Is Lockheed Martin Corporation Stock Underperforming the S&P 500?

Core Insights - Lockheed Martin Corporation (LMT) is a major player in the aerospace and defense sector, with a market capitalization of $106 billion, indicating its significant size and influence in the industry [1][2] Stock Performance - LMT shares are currently 14.3% below their 52-week high of $529.99, which was reached on November 27, 2024, and have declined 12.9% over the past 52 weeks, underperforming the S&P 500 Index's 13.6% returns during the same period [3][4] - The stock has traded mostly below the 200-day moving average but has been above it since mid-September, although it has recently fluctuated [5] Investor Concerns - The decline in LMT's stock price is attributed to investor concerns over recurring program setbacks, particularly delays in the F-35 fighter-jet program, which have created uncertainty regarding future contracts and cash flow [6] - Additionally, the company has reported significant losses on classified aeronautics and helicopter projects, leading to decreased confidence in its cost management and execution of complex fixed-price contracts [6] Competitive Landscape - Lockheed Martin's competitor, Huntington Ingalls Industries, has significantly outperformed LMT, with gains of 58.8% over the past 52 weeks and 66.3% year-to-date [7]