In the latest trading session, Lockheed Martin (LMT - Free Report) closed at $352.78, marking a +0.98% move from the previous day. This move outpaced the S&P 500's daily gain of 0.82%. Meanwhile, the Dow gained 0.82%, and the Nasdaq, a tech-heavy index, added 0.64%.
Coming into today, shares of the aerospace and defense company had gained 5.58% in the past month. In that same time, the Aerospace sector lost 1.02%, while the S&P 500 lost 4.58%.
Investors will be hoping for strength from LMT as it approaches its next earnings release. On that day, LMT is projected to report earnings of $4.72 per share, which would represent year-over-year growth of 9.51%. Meanwhile, our latest consensus estimate is calling for revenue of $14.16 billion, up 5.67% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.53 per share and revenue of $57.65 billion, which would represent changes of +16.71% and +7.24%, respectively, from the prior year.
Any recent changes to analyst estimates for LMT should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. LMT is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that LMT has a Forward P/E ratio of 17.02 right now. Its industry sports an average Forward P/E of 16.1, so we one might conclude that LMT is trading at a premium comparatively.
Investors should also note that LMT has a PEG ratio of 2.42 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Aerospace - Defense was holding an average PEG ratio of 1.79 at yesterday's closing price.
The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 83, putting it in the top 33% 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.
To follow LMT in the coming trading sessions, be sure to utilize Zacks.com.