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Lockheed Martin (LMT) Rises Higher Than Market: Key Facts

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In the latest market close, Lockheed Martin (LMT - Free Report) reached $427.55, with a +0.77% movement compared to the previous day. The stock outpaced the S&P 500's daily gain of 0.13%. On the other hand, the Dow registered a gain of 0.13%, and the technology-centric Nasdaq decreased by 0.32%.

The the stock of aerospace and defense company has fallen by 3.5% in the past month, lagging the Aerospace sector's gain of 1.7% and the S&P 500's gain of 2.99%.

Market participants will be closely following the financial results of Lockheed Martin in its upcoming release. The company is expected to report EPS of $5.89, down 8.4% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $15.91 billion, indicating a 5.18% growth compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates project earnings of $26.31 per share and a revenue of $69.17 billion, demonstrating changes of -5.43% and +2.37%, respectively, from the preceding year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Lockheed Martin. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 1.92% fall in the Zacks Consensus EPS estimate. As of now, Lockheed Martin holds a Zacks Rank of #4 (Sell).

Digging into valuation, Lockheed Martin currently has a Forward P/E ratio of 16.13. This expresses a discount compared to the average Forward P/E of 17.41 of its industry.

Investors should also note that LMT has a PEG ratio of 3.85 right now. 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. Aerospace - Defense stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.

The Aerospace - Defense industry is part of the Aerospace sector. Currently, this industry holds a Zacks Industry Rank of 76, positioning it in the top 31% of all 250+ industries.

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.

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

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