Lockheed Martin (LMT) Stock Sinks As Market Gains: What You Should Know

Lockheed Martin (LMT) closed the most recent trading day at $388.53, moving -0.76% from the previous trading session. This move lagged the S&P 500's daily gain of 0.02%.

Prior to today's trading, shares of the aerospace and defense company had lost 0.41% over the past month. This has lagged the Aerospace sector's gain of 3.59% and the S&P 500's gain of 0.04% in that time.

Wall Street will be looking for positivity from LMT as it approaches its next earnings report date. In that report, analysts expect LMT to post earnings of $6.52 per share. This would mark year-over-year growth of 6.36%. Our most recent consensus estimate is calling for quarterly revenue of $16.9 billion, up 4.21% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $26.74 per share and revenue of $68.28 billion. These totals would mark changes of +9.14% and +4.41%, respectively, from last year.

Any recent changes to analyst estimates for LMT should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.07% higher. LMT is currently a Zacks Rank #3 (Hold).

In terms of valuation, LMT is currently trading at a Forward P/E ratio of 14.64. This represents a discount compared to its industry's average Forward P/E of 17.16.

Also, we should mention that LMT has a PEG ratio of 3.2. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Aerospace - Defense stocks are, on average, holding a PEG ratio of 1.87 based on yesterday's closing prices.

The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 187, putting it in the bottom 27% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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