Lockheed Martin Stock Stumbles
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Lockheed Martin’s (NYSE:LMT) multi-year growth outlook is facing serious headwinds following a wave of unexpected charges and operational setbacks, prompting Truist Securities to downgrade the defense giant from Buy to Hold.
The defense contractors’ stocks move in opposite directions after Lockheed discloses $1.6 billion in losses on its legacy defense business.
Lockheed Martin reported on Tuesday that its second-quarter profit plunged by about 80%, after the U.S. defense group recorded a pretax loss of $1.6 billion, mainly linked to a classified program within its Aeronautics segment,
Lockheed Martin faces $1.8B charges, negative cash flow, and a 10% stock drop despite strong demand. Find out why LMT stock is a Buy.
The company also cut its 2025 operating profit outlook by $1.5 billion to $6.65 billion. The charge included $950 million related to the undisclosed program and $570 million connected to issues with Canada's CH-148 Cyclone helicopter deal.
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Although Lockheed executives remain bullish on the secretive programme's long-term prospects, the effort generated $950 million in losses during the recent second quarter, tied to setbacks with design,
I maintain a bullish stance on the defense sector, and I'm bullish on both RTX as well as Lockheed Martin (LMT). See why RTX takes the crown in this matchup.
Lockheed Martin has disclosed a significant decrease in net earnings for the second quarter of fiscal 2025 (Q2 FY25), reporting $342m compared to the $1.64bn recorded in the corresponding period of the previous year.
Lockheed Martin’s quarterly profit was hit by more than $1.7 billion in charges during the second quarter.
Lockheed Martin Corp. caught investors off guard with $1.6 billion in charges and a possible tax hit that sent its stock tumbling, the latest setback for the defense giant whose popular F-35 jet faces criticism over cost overruns and delays.