Lockheed Martin Corporation LMT is the largest U.S. defense contractor with a platform-centric focus that guarantees a steady inflow of follow-on orders from a leveraged presence in the Army, Air Force, Navy and IT programs.
However, a large percentage of Lockheed Martin’s business comes from the U.S. government. Hence, any cutback in the domestic defense budget is a potential risk for its future performance.
Estimate Trend & Surprise History
Investors should note that the fourth quarter Zacks Consensus Estimate for earnings of $4.06 per share has remained same over the last 7 days.
Coming to the earnings surprise, Lockheed Martin Corporation has surpassed the Zacks Consensus Estimate in three of the last four quarters, resulting in a positive average surprise of 4.87%.
Zacks Rank: Currently, Lockheed Martin has a Zacks Rank #2 (Buy) but that could change following its fourth quarter 2017 earnings report which has just released. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
We have highlighted some of the key details from the just-released announcement below:
Earnings: Lockheed Martin beat earnings estimate. Earnings per share came in at $4.30, which surpassed the Zacks Consensus Estimate of $4.06 by 5.9%.
Revenue: Revenues of $15.14 billion also surpassed the Zacks Consensus Estimate of $14.75 billion by 2.6%.
Key Stats to Note: During the fourth quarter, net sales from Lockheed Martin’s Aeronautics segment increased 12% year over year, while the same form Rotary and Missions Systems was up 14%. Sales from Space Systems decline 12%, while sales from Missiles and Fire Control segment increased 31%.
The company repurchased 7.1 million shares for $2 billion and paid cash dividends worth $2.2 billion, during 2017.
Lockheed Martin Corporation Price and EPS Surprise
Lockheed Martin Corporation Price and EPS Surprise | Lockheed Martin Corporation Quote
Stock Price: Following the earnings release, share prices for the company rose a solid 3.9% in the pre-market trading session, thereby reflecting investors’ optimism surrounding the earnings release.
Check back later for our full write up on this Lockheed Martin earnings report later!
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