Lockheed Martin (NYSE:LMT) Releases Quarterly Earnings Results, Misses Estimates By $0.53 EPS

Lockheed Martin (NYSE:LMT) issued its earnings results on Thursday. The aerospace company reported $5.80 EPS for the quarter, missing analysts’ consensus estimates of $6.33 by ($0.53), FiscalAI reports. Lockheed Martin had a return on equity of 111.84% and a net margin of 5.73%.The company had revenue of $20.32 billion during the quarter, compared to analysts’ expectations of $19.84 billion. During the same quarter in the previous year, the company earned $7.67 EPS. The firm’s quarterly revenue was up 9.1% compared to the same quarter last year.

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

• Lockheed closed 2025 with a record backlog of $194 billion (about 2.5x annual sales), delivered 6% sales growth and generated $6.9 billion of free cash flow after pre-funding the pension—signaling strong demand and cash conversion.
• Management announced major production ramps and multi?year framework deals (PAC?3 MSE and THAAD) that are expected to expand PAC?3 annual capacity from ~600 to 2,000 missiles and underpin multi?year scale across munitions and interceptors.
• For 2026 Lockheed guided to ~5% sales growth (midpoint), segment operating profit growth of >25%, free cash flow of $6.5–6.8 billion, and sharply higher internal investment with CapEx + IRAD approaching $5 billion.
• Certain programs weighed on margins and EPS: Aeronautics operating profit fell (classified program reach?forward losses), RMS operating profit declined ~31% (CMHP/TUHP losses), and 2025 EPS was down 4% due to higher interest, tax and below?the?line items—highlighting near?term margin and program execution risks.

Lockheed Martin Stock Up 5.0%

Shares of NYSE:LMT traded up $30.14 during trading on Thursday, hitting $627.41. 1,721,407 shares of the company were exchanged, compared to its average volume of 2,146,679. The firm’s 50 day moving average price is $503.11 and its 200-day moving average price is $478.69. Lockheed Martin has a 12-month low of $410.11 and a 12-month high of $645.67. The company has a debt-to-equity ratio of 3.32, a current ratio of 1.13 and a quick ratio of 0.97. The stock has a market capitalization of $145.18 billion, a P/E ratio of 35.02, a PEG ratio of 1.70 and a beta of 0.24.

Lockheed Martin News Roundup

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

• Positive Sentiment: Company raised 2026 profit and revenue guidance above Wall Street estimates, citing sustained demand for fighters and weapons amid geopolitical tensions — supporting forward earnings visibility. Lockheed Martin forecasts upbeat 2026 profit, revenue amid rising geopolitical tensions
• Positive Sentiment: Reported a record backlog (reported $194B) and full-year 2025 sales growth — signals strong multi-year revenue visibility and supports cash flow. Lockheed Martin Reports Fourth Quarter and Full Year 2025 Financial Results
• Positive Sentiment: Signed a framework agreement with the U.S. Department of War to quadruple THAAD interceptor production to ~400 interceptors/year and to build a Munitions Acceleration Center — large, near-term production ramp that boosts defense revenue and backlog conversion. Lockheed Martin and U.S. Department of War Sign Framework Agreement to Quadruple THAAD Interceptor Production Capacity
• Positive Sentiment: Market narrative of rising Pentagon demand pushed shares to a new 52?week high as analysts and investors focus on the $194B backlog and production ramps. Pentagon Demand Drives Lockheed Martin Stock To 52-Week High With $194 Billion Backlog
• Positive Sentiment: Zacks published a revised Q4 EPS figure showing a beat (reported $7.43 vs. Zacks $6.24) — if sustained in analyst revisions this can lift near-term estimates. Lockheed Martin (LMT) Q4 Earnings Beat Estimates (Revised)
• Neutral Sentiment: Operational wins: latest GPS III satellite reached orbit and a Riyadh software factory was launched — technology and international expansion that support program wins but are lower immediate EPS drivers. Lockheed Martin’s newest GPS satellite reaches orbit
• Neutral Sentiment: Short interest fell ~14.8% in January — reduces one source of selling pressure but is not a direct fundamental change. (Data summarized from filings and market reporting.)
• Negative Sentiment: Conflicting Q4 EPS headlines: MarketBeat/Market releases and an earlier Zacks note reported Q4 EPS of $5.80 (a miss vs. consensus), creating confusion over actual EPS results and clouds near-term execution credibility. Lockheed Martin (LMT) Q4 Earnings Lag Estimates
• Negative Sentiment: Analyst previews flagged execution risks, higher costs and program charges that could pressure margins even with revenue growth — a watch item for next few quarters. Should You Buy, Hold or Sell LMT Stock Ahead of Q4 Earnings?

Wall Street Analyst Weigh In

LMT has been the subject of several recent research reports. UBS Group increased their price target on Lockheed Martin from $513.00 to $580.00 and gave the company a “neutral” rating in a report on Thursday, January 15th. Wall Street Zen downgraded Lockheed Martin from a “strong-buy” rating to a “buy” rating in a research note on Saturday, December 13th. Jefferies Financial Group boosted their price target on shares of Lockheed Martin from $500.00 to $540.00 and gave the company a “hold” rating in a research report on Monday, January 12th. BNP Paribas Exane upped their price objective on shares of Lockheed Martin from $550.00 to $570.00 and gave the company an “outperform” rating in a report on Thursday, January 8th. Finally, Robert W. Baird lifted their target price on shares of Lockheed Martin from $550.00 to $640.00 and gave the stock an “outperform” rating in a research note on Friday, January 16th. Five investment analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Lockheed Martin presently has an average rating of “Hold” and an average target price of $543.82.

Institutional Trading of Lockheed Martin

Several institutional investors and hedge funds have recently bought and sold shares of LMT. Sivia Capital Partners LLC increased its stake in shares of Lockheed Martin by 5.4% during the second quarter. Sivia Capital Partners LLC now owns 973 shares of the aerospace company’s stock worth $451,000 after acquiring an additional 50 shares during the period. Brighton Jones LLC boosted its holdings in Lockheed Martin by 5.0% in the 4th quarter. Brighton Jones LLC now owns 3,995 shares of the aerospace company’s stock valued at $1,941,000 after purchasing an additional 191 shares in the last quarter. Schnieders Capital Management LLC. boosted its holdings in Lockheed Martin by 17.3% in the 2nd quarter. Schnieders Capital Management LLC. now owns 1,460 shares of the aerospace company’s stock valued at $676,000 after purchasing an additional 215 shares in the last quarter. Palisade Asset Management LLC acquired a new position in Lockheed Martin during the 3rd quarter worth approximately $163,000. Finally, Invenio Wealth Partners LLC raised its stake in shares of Lockheed Martin by 6.8% during the 3rd quarter. Invenio Wealth Partners LLC now owns 506 shares of the aerospace company’s stock worth $253,000 after buying an additional 32 shares in the last quarter. Hedge funds and other institutional investors own 74.19% of the company’s stock.

Lockheed Martin Company Profile

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.