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Is LMT Expanding F-35 Capabilities to Strengthen Air Dominance?

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Key Takeaways

  • LMT continues enhancing the F-35, built to share real-time battlefield data across joint forces.
  • LMT is adding JASSM and LRASM weapons to expand the F-35's long-range strike capability.
  • LMT won a $700.4M contract for materials to support future F-35 production.

Lockheed Martin Corporation (LMT - Free Report) continues to strengthen its position in advanced combat aircraft through the F-35 Lightning II program. As defense strategies increasingly focus on networked and multi-domain operations, the F-35 plays an important role in helping the United States and its allies maintain air superiority while improving coordination across air, land, sea, space and cyber domains.

The F-35 is designed to be more than a traditional fighter jet. With advanced sensors and secure communication systems, the aircraft can collect and share real-time battlefield data with other military platforms. This allows it to act as a central node in modern joint-force operations, improving situational awareness and enabling faster decision-making during missions.

LMT is also expanding the aircraft’s capabilities by integrating advanced weapons such as the Joint Air-to-Surface Standoff Missile and the Long Range Anti-Ship Missile. These upgrades are expected to enhance the F-35’s ability to conduct long-range precision strikes against both land and maritime targets.

The company continues to support global production of the aircraft as well. Recently, LMT received a $700.4 million contract to procure long-lead materials and components for future F-35 production lots, including aircraft intended for Denmark and other international partners.

With continuous upgrades and steady global demand, the F-35 remains a key platform in modern airpower and supports Lockheed Martin’s long-term growth in the combat aircraft market.

Other Stocks to Keep on the Watchlist

Other aerospace companies that are likely to benefit from the expanding global military aviation market are discussed below:

Northrop Grumman Corporation (NOC - Free Report) : Northrop is a provider of manned and unmanned air systems. It builds some of the world’s most advanced combat aircraft, like the E-2C Hawkeye 2000, A-10 Thunderbolt II, B-2 Stealth Bomber aircraft and many more.

Embraer (EMBJ - Free Report) : The company offers a comprehensive portfolio of the most advanced aircraft in the combat market, which includes the A-29 Super Tucano light attack and advanced trainer and the C-390 Millennium military multi-mission aircraft.

The Zacks Rundown for LMT

Shares of LMT have surged 38.8% in the past year compared with the industry’s 34.7% growth.

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Image Source: Zacks Investment Research

The company shares are trading at a discount on a relative basis, with its forward 12-month Price/Earnings being 21.41X compared with its industry’s average of 33.05X.

Zacks Investment Research
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for LMT’s 2026 and 2027 earnings has moved north over the past 60 days.

Zacks Investment Research
Image Source: Zacks Investment Research

LMT stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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