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

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In the latest market close, Lockheed Martin (LMT - Free Report) reached $451.23, with a +0.5% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.04%. Elsewhere, the Dow saw an upswing of 0.14%, while the tech-heavy Nasdaq depreciated by 0.03%.

The aerospace and defense company's shares have seen an increase of 0.89% over the last month, not keeping up with the Aerospace sector's gain of 6.94% and the S&P 500's gain of 5.28%.

The upcoming earnings release of Lockheed Martin will be of great interest to investors. The company's earnings per share (EPS) are projected to be $7.26, reflecting a 6.8% decrease from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $18.05 billion, reflecting a 4.96% fall from the equivalent quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $27.24 per share and a revenue of $66.63 billion, signifying shifts of +0.04% and +0.98%, respectively, from the last year.

Any recent changes to analyst estimates for Lockheed Martin should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.03% rise in the Zacks Consensus EPS estimate. Right now, Lockheed Martin possesses a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Lockheed Martin has a Forward P/E ratio of 16.48 right now. This expresses a discount compared to the average Forward P/E of 18.42 of its industry.

Meanwhile, LMT's PEG ratio is currently 1.91. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Aerospace - Defense industry had an average PEG ratio of 1.91 as trading concluded yesterday.

The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 56, putting it in the top 23% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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