Core Viewpoint - A securities class action lawsuit has been filed against Lockheed Martin Corporation for allegedly making materially false and misleading statements regarding its business operations and financial health during the specified class period from January 23, 2024, to July 21, 2025 [1] Group 1: Allegations of Misleading Statements - The complaint alleges that Lockheed Martin failed to disclose significant internal control deficiencies related to its risk-adjusted contracts and profit booking rate [2] - It is claimed that the company overstated its ability to meet contract commitments regarding cost, quality, and schedule, leading to potential significant losses [2] - The positive statements made by the company about its business and prospects were allegedly materially misleading and lacked a reasonable basis [2] Group 2: Financial Impact and Losses - On January 28, 2025, Lockheed Martin announced pre-tax losses of $1.7 billion related to classified programs, with $555 million attributed to its Aeronautics program and approximately $1.3 billion to its Missiles and Fire Control business [3] - The company's net earnings for 2024 were reported at $5.3 billion ($22.31 per share), a decline from $6.9 billion ($27.55 per share) in 2023 [3] - Following this announcement, the share price dropped by $46.24 (9.2%) to close at $457.45 on January 28, 2025 [4] Group 3: Additional Losses and Share Price Reaction - On July 22, 2025, Lockheed Martin disclosed an additional $1.6 billion in pre-tax losses, including $950 million related to its Aeronautics Classified program due to various performance issues [5] - The company reported sharply lower net earnings of $342 million ($1.46 per share) for the period, which included significant program losses and other charges [5] - The share price fell by $49.79 (10.8%) to close at $410.74 on July 22, 2025, following this news [6]

Core Viewpoint - Lockheed Martin Corporation is under investigation for potential securities fraud and unlawful business practices following a significant decline in its second-quarter earnings, which included substantial program losses [1][3]. Financial Performance - Lockheed reported second-quarter 2025 earnings with a total of $1.6 billion in program losses, including $950 million from its Aeronautics Classified program due to design and performance issues [3]. - The Canadian Maritime Helicopter Program incurred $570 million in losses, attributed to additional mission capabilities and revised flight hour expectations [3]. - A $95 million charge was reported for the Turkish Utility Helicopter Program, reflecting the program's current status [3]. Stock Market Reaction - Following the release of the disappointing financial results, Lockheed's stock price dropped by $49.84 per share, or 10.8%, closing at $410.69 on July 22, 2025 [4]. Legal Investigation - Pomerantz LLP is investigating claims on behalf of Lockheed investors regarding possible securities fraud or other unlawful practices by the company and its officers [1].

Core Insights - Lockheed Martin Corporation is under investigation for potential securities fraud and unlawful business practices involving its officers and directors [1] - The company reported significant financial losses in its second quarter 2025 results, including $1.6 billion in program losses [2] - Following the financial disclosures, Lockheed's stock price experienced a notable decline of 10.8%, closing at $410.69 per share [3] Financial Performance - Lockheed disclosed $950 million in losses related to its Aeronautics Classified program due to design, integration, and testing challenges [2] - The Canadian Maritime Helicopter Program incurred $570 million in losses, attributed to additional mission capabilities and revised flight hour expectations [2] - A $95 million charge was reported for the Turkish Utility Helicopter Program, reflecting the current status of the program [2] Market Reaction - The announcement of the financial losses led to a sharp decline in Lockheed's stock price, falling by $49.84 per share [3]