Lockheed Martin Corp. (NYSE:LMT) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Wednesday.
According to Zacks, “The recent temporay grounding of 15 F-35A aircrafts of Lockheed Martin might have hampered the reputaton of this top-rated defense prime ; as is evident from the 1.8% fall witnessedin currrent quarter estimates provided by analysts for the company, in trailing 30 days. Moreover, the threat of sequestration still lurks over this defense major, as it draws a major portion of its revenues from the defense department. The weak backlog also remains a major concern. On a bright note, company's solid outlook, impressive revenue growth, and potential share buybacks are positives. Steady flow of contracts from the Pentagon reveals its inherent strength. Its growing international mix and new positive defense budget revisions will likely act as a major tailwind.”
A number of other equities research analysts also recently commented on LMT. Royal Bank Of Canada upgraded Lockheed Martin Corp. from a “sector perform” rating to an “outperform” rating and upped their price objective for the company from $220.00 to $250.00 in a report on Wednesday, June 1st. Drexel Hamilton reiterated a “buy” rating and issued a $284.00 price objective on shares of Lockheed Martin Corp. in a report on Wednesday, July 20th. Berenberg Bank downgraded Lockheed Martin Corp. from a “buy” rating to a “hold” rating and upped their price objective for the company from $250.00 to $260.00 in a report on Tuesday, May 31st. Jefferies Group reiterated a “hold” rating on shares of Lockheed Martin Corp. in a report on Wednesday, August 3rd. Finally, Argus upped their price objective on Lockheed Martin Corp. from $255.00 to $290.00 and gave the company a “buy” rating in a report on Wednesday, July 20th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating, six have given a buy rating and one has assigned a strong buy rating to the company. Lockheed Martin Corp. has an average rating of “Hold” and an average price target of $257.32.
Shares of Lockheed Martin Corp. (NYSE:LMT) opened at 246.62 on Wednesday. Lockheed Martin Corp. has a one year low of $199.01 and a one year high of $266.93. The stock’s 50 day moving average price is $248.57 and its 200 day moving average price is $239.85. The firm has a market capitalization of $74.70 billion, a price-to-earnings ratio of 20.54 and a beta of 0.58.
Lockheed Martin Corp. (NYSE:LMT) last released its earnings results on Tuesday, July 19th. The company reported $3.32 earnings per share for the quarter, topping analysts’ consensus estimates of $2.93 by $0.39. The company earned $12.90 billion during the quarter, compared to the consensus estimate of $12.56 billion. Lockheed Martin Corp. had a return on equity of 119.66% and a net margin of 7.37%. During the same quarter in the previous year, the company posted $2.94 earnings per share. Analysts expect that Lockheed Martin Corp. will post $11.75 EPS for the current fiscal year.
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 30th. Stockholders of record on Thursday, December 1st will be given a $1.82 dividend. This is a positive change from Lockheed Martin Corp.’s previous quarterly dividend of $1.65. This represents a $7.28 annualized dividend and a dividend yield of 2.95%. Lockheed Martin Corp.’s dividend payout ratio (DPR) is 56.51%.
In other news, insider Sondra L. Barbour sold 66,460 shares of Lockheed Martin Corp. stock in a transaction dated Wednesday, August 3rd. The stock was sold at an average price of $255.74, for a total value of $16,996,480.40. Following the completion of the transaction, the insider now directly owns 31,200 shares of the company’s stock, valued at approximately $7,979,088. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Orlando D. Carvalho sold 12,700 shares of Lockheed Martin Corp. stock in a transaction dated Friday, July 22nd. The stock was sold at an average price of $254.78, for a total value of $3,235,706.00. Following the completion of the transaction, the insider now directly owns 29,120 shares of the company’s stock, valued at $7,419,193.60. The disclosure for this sale can be found here. 0.42% of the stock is owned by insiders.
Several hedge funds and other institutional investors have recently bought and sold shares of LMT. Capital World Investors raised its position in Lockheed Martin Corp. by 1.4% in the second quarter. Capital World Investors now owns 26,593,437 shares of the company’s stock valued at $6,599,693,000 after buying an additional 365,700 shares during the period. Vanguard Group Inc. raised its stake in shares of Lockheed Martin Corp. by 1.9% in the second quarter. Vanguard Group Inc. now owns 18,123,295 shares of the company’s stock worth $4,497,658,000 after buying an additional 343,507 shares during the last quarter. Wellington Management Group LLP raised its stake in shares of Lockheed Martin Corp. by 5.9% in the first quarter. Wellington Management Group LLP now owns 10,282,849 shares of the company’s stock worth $2,277,650,000 after buying an additional 571,953 shares during the last quarter. BlackRock Fund Advisors raised its stake in shares of Lockheed Martin Corp. by 4.1% in the second quarter. BlackRock Fund Advisors now owns 6,532,416 shares of the company’s stock worth $1,621,150,000 after buying an additional 257,451 shares during the last quarter. Finally, Ameriprise Financial Inc. raised its stake in shares of Lockheed Martin Corp. by 24.5% in the second quarter. Ameriprise Financial Inc. now owns 4,281,109 shares of the company’s stock worth $1,063,128,000 after buying an additional 843,822 shares during the last quarter. 81.20% of the stock is owned by hedge funds and other institutional investors.
Lockheed Martin Corp. Company Profile
Lockheed Martin Corporation is a global security and aerospace company. The Company is engaged in the research, design, integration and sustainment of advanced technology systems, products and services. It operates in five segments: Aeronautics; Information Systems & Global Solutions (IS&GS); Missiles and Fire Control (MFC); Mission Systems and Training (MST), and Space Systems.
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