Key Takeaways All four of Lockheed Martin's business segments are expected to post year-over-year sales growth.Stronger output from F-35 jets, missile programs and helicopters likely boosted overall sales.Classified program charges and tax uncertainties may weigh on the company's quarterly earnings.Lockheed Martin Corporation (LMT) is scheduled to release third-quarter 2025 results on Oct. 21, before market open.The company delivered a four-quarter average earnings surprise of 12.27%. An upbeat sales perfor ...

Key Takeaways Rising global demand for satellite-based communications, Earth observation and cybersecurity systems, along with increasing government investments in space exploration and space-based defense programs, has been driving the space technology market in recent times. This trend has proved to be beneficial for Lockheed Martin's ((LMT) Space segment, fueling its growth through major contracts involving satellite manufacturing as well as missile-defense programs that depend on space technologies. Int ...

Core Viewpoint - Lockheed Martin Corporation (LMT) is expected to report first-quarter 2025 results on April 22, with revenue estimates showing a slight increase while earnings per share are projected to decline marginally compared to the previous year [1][2]. Financial Performance - The Zacks Consensus Estimate for LMT's revenues is $17.76 billion, reflecting a 3.3% increase from the same quarter last year [2]. - The consensus estimate for earnings per share is $6.32, indicating a 0.1% decrease from $6.33 reported in the prior-year quarter [2]. - LMT has a history of exceeding earnings estimates, with an average surprise of 10.33% over the last four quarters [2]. Segment Performance - The Aeronautics segment, contributing nearly 40% to LMT's revenue, is expected to show strong sales driven by increased production and sustainment contracts for the F-35 jet program, with revenues estimated at $6,983.6 million, a 2% rise year-over-year [8][9]. - The Missiles and Fire Control (MFC) segment is projected to see a revenue increase of 7.2% to $3,209.4 million, benefiting from production ramp-ups of various missile programs [11][12]. - The Rotary and Mission Systems (RMS) segment is also expected to perform well, with revenues estimated at $4,302.8 million, reflecting a 5.3% growth from the previous year [12][13]. - Conversely, the Space segment is anticipated to decline by 1.4% to $3,223.3 million due to lower sales from the Orion program and classified projects [10]. Market Context - LMT's stock has underperformed, declining 4.5% year-to-date, while the aerospace-defense industry has seen a 2.6% increase [15]. - In contrast, competitors like Northrop Grumman and General Dynamics have experienced stock increases of 15.2% and 4.8%, respectively [17]. - LMT is currently trading at a forward price/earnings ratio of 16.66, lower than the industry average of 23.49, indicating a potential valuation opportunity [18]. Investment Outlook - The global defense landscape has prompted increased defense spending, which is expected to positively impact LMT's backlog and overall performance [19]. - LMT offers a dividend yield of 2.84%, surpassing the S&P 500's yield of 1.40%, which may attract income-focused investors [20]. - However, the company's elevated long-term debt-to-capital ratio raises concerns among investors [20].