Lockheed Martin Stock (NYSE:LMT)
Lockheed Martin (NYSE:LMT), a global leader in aerospace and defense, reported quarterly numbers that indicated the company was back on course after several setbacks. Lockheed Martin stock rose by as much as 5 percent due to the positive reception from investors.
What’s the Reason?
Those who had invested in Lockheed Martin struggled that year. Because of the company’s change, the stock did poorly. Many more established projects have died off, and many more intriguing ones are currently in the pre-revenue phases of development.
We predicted that Lockheed Martin stock would use the slow period to increase its dividend payout to stockholders. On Tuesday, the corporation delivered solid earnings and strategies to increase its return to investors.
Third-quarter profits per share were $6.71 on sales of $16.6 billion, which was in line with analyst estimates of $6.70 on $16.65 billion. In addition, the firm announced a 7% increase in its dividend payout and the authorization to acquire an additional $14 billion in shares, equivalent to nearly 12% of its market capitalization at current prices.
As the most significant military contractor in the world, it has already repurchased 17% of Lockheed Martin stock during the last decade.
Lockheed Martin CEO James Taiclet stated, “Lockheed Martin achieved a great quarter, highlighted by growth in free cash flow, orders, and operational margins,” which bodes well for the company meeting its full-year goals. To better serve our consumers in the twenty-first century, we must continue to invest in cutting-edge security measures.
What Should You Do Now?
Some people were let down by the release. To be clear, Lockheed Martin is still anticipating earnings of roughly $21.55 per share on revenue of $65.25 billion in 2022, which is just below the consensus projections of $21.67 per share on revenue of $65.29 billion. In addition, revenue is anticipated to remain unchanged in 2023 before picking up again in 2024.
Lockheed Martin’s aerospace and space divisions did well throughout the quarter, while its helicopter and missile units did poorly.
Lockheed Martin has a backlog of $140 billion in potential contracts and dominating positions in Pentagon priority areas, including hypersonic weapons. Even with the projected rise, Lockheed Martin’s stock dividend yields 2.87%, so long-term investors who are prepared to wait for the income and profits to come in from such future ventures may benefit.
There is a lot of potential in Lockheed Martin stock right now for patient investors.
Featured Image- Megapixl © Mohammedsoliman4
Author Shariq Khan 
