Jim Lebenthal, chief equity strategist at Cerity Partners, joins CNBC's 'Halftime Report' to discuss why he is buying more Lockheed Martin.
Kenny Polcari believes there's positives in each of today's Big 3. He notes recent selloffs in each but expects better outlook for each.
Lockheed (LMT) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
Lockheed Martin is a strong long-term investment due to geopolitical tensions in the world, limited competition in the sector, and potential defense spending increases under a Republican administration. The stock has outperformed its peers over a 3-year and 20-year period, with solid year-to-date performance and robust Q3 earnings. Management's compensation structure aligns with shareholder interests, ensuring continued growth and shareholder-friendly decisions.
Lockheed Martin's strong financials, stable revenues, and large backlog make it a 'Strong Buy', despite recent revenue slowdowns and slight margin deterioration. Trump's 'Peace Through Strength' approach is expected to boost defense spending, benefiting LMT's sales, margins, and EPS growth significantly over the next four years. LMT's valuation remains reasonable compared to peers, with the potential for higher multiples due to anticipated EPS growth under the Trump administration.
Lockheed Martin's Q2 surge was temporary, with Q3 results showing low-single-digit growth and missed estimates, reflecting supply chain constraints and limited margin expansion. Despite impressive backlog growth to $166 billion, the company's multi-year growth framework and narrowed full-year guidance disappointed investors. Lockheed trades at a peak multiple, with below-market-average growth prospects, making it unattractive for market-beating returns but suitable for low-risk portfolios.
Australia has cancelled a multi-billion dollar military satellite project with Lockheed Martin , with a Department of Defence statement on Monday saying the military will instead shift its focus to a multi-orbit system.
Investors punished Lockheed Martin stock for anemic sales growth in Q3.
If you're like me, when you see an outsized dividend yield, you stop for a second and immediately do the mental math. How much would we get back in payouts from, say, a 9.3% payer if we were to invest $10,000?
Does the recent dip in the share price make it attractive, given the risk/reward outlook?
Lockheed (LMT) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
Investors interested in defense stocks should wait for a better entry point for LMT stock, considering its premium valuation. However, those who already own it may continue to do so.