Lockheed Martin Corp. (LMT) Upgraded to Hold by Zacks Investment Research
According to Zacks, “Recently Lockheed Martin declared a handsome hike of 10.3% in its quarterly dividend. Meanwhile management authorized additional share repurchase of $2 billion, indicating the strong capital structure Lockheed currently bears. Moreover, the company's solid outlook, impressive revenue growth, and potential share buybacks remain major positives. Steady flow of contracts from the Pentagon reveals its inherent strength. Its growing international mix and new positive defense budget revisions will likely act as a major tailwind. However, the recent temporary grounding of 15 F-35A aircrafts of Lockheed Martin might hamper the reputation of this top-rated defense prime. Moreover, the threat of sequestration still lurks over this defense major, as it draws a major portion of its revenues from the defense department. The weak backlog also remains a major concern. “
Other equities analysts have also recently issued research reports about the stock. Citigroup Inc. restated a buy rating and set a $284.00 target price (up previously from $239.00) on shares of Lockheed Martin Corp. in a research note on Tuesday, September 6th. Argus reiterated a buy rating and issued a $290.00 price objective on shares of Lockheed Martin Corp. in a research note on Friday, August 5th. Drexel Hamilton reiterated a buy rating and issued a $284.00 price objective on shares of Lockheed Martin Corp. in a research note on Wednesday, July 20th. Vetr cut shares of Lockheed Martin Corp. from a buy rating to a hold rating and set a $255.00 price objective on the stock. in a research note on Monday, July 4th. Finally, Jefferies Group reiterated a hold rating on shares of Lockheed Martin Corp. in a research note on Wednesday, August 3rd. One research analyst has rated the stock with a sell rating, nine have given a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company’s stock. The stock presently has a consensus rating of Hold and a consensus target price of $257.32.
Lockheed Martin Corp. (NYSE:LMT) opened at 239.72 on Tuesday. Lockheed Martin Corp. has a 1-year low of $200.47 and a 1-year high of $266.93. The firm has a 50-day moving average of $245.78 and a 200-day moving average of $241.05. The stock has a market cap of $72.61 billion, a PE ratio of 19.96 and a beta of 0.59.
Lockheed Martin Corp. (NYSE:LMT) last posted its earnings results on Tuesday, July 19th. The company reported $3.32 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $2.93 by $0.39. The business had revenue of $12.90 billion for the quarter, compared to analysts’ expectations of $12.56 billion. Lockheed Martin Corp. had a net margin of 7.37% and a return on equity of 119.66%. During the same quarter in the prior year, the business earned $2.94 EPS. Analysts expect that Lockheed Martin Corp. will post $11.75 EPS for the current fiscal year.
The firm also recently announced a quarterly dividend, which will be paid on Friday, December 30th. Investors of record on Thursday, December 1st will be issued a $1.82 dividend. The ex-dividend date is Tuesday, November 29th. This is a positive change from Lockheed Martin Corp.’s previous quarterly dividend of $1.65. This represents a $7.28 dividend on an annualized basis and a dividend yield of 3.04%. Lockheed Martin Corp.’s dividend payout ratio (DPR) is 56.51%.
In related news, insider Sondra L. Barbour sold 66,460 shares of the firm’s stock in a transaction on Wednesday, August 3rd. The shares were sold at an average price of $255.74, for a total value of $16,996,480.40. Following the completion of the transaction, the insider now directly owns 31,200 shares of the company’s stock, valued at $7,979,088. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Orlando D. Carvalho sold 12,700 shares of the firm’s stock in a transaction on Friday, July 22nd. The shares were sold at an average price of $254.78, for a total transaction of $3,235,706.00. Following the completion of the transaction, the insider now directly owns 29,120 shares of the company’s stock, valued at $7,419,193.60. The disclosure for this sale can be found here. 0.42% of the stock is currently owned by corporate insiders.
Hedge funds and other institutional investors have recently bought and sold shares of the stock. Capital World Investors increased its stake in shares of Lockheed Martin Corp. by 1.4% in the second quarter. Capital World Investors now owns 26,593,437 shares of the company’s stock worth $6,599,693,000 after buying an additional 365,700 shares in the last quarter. Vanguard Group Inc. increased its stake in shares of Lockheed Martin Corp. by 1.9% in the second quarter. Vanguard Group Inc. now owns 18,123,295 shares of the company’s stock worth $4,497,658,000 after buying an additional 343,507 shares in the last quarter. Wellington Management Group LLP increased its stake in shares of Lockheed Martin Corp. by 5.9% in the first quarter. Wellington Management Group LLP now owns 10,282,849 shares of the company’s stock worth $2,277,650,000 after buying an additional 571,953 shares in the last quarter. BlackRock Fund Advisors increased its stake in shares of Lockheed Martin Corp. by 4.1% in the second quarter. BlackRock Fund Advisors now owns 6,532,416 shares of the company’s stock worth $1,621,150,000 after buying an additional 257,451 shares in the last quarter. Finally, Ameriprise Financial Inc. increased its stake in shares of Lockheed Martin Corp. by 24.5% in the second quarter. Ameriprise Financial Inc. now owns 4,281,109 shares of the company’s stock worth $1,063,128,000 after buying an additional 843,822 shares in the last quarter. 83.79% of the stock is owned by hedge funds and other institutional investors.
Lockheed Martin Corp. Company Profile
Lockheed Martin Corporation is a global security and aerospace company. The Company is engaged in the research, design, integration and sustainment of advanced technology systems, products and services. It operates in five segments: Aeronautics; Information Systems & Global Solutions (IS&GS); Missiles and Fire Control (MFC); Mission Systems and Training (MST), and Space Systems.
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