Lockheed Martin (LMT - Free Report) closed the most recent trading day at $369.77, moving +0.16% from the previous trading session. This change outpaced the S&P 500's 0.12% gain on the day. At the same time, the Dow lost 0.08%, and the tech-heavy Nasdaq gained 0.54%.
Coming into today, shares of the aerospace and defense company had gained 5% in the past month. In that same time, the Aerospace sector gained 1.56%, while the S&P 500 gained 3.68%.
LMT will be looking to display strength as it nears its next earnings release, which is expected to be July 23, 2019. In that report, analysts expect LMT to post earnings of $4.72 per share. This would mark 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.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $20.50 per share and revenue of $58 billion. These totals would mark changes of +16.54% and +7.88%, respectively, from last year.
Any recent changes to analyst estimates for LMT should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.12% lower within the past month. LMT currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that LMT has a Forward P/E ratio of 18.01 right now. Its industry sports an average Forward P/E of 16.7, so we one might conclude that LMT is trading at a premium comparatively.
Also, we should mention that LMT has a PEG ratio of 2.56. 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 1.93 based on yesterday's closing prices.
The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 52, putting it in the top 21% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.