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Lockheed Martin (LMT) Dips More Than Broader Market: What You Should Know

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In the latest trading session, Lockheed Martin (LMT - Free Report) closed at $446.24, marking a -0.99% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 0.06%. On the other hand, the Dow registered a loss of 0.22%, and the technology-centric Nasdaq increased by 0.31%.

Shares of the aerospace and defense company witnessed a loss of 0.1% over the previous month, trailing the performance of the Aerospace sector with its gain of 6.93% and the S&P 500's gain of 5.1%.

Market participants will be closely following the financial results of Lockheed Martin in its upcoming release. It is anticipated that the company will report an EPS of $7.26, marking a 6.8% fall compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $18.05 billion, indicating a 4.96% decrease compared to the same quarter of the previous year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $27.24 per share and a revenue of $66.6 billion, signifying shifts of +0.04% and +0.93%, respectively, from the last year.

Investors should also pay attention to any latest changes in analyst estimates for Lockheed Martin. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Currently, Lockheed Martin is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Lockheed Martin is presently being traded at a Forward P/E ratio of 16.55. For comparison, its industry has an average Forward P/E of 17.46, which means Lockheed Martin is trading at a discount to the group.

It's also important to note that LMT currently trades at a PEG ratio of 1.92. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Aerospace - Defense industry had an average PEG ratio of 1.94.

The Aerospace - Defense industry is part of the Aerospace sector. With its current Zacks Industry Rank of 55, this industry ranks in the top 22% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

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