Lockheed Martin (LMT) ended the recent trading session at $519.05, demonstrating a +1.37% change from the preceding day’s closing price. The stock’s performance was ahead of the S&P 500’s daily gain of 0.41%. Meanwhile, the Dow experienced a rise of 1.73%, and the technology-dominated Nasdaq saw a decrease of 0.09%.
The aerospace and defense company’s shares have seen a decrease of 0.43% over the last month, not keeping up with the Aerospace sector’s gain of 3.61% and the S&P 500’s gain of 4.59%.
The upcoming earnings release of Lockheed Martin will be of great interest to investors. On that day, Lockheed Martin is projected to report earnings of $7.09 per share, which would represent a year-over-year decline of 2.74%. Simultaneously, our latest consensus estimate expects the revenue to be $19.41 billion, showing a 6.9% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $29.88 per share and revenue of $79.05 billion, which would represent changes of +29.24% and +5.33%, respectively, from the prior year.
It’s also important for investors to be aware of any recent modifications to analyst estimates for Lockheed Martin. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts’ favorable outlook on the business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there’s been a 0.1% fall in the Zacks Consensus EPS estimate. As of now, Lockheed Martin holds a Zacks Rank of #3 (Hold).
Investors should also note Lockheed Martin’s current valuation metrics, including its Forward P/E ratio of 17.13. This represents a discount compared to its industry average Forward P/E of 22.31.
Meanwhile, LMT’s PEG ratio is currently 0.93. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. Aerospace – Defense stocks are, on average, holding a PEG ratio of 1.53 based on yesterday’s closing prices.
