Lockheed Martin Corporation (LMT - Free Report) is the largest U.S. defense contractor with a platform-centric focus that guarantees a steady inflow of follow-on orders from a leveraged presence in the Army, Air Force, Navy and IT programs.
However, a large percentage of Lockheed Martin’s business comes from the U.S. government. Hence, any cutback in the domestic defense budget is a potential risk for its future performance.
Estimate Trend & Surprise History
Investors should note that the second quarter Zacks Consensus Estimate for earnings of $3.10 per share has remained same over the last 30 days.
Coming to the earnings surprise, Lockheed Martin Corporation has surpassed the Zacks Consensus Estimate in the last four quarters, resulting in a positive average surprise of 13.88%.
Zacks Rank: Currently, Lockheed Martin has a Zacks Rank #3 (Hold) but that could change following its second quarter 2017 earnings report which has just released. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
We have highlighted some of the key details from the just-released announcement below:
Earnings: Lockheed Martin beat on earnings. Earnings per share came in at $3.23, beating the Zacks Consensus Estimate of $3.10 by 4.2%.
Revenue: Revenues of $12.69 billion also surpassed the Zacks Consensus Estimate of $12.46 billion by 1.8%.
Key Stats to Note: During the second quarter, net sales from Lockheed Martin’s Aeronautics segment increased 19% year over year, while the same form Rotary and Missions Systems increased 3%. Sales from Space Systems improved 9% and sales from Missiles and Fire Control segment decline 3%. The company repurchased 1.9 million shares for $500 million and paid cash dividends worth $525 million, during the quarter.
Stock Price: Following the earnings release, share prices for the company improved 2.3% in the pre-market trading session.
Check back later for our full write up on this Lockheed Martin earnings report later!
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