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

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

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 Performance

Shares of LMT opened at $623.17 on Friday. The firm has a fifty day moving average of $506.21 and a 200-day moving average of $479.69. The company has a market cap of $144.20 billion, a price-to-earnings ratio of 34.79, a price-to-earnings-growth ratio of 1.71 and a beta of 0.24. The company has a debt-to-equity ratio of 3.32, a quick ratio of 0.97 and a current ratio of 1.13. Lockheed Martin has a 1 year low of $410.11 and a 1 year high of $645.67.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the business. Ameriprise Financial Inc. boosted its holdings in shares of Lockheed Martin by 16.6% in the second quarter. Ameriprise Financial Inc. now owns 761,382 shares of the aerospace company’s stock valued at $347,381,000 after acquiring an additional 108,553 shares in the last quarter. Raymond James Financial Inc. increased its stake in Lockheed Martin by 2.3% in 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 in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of Lockheed Martin by 1.7% in the 3rd quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 486,544 shares of the aerospace company’s stock valued at $242,888,000 after acquiring an additional 8,300 shares in the last quarter. Worldquant Millennium Advisors LLC boosted its position in shares of Lockheed Martin by 17.7% in the second quarter. Worldquant Millennium Advisors LLC now owns 430,614 shares of the aerospace company’s stock worth $199,435,000 after buying an additional 64,812 shares during the period. Finally, California State Teachers Retirement System boosted its position in Lockheed Martin by 0.9% during the 3rd quarter. California State Teachers Retirement System now owns 341,680 shares of the aerospace company’s stock worth $170,570,000 after acquiring an additional 2,998 shares during the period. Institutional investors own 74.19% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on LMT. The Goldman Sachs Group lifted their price target on shares of Lockheed Martin from $398.00 to $425.00 and gave the company a “sell” rating in a research report on Friday, October 10th. Truist Financial set a $605.00 target price on shares of Lockheed Martin and gave the company a “buy” rating in a report on Friday, January 9th. TD Cowen increased their price target on Lockheed Martin from $520.00 to $600.00 and gave the company a “hold” rating in a report on Wednesday, January 14th. Deutsche Bank Aktiengesellschaft cut their price objective on Lockheed Martin from $517.00 to $492.00 and set a “hold” rating on the stock in a research report on Wednesday, December 10th. Finally, BNP Paribas Exane upped their target price on Lockheed Martin from $550.00 to $570.00 and gave the stock an “outperform” rating in a research report on Thursday, January 8th. Five research analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $543.82.

More Lockheed Martin News

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

• Positive Sentiment: Company outlook and Pentagon demand — Lockheed reiterated an optimistic 2026 revenue/profit outlook and cited continued strong demand for fighter jets and weapons, which investors view as durable tailwinds supporting revenue growth. Reuters: Lockheed Martin forecasts upbeat 2026 profit, revenue
• Positive Sentiment: THAAD production ramp and new facilities — Lockheed signed a framework with the U.S. Defense Department to roughly quadruple THAAD interceptor output and will build a Munitions Acceleration Center, directly boosting near‑term production revenue and long‑term program scaling. PR Newswire: Framework to Quadruple THAAD Production
• Positive Sentiment: Record backlog and strong cash flow — Management reported a record $194 billion backlog and robust cash generation (full‑year operating cash flow and free cash flow remain strong), supporting revenue visibility and shareholder returns. PR Newswire: Q4 and Full Year 2025 Results
• Neutral Sentiment: FY‑2026 guidance is mixed — Revenue guidance of $77.5B–$80.0B has a midpoint above Street estimates, but EPS guidance of 29.35–30.25 is narrowly below consensus; investors are parsing upside in sales vs. margin/earnings risk. Reuters: Forecasts and Guidance
• Neutral Sentiment: Q4 results show strong revenue but mixed EPS comparisons — Revenue rose ~9% Y/Y with record F‑35 deliveries, but EPS comparisons to prior year and some consensus estimates were mixed across outlets, creating short‑term debate on profitability trends. Quiver Quant: Q4 2025 Earnings, Cash Flow
• Negative Sentiment: Quarterly EPS misses and mixed analyst reads — Some reports flagged an EPS miss versus certain consensus figures and year‑ago EPS declines, which tempers the upside from revenue growth and raises margin/expense scrutiny. MarketBeat: Q4 Earnings Summary and Call
• Negative Sentiment: Insider selling noted — Recent open‑market insider sales were recorded, which some investors watch as a minor negative signal on insider sentiment. Quiver Quant: Insider Trading Details

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.