Lumbard & Kellner LLC has significantly increased its investment in Lockheed Martin Corporation (NYSE: LMT), acquiring an additional 4,645 shares during the second quarter of 2023. This purchase represents an impressive growth of 88.9% in their holdings, bringing the total to 9,872 shares. According to a recent disclosure to the Securities & Exchange Commission, Lockheed Martin now constitutes approximately 2.0% of Lumbard & Kellner’s investment portfolio, marking it as the fund’s 21st largest holding. By the end of the second quarter, these shares were valued at about $4,572,000.
Various institutional investors have also made adjustments to their stakes in Lockheed Martin. Notably, Mid American Wealth Advisory Group Inc. initiated a new position in the company valued at approximately $28,000. Other investors, such as Frazier Financial Advisors LLC and MTM Investment Management LLC, entered new positions worth $34,000 and $36,000, respectively. GFG Capital LLC acquired shares valued at around $43,000. Bernard Wealth Management Corp. notably increased its holdings by 251.9% during the same quarter, now owning 95 shares valued at $44,000. Collectively, institutional investors and hedge funds hold approximately 74.19% of Lockheed Martin’s shares.
Analysts Adjust Price Targets for Lockheed Martin
Lockheed Martin has captured the attention of analysts, leading to several revisions in price targets. The Royal Bank of Canada raised its target price from $440.00 to $525.00 and maintained a “sector perform” rating on October 7, 2023. In contrast, Bank of America lowered its target from $495.00 to $480.00, indicating a “neutral” rating.
Other analysts have shown increased optimism. Wall Street Zen upgraded Lockheed Martin from a “buy” to a “strong-buy” rating on November 22, 2023. Additionally, BNP Paribas Exane initiated coverage with an “outperform” rating and a price target of $550.00. Currently, two investment analysts rate the stock as a “strong buy,” while seven recommend a “buy,” fifteen suggest “hold,” and one analyst has issued a “sell” rating. According to data from MarketBeat, the average rating stands at “hold,” with a consensus target price of $515.50.
Lockheed Martin’s Stock Performance and Financial Outlook
On October 23, 2023, Lockheed Martin shares opened at $457.44, with a market capitalization of $105.85 billion. The company has a price-to-earnings ratio of 25.54 and a PEG ratio of 1.69. Lockheed Martin’s financial metrics indicate a current ratio of 1.13, a quick ratio of 0.97, and a debt-to-equity ratio of 3.32. The stock’s 50-day moving average price is $482.77, while the 200-day moving average price stands at $466.44. Over the past year, shares have fluctuated between a low of $410.11 and a high of $529.48.
Lockheed Martin’s recent quarterly earnings report, released on October 21, 2023, revealed earnings per share (EPS) of $6.95, exceeding analysts’ expectations of $6.33 by $0.62. The company reported a net margin of 5.73% and a remarkable return on equity of 111.84%. Revenue for the quarter reached $18.61 billion, surpassing the forecast of $18.45 billion, representing an 8.8% year-over-year increase. Looking ahead, Lockheed Martin has set its fiscal year 2025 guidance at EPS between $22.150 and $22.350.
In conjunction with its financial performance, Lockheed Martin has announced a quarterly dividend of $3.45 per share, payable on December 30, 2023. Shareholders on record by December 1, 2023, will receive this dividend, which marks an increase from the previous quarterly dividend of $3.30. This translates to an annualized dividend of $13.80 and a yield of 3.0%, with a current dividend payout ratio of 77.05%.
In related news, Chief Operating Officer John Frank A. St sold 7,792 shares of the company’s stock on October 23, 2023, at an average price of $491.04, totaling approximately $3,826,183.68. Following this transaction, the COO retains only one share valued at $491.04. Company insiders own 0.14% of Lockheed Martin’s stock.
Lockheed Martin Corporation engages in the research, design, development, manufacture, integration, and sustainment of various technology systems, products, and services globally. The company operates through multiple segments, including Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space.
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