Lockheed Martin Corporation (LMT) Monthly Stock Report - January 02, 2026

Company Overview

Lockheed Martin Corporation, headquartered in Bethesda, Maryland, stands as a leader in the aerospace and defense industry, operating within the broader Industrials sector. Established in 1912, Lockheed Martin has built a formidable reputation through its focus on advanced technology systems, products, and services. The company operates through four primary segments:

1. Aeronautics: Specializing in combat and air mobility aircraft.
2. Missiles and Fire Control (MFC): Offering air and missile defense systems.
3. Rotary and Mission Systems (RMS): Providing military and commercial helicopters, alongside naval systems.
4. Space: Developing satellites and space transportation systems focused on national security.

With a broad customer base that predominantly includes the U.S. government as well as international allies, Lockheed Martin plays a pivotal role in maintaining national security and advancing aerospace technologies globally.

52-Week Price Performance Analysis

52-Week Price Performance Chart

Examining the stock's performance over the past year, Lockheed Martin (LMT) displayed moderate trading within a defined range. The current price stands at $483.67, situated between a 52-week high of $516.00 and a 52-week low of $410.11. This positioning demonstrates a generally stable performance, with fluctuations reflecting both bullish and bearish market sentiments.

The stock has formed an upward-sloping green trendline, indicative of a generally bullish trend. Notably, it has established several higher lows and higher highs throughout the year, signaling resilience. A crucial support level exists around $460, while the stock has encountered resistance near the current trading price of $483.67. As of now, the stock is trading above its 50-day moving average of $471.41, which suggests a positive trajectory in short-term momentum.

While recent price action shows the stock in a consolidation phase after pulling back from its September high, its ability to rebound and maintain above the trendline presents a potentially bullish setup. Investors should watch for a breakout above the $483.67 resistance level to confirm further upside potential, as this could indicate renewed momentum.

Financial Performance and Metrics

Lockheed Martin's financial health remains strong, with reported total revenue totaling approximately $73.35 billion. This figure underscores the company's solid market demand and effective revenue generation capabilities.

Key financial metrics include: - EBITDA: Approximately $7.26 billion, indicating operational efficiency. - Shares Outstanding: 231,397,796 shares, with 2,901,357 shares held short, representing around 0.0149% of total float. This low short interest suggests limited bearish sentiment toward the stock.

The current trading price of $483.67 reflects both a target high of $590.00 and a mean target price of approximately $523.95. These valuations signify a potential upside, but the variance in target prices also highlights inherent risks. The stock's debt-to-equity ratio should be monitored closely, as it is critical in assessing the company's financial leverage and risk profile.

Recent News and Developments

Recent developments surrounding Lockheed Martin have caused a stir in the market. Noteworthy events include:

• Morgan Stanley's Downgrade: On December 16, 2025, analysts downgraded Lockheed Martin from "Overweight" to "Equalweight," lowering their price target from $630 to $543. This downgrade stems from concerns regarding the company's growth prospects and its vulnerability to emerging defense technologies.

• Bernstein's Price Target Revision: In contrast, Bernstein raised its target price to $545, citing a robust outlook supported by substantial orders for programs like the F-35 and CH-53K.

• White House Regulatory Concerns: Potential executive orders that may limit dividends, stock buybacks, and executive compensation for defense contractors have created uncertainty, leading to a 1.5% premarket decline for Lockheed Martin shares.

On a positive note, Lockheed Martin has declared a fourth-quarter 2025 dividend of $3.45 per share, marking a 5% increase and highlighting the company's commitment to returning value to shareholders. The board has also authorized up to $2 billion for share repurchases, strengthening investor confidence.

Market Sentiment and Analyst Recommendations

The market sentiment surrounding Lockheed Martin reflects cautious optimism, with an analyst consensus rating leaning toward a "hold." The average recommendation score stands at 2.62, based on 19 analyst opinions, which suggests that while there's recognition of the stock's potential, analysts advocate for maintaining current investments rather than aggressively buying or selling.

Analysts have provided a price target range that spans from a low of $430.00 to a high of $590.00, with a mean target of approximately $523.95 and a median target slightly higher at $530.00. This suggests limited short-term volatility but also indicates potential for growth if the macroeconomic environment stabilizes.

Moreover, investor interest remains buoyed by the company's continuous dividend growth, increasing investor confidence, especially given the 23rd consecutive year of dividend increases.

In conclusion, Lockheed Martin Corporation continues to exhibit strength in a challenging market environment. Despite facing regulatory uncertainties and mixed analyst ratings, the fundamentals show resilience through solid revenue and a commitment to shareholder returns. Investors should remain vigilant, monitoring key resistance levels and broader market conditions as they assess their positions in this prominent aerospace and defense company.