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Lockheed Martin (LMT) Declines More Than Market: Some Information for Investors

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Lockheed Martin (LMT - Free Report) ended the recent trading session at $463.96, demonstrating a -1.12% change from the preceding day's closing price. This change lagged the S&P 500's 0.01% loss on the day. Meanwhile, the Dow lost 0.32%, and the Nasdaq, a tech-heavy index, added 0.05%.

Coming into today, shares of the aerospace and defense company had gained 0.13% in the past month. In that same time, the Aerospace sector gained 6.62%, while the S&P 500 gained 5.37%.

Analysts and investors alike will be keeping a close eye on the performance of Lockheed Martin in its upcoming earnings disclosure. The company's earnings report is set to go public on July 22, 2025. In that report, analysts expect Lockheed Martin to post earnings of $6.49 per share. This would mark a year-over-year decline of 8.72%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.56 billion, up 2.44% from the year-ago period.

For the full year, the Zacks Consensus Estimates are projecting earnings of $27.21 per share and revenue of $74.32 billion, which would represent changes of -4.43% and +4.62%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Lockheed Martin. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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, the Zacks Consensus EPS estimate has moved 0.21% lower. As of now, Lockheed Martin holds a Zacks Rank of #4 (Sell).

In terms of valuation, Lockheed Martin is currently trading at a Forward P/E ratio of 17.24. Its industry sports an average Forward P/E of 25.34, so one might conclude that Lockheed Martin is trading at a discount comparatively.

We can also see that LMT currently has a PEG ratio of 1.64. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Aerospace - Defense industry currently had an average PEG ratio of 2.07 as of yesterday's close.

The Aerospace - Defense industry is part of the Aerospace sector. Currently, this industry holds a Zacks Industry Rank of 86, positioning it in the top 35% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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