market is likely to witness a CAGR of more than 2.5% during the 2022-2027 period. This should contribute to LMT’s growth prospects as the company is the prime contractor of navy combat ships.
Its LCS is a resilient, flexible warship, equipped with advanced capabilities, including advanced sensors, missiles and cutting-edge cyber systems. Its speed, strength and versatility make it a critical tool to help sailors achieve their missions.
Backed by such advanced features and probable solid growth prospects in the naval combat system market, Lockheed Martin may continue to witness a strong order inflow for LCS, like the latest one. This will continue to boost its revenues and long-term growth prospects.
Peer Prospects
Other defense companies that may enjoy the perks of the expanding naval combat system market are as follows:
Huntington Ingalls Industries, Inc. (HII - Free Report) : Huntington Ingalls is known for specializing in manufacturing amphibious assault and expeditionary ships and provides more than 70% of ships for the U.S. Navy.
The Zacks Consensus Estimate for Huntington Ingalls’ 2023 earnings implies a growth rate of 0.3% from the prior-year reported figure. Shares of HII have appreciated 6.3% in the past three months.
General Dynamics (GD - Free Report) : General Dynamics' National Steel and Shipbuilding Company has an extensive history of designing, building and repairing ships for the U.S. government and commercial customers.
General Dynamics has a long-term earnings growth rate of 8.9%. GD shares have rallied 8.1% in the past three months.
BAE Systems plc (BAESY - Free Report) : BAE Systems’ Maritime is poised to benefit as it designs and manufactures naval ships and submarines as well as state-of-the-art combat systems and equipment. The company also provides maintenance and modernization programs to support ships and equipment in service worldwide.
BAE Systems boasts a long-term earnings growth rate of 14%. Shares of BAE Systems have appreciated 9% in the past three months.
Price Movement
In the past year, shares of Lockheed Martin have increased 7.1% against the industry’s fall of 2%.
Image: Bigstock
Lockheed (LMT) Wins $81.3M Contract for Littoral Combat Ship
Lockheed Martin Corp. (LMT - Free Report) clinched a modification contract to provide class design support, integrated data and product model environment support for the Littoral Combat Ship (“LCS”).
Valued at $81.3 million, the deal has been awarded by the Naval Sea Systems Command, Washington, D.C. The contract is expected to be complete by August 2024. The work related to this deal will be carried out at multiple locations across the United States.
What’s Favoring Lockheed Martin?
Per a report from Mordor Intelligence, the naval combat system market is likely to witness a CAGR of more than 2.5% during the 2022-2027 period. This should contribute to LMT’s growth prospects as the company is the prime contractor of navy combat ships.
Its LCS is a resilient, flexible warship, equipped with advanced capabilities, including advanced sensors, missiles and cutting-edge cyber systems. Its speed, strength and versatility make it a critical tool to help sailors achieve their missions.
Backed by such advanced features and probable solid growth prospects in the naval combat system market, Lockheed Martin may continue to witness a strong order inflow for LCS, like the latest one. This will continue to boost its revenues and long-term growth prospects.
Peer Prospects
Other defense companies that may enjoy the perks of the expanding naval combat system market are as follows:
Huntington Ingalls Industries, Inc. (HII - Free Report) : Huntington Ingalls is known for specializing in manufacturing amphibious assault and expeditionary ships and provides more than 70% of ships for the U.S. Navy.
The Zacks Consensus Estimate for Huntington Ingalls’ 2023 earnings implies a growth rate of 0.3% from the prior-year reported figure. Shares of HII have appreciated 6.3% in the past three months.
General Dynamics (GD - Free Report) : General Dynamics' National Steel and Shipbuilding Company has an extensive history of designing, building and repairing ships for the U.S. government and commercial customers.
General Dynamics has a long-term earnings growth rate of 8.9%. GD shares have rallied 8.1% in the past three months.
BAE Systems plc (BAESY - Free Report) : BAE Systems’ Maritime is poised to benefit as it designs and manufactures naval ships and submarines as well as state-of-the-art combat systems and equipment. The company also provides maintenance and modernization programs to support ships and equipment in service worldwide.
BAE Systems boasts a long-term earnings growth rate of 14%. Shares of BAE Systems have appreciated 9% in the past three months.
Price Movement
In the past year, shares of Lockheed Martin have increased 7.1% against the industry’s fall of 2%.
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.