Lockheed Martin (NYSE:LMT) Releases Earnings Results, Misses Estimates By $0.35 EPS

Lockheed Martin (NYSE:LMT) posted its earnings results on Thursday. The aerospace company reported $6.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $6.79 by ($0.35), FiscalAI reports. Lockheed Martin had a net margin of 6.69% and a return on equity of 108.53%. The firm had revenue of $18.02 billion during the quarter, compared to the consensus estimate of $18.38 billion. During the same quarter last year, the firm posted $7.28 EPS. The business’s revenue was up .3% on a year-over-year basis. Lockheed Martin updated its FY 2026 guidance to 29.350-30.250 EPS.

Here are the key takeaways from Lockheed Martin’s conference call:

• Lockheed announced a landmark $1.5 billion sale of 12 Block 70 F-16s to Peru—the first direct commercial F-16 sale in decades—and won additional international and program awards (including F-35 long?lead material contracts), underscoring sustained global demand for its aircraft portfolio.
• The company secured large munitions awards (including a $4.8 billion fully funded undefinitized PAC?3 contract and a prior ~$2.2 billion award) and is scaling production (PAC?3 3x, THAAD 4x) with construction/modernization of 20+ facilities to expand capacity and strengthen supply?chain resilience.
• Orion and Artemis II were highlighted as a near?flawless success, and Lockheed is assembling Orion spacecraft for Artemis III–V, reinforcing its leadership and revenue visibility in deep?space exploration programs.
• Q1 results showed flat sales of $18 billion, a segment operating profit decline to $1.8 billion and EPS of $6.44 (down 12%) driven by lower profit adjustments and mark?to?market losses; free cash flow was a use of $291 million (ERP implementation and working capital timing), though full?year guidance was reaffirmed.
• Lockheed is increasing innovation investments—expanding its Venture Fund to $1 billion, investing in Fortem for counter?UAS solutions, and centralizing AI work in a secure AI Center—which may drive long?term competitive advantage but has uncertain near?term financial impact.

Lockheed Martin Stock Performance

Shares of NYSE:LMT traded down $25.30 on Thursday, hitting $530.13. The company had a trading volume of 1,458,826 shares, compared to its average volume of 1,738,246. Lockheed Martin has a 1-year low of $410.11 and a 1-year high of $692.00. The stock has a market cap of $122.17 billion, a price-to-earnings ratio of 24.67, a P/E/G ratio of 1.02 and a beta of 0.23. The stock has a 50 day moving average price of $633.27 and a 200 day moving average price of $553.09. The company has a current ratio of 1.09, a quick ratio of 0.94 and a debt-to-equity ratio of 3.05.

Lockheed Martin Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 27th. Shareholders of record on Monday, March 2nd were issued a $3.45 dividend. This represents a $13.80 annualized dividend and a dividend yield of 2.6%. The ex-dividend date was Monday, March 2nd. Lockheed Martin’s payout ratio is currently 64.22%.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on LMT. Wall Street Zen downgraded shares of Lockheed Martin from a “strong-buy” rating to a “buy” rating in a research note on Sunday, March 22nd. The Goldman Sachs Group boosted their target price on shares of Lockheed Martin from $464.00 to $517.00 and gave the stock a “sell” rating in a research note on Monday, February 2nd. Royal Bank Of Canada boosted their target price on shares of Lockheed Martin from $615.00 to $650.00 and gave the stock a “sector perform” rating in a research note on Friday, January 30th. DZ Bank cut shares of Lockheed Martin from a “buy” rating to a “hold” rating and set a $665.00 price target for the company. in a research report on Tuesday, February 3rd. Finally, Susquehanna lifted their price target on shares of Lockheed Martin from $725.00 to $740.00 and gave the stock a “positive” rating in a research report on Wednesday, March 18th. Seven research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $646.16.

Institutional Investors Weigh In On Lockheed Martin

Several institutional investors and hedge funds have recently bought and sold shares of the company. Charles Schwab Investment Management Inc. lifted its position in Lockheed Martin by 1.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 8,638,936 shares of the aerospace company’s stock worth $4,178,399,000 after purchasing an additional 114,900 shares during the period. Morgan Stanley raised its holdings in Lockheed Martin by 10.1% in the 4th quarter. Morgan Stanley now owns 5,728,551 shares of the aerospace company’s stock valued at $2,770,729,000 after buying an additional 527,523 shares during the last quarter. AQR Capital Management LLC raised its holdings in Lockheed Martin by 107.3% during the 4th quarter. AQR Capital Management LLC now owns 1,293,823 shares of the aerospace company’s stock worth $625,784,000 after purchasing an additional 669,604 shares during the last quarter. Ameriprise Financial Inc. raised its holdings in Lockheed Martin by 16.6% during the 2nd quarter. Ameriprise Financial Inc. now owns 761,382 shares of the aerospace company’s stock worth $347,381,000 after purchasing an additional 108,553 shares during the last quarter. Finally, Raymond James Financial Inc. raised its holdings in Lockheed Martin by 2.3% during the 3rd quarter. Raymond James Financial Inc. now owns 618,673 shares of the aerospace company’s stock worth $308,847,000 after purchasing an additional 14,077 shares during the last quarter. Institutional investors own 74.19% of the company’s stock.

Lockheed Martin News Roundup

Here are the key news stories impacting Lockheed Martin this week:

• Positive Sentiment: Order and contract momentum: Peru selected 12 F?16 Block 70 jets and Lockheed announced recent contract awards and satellite/launch work, underlining steady demand for prime platforms and space capabilities. Peru Selects Lockheed Martin F-16 Block 70 Lockheed Martin wins $137M in defense contracts
• Neutral Sentiment: Guidance largely affirmed: Lockheed reaffirmed FY?2026 EPS guidance of $29.35–$30.25 and revenue guidance of $77.5B–$80.0B — roughly in line with prior outlook but slightly below some consensus assumptions. Lockheed Martin Reports First Quarter 2026 Financial Results (press release / slide deck)
• Neutral Sentiment: Analyst activity and technicals: Some houses have nudged price targets and analysts remain mixed — supportive for medium?term sentiment but not enough to offset the quarter’s operational misses. Bernstein adjusts Lockheed Martin price target
• Negative Sentiment: Earnings and cash?flow shortfall: Q1 EPS of $6.44 missed estimates, revenue of $18.02B was below consensus, net profit fell year?over?year, and free cash flow swung to about negative $291M — a key near?term driver of the stock’s decline. Lockheed Martin Stock Falls After Earnings Miss As Cash Flow Turns Negative Lockheed Martin posts lower quarterly profit as delays weigh
• Negative Sentiment: Operational headwinds: Management cited production slowdowns and higher costs on certain fixed?price contracts (including some F?16/C?130 program impacts), which constrained margins and cash generation this quarter. QZ: Lockheed Martin Q1 2026 earnings miss on F-16, C-130 delays

About Lockheed Martin

Lockheed Martin Corporation (NYSE: LMT) is a global aerospace and defense company that designs, develops and manufactures advanced technology systems for government and commercial customers. Formed through the 1995 merger of Lockheed Corporation and Martin Marietta, the company is headquartered in Bethesda, Maryland, and focuses on providing integrated solutions across air, space, land and sea domains. Its primary customers include the U.S. Department of Defense, NASA and allied governments around the world.

Lockheed Martin’s product and service portfolio spans military aircraft, missile and fire-control systems, missile defense, space systems and satellite technologies, sensors and precision weapons.