Lockheed Martin Corporation (NYSE:LMT) has garnered a consensus recommendation of “Hold” from twenty-five brokerages recently analyzing the stock, according to MarketBeat Ratings. This evaluation reflects a range of perspectives, with one analyst suggesting a sell, fifteen recommending a hold, seven advising a buy, and two assigning a strong buy rating. The average 1-year price target across these brokerages stands at $515.50.
Several analysts have recently updated their positions on Lockheed Martin. Notably, Robert W. Baird increased its price target from $500.00 to $550.00, while maintaining an “outperform” rating in a report dated October 6. BNP Paribas elevated the stock to a “strong buy” on November 18, indicating increasing confidence in the company’s prospects. Conversely, UBS Group adjusted its target price down slightly from $514.00 to $513.00, assigning a “neutral” rating. Deutsche Bank Aktiengesellschaft set a price target of $519.00 and kept a “hold” rating on October 8, whereas Sanford C. Bernstein raised their price objective from $497.00 to $545.00, rating the stock as “market perform” on October 20.
Institutional Activity and Stock Performance
Recent trading activity indicates a strong interest from institutional investors in Lockheed Martin shares. Vanguard Group Inc. raised its stake by 1.0% in the second quarter, now owning 21,697,527 shares valued at approximately $10.05 billion. Charles Schwab Investment Management Inc. increased its ownership by 7.5%, holding 8,031,528 shares worth around $3.59 billion. Similarly, Geode Capital Management LLC and Wellington Management Group LLP also boosted their holdings, demonstrating a healthy institutional interest in the stock.
As of the latest trading session, Lockheed Martin shares opened at $447.95. The stock has experienced a modest increase of 0.3%, maintaining a fifty-day moving average of $479.53 and a two-hundred-day average of $465.83. Over the past year, the stock has fluctuated between a low of $410.11 and a high of $520.56. The company holds a market capitalization of $103.66 billion and a price-to-earnings ratio of 25.01.
Lockheed Martin’s most recent quarterly earnings report, released on October 21, showed a strong performance. The company reported earnings per share (EPS) of $6.95, surpassing the consensus estimate of $6.33 by $0.62. Revenue for the quarter reached $18.61 billion, exceeding expectations of $18.45 billion. This represents an 8.8% increase compared to the same period last year, when the firm reported $6.84 EPS.
Dividend Increase and Future Outlook
In an encouraging move for investors, Lockheed Martin has announced an increase in its quarterly dividend, now set at $3.45 per share, payable on December 30. This marks an increase from the previous dividend of $3.30. Shareholders of record on December 1 will benefit from this change, resulting in an annualized dividend of $13.80 and a dividend yield of 3.1%. The company’s dividend payout ratio currently stands at 77.05%.
Looking ahead, Lockheed Martin has provided guidance for the fiscal year 2025, projecting EPS in the range of $22.150 to $22.350. Analysts anticipate the company will report an average EPS of $27.15 for the current year.
Lockheed Martin continues to be a significant player in the aerospace and defense sector, engaged in the design, development, and manufacture of advanced technology systems and services globally. The company operates through several segments, including Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space, reflecting its diverse portfolio and strategic focus on innovation.
