Lockheed Clinches a $59M Contract for Precision Strike Missile

Company Overview - Lockheed Martin Corp. (LMT) has secured a modification contract for the Precision Strike Missile (PrSM) valued at $59.2 million, expected to be completed by September 30, 2027, with work executed in Grand Prairie, TX [1] - The PrSM is a long-range missile designed for the U.S. Army, capable of neutralizing targets beyond 310 miles, enhancing the Joint Force Commander's range, lethality, survivability, and missile loadout [2][3] Industry Trends - Increasing geopolitical tensions and regional conflicts are driving nations to enhance their defense capabilities, leading to significant investments in advanced missile systems [4] - The missile and missile defense systems market is projected to witness a CAGR of 5% from 2024 to 2029, presenting growth opportunities for Lockheed Martin [5] Competitive Landscape - Lockheed Martin's Missiles and Fire Control unit is a recognized developer of high-performance missiles, with major programs including the Patriot Advanced Capability-3 and Terminal High Altitude Area Defense [6] - Other defense companies benefiting from the expanding missile market include Boeing, Northrop Grumman, and RTX Corporation, each with notable growth rates and product offerings [7][8][9][10][11] Stock Performance - Over the past six months, Lockheed Martin shares have increased by 3.6%, contrasting with a 2.9% decline in the industry [12]