LMT stock: buy or sell?

LMT stock price: $376.89 -2.33% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

5

Lockheed Martin reached new all time highs back again yesterday, setting highs to $386.93. Shares closed at $376.89 and fell -2.33%. Last session broke a streak of 4 green sessions.

Lockheed Martin Corporation, a security and aerospace company, engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services worldwide.

Should I buy LMT stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

Currently, 2 buy setups match with Lockheed Martin stock right now:

Buy setupElegible
New all-time highYes
New 52 week highYes
Price crossing up 200d MANo
100d MA crossing up 200d MANo

Is Lockheed Martin stock a buy?

Banks and financial institutions publish stock ratings everyday. At Stocks2.com, we collected 15 ratings published for LMT stock in the last 30 days.

Is LMT a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-14Morgan Stanleyn/aEqual Weight
2019-7-25DZ BankBuyHold
2019-7-24JPMorgan Chase & Co.n/aNeutral
2019-7-24Credit Suisse Groupn/aNeutral
2019-6-14Morgan Stanleyn/aEqual Weight
2019-5-16Barclaysn/aEqual Weight
2019-4-24UBS GroupBuyBuy
2019-4-24Bank of AmericaBuyBuy
2019-2-5Jefferies Financial Groupn/aHold
2019-2-13Morgan StanleyEqual WeightEqual Weight
2019-1-9Jefferies Financial Groupn/aHold
2019-1-30Bank of American/aBuy
2019-1-14CitigroupBuyBuy
2019-1-10Vertical ResearchHoldBuy
2019-1-10Vertical GroupHoldBuy

LMT stock analysis

Daily outlook

After climbing for 4 days, Friday Lockheed Martin fell a fatal -2.33%, closing at $376.89.

Lockheed Martin fell -2.33% to $376.89 after topping to all time highs yesterday. Since May when SMA100d and SMA200d crossed up, LMT price gained $39.73 per share (11.78%). From a daily outlook perspective, LMT is drawing an uptrend of rising tops and rising bottoms. Since its last top on August/13 at $381.51, price slid and bounced up back from $367.17. Breaking down under $367.17 would cancel the current uptrend and it might slide further to test lower supports. Note that $381.51 might act as a resistance line. Trading the long side, we should wait to a new breakout over $381.51 to find the next buy point. On April LMT price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock.

LMT stock chart (daily)

Weekly outlook

Even closing in red ($376.89, -0.03%), Lockheed Martin topped new all time high at $386.93.

LMT shows a strong mid-term uptrend with several rising tops and rising bottoms. Since its last bottom late July, LMT climbed unceasignly breaking out to new all time highs. Late May, SMA20w and SMA40w crossed up triggering a rise of 12.23%. Since price and SMA40w lines crossed up early April, LMT climbed $76.26 (25.37%).

LMT stock chart (weekly)

LMT stock price history

LMT stock historical price chart

LMT stock reached all-time highs yesterday with a price of $386.93.

LMT stock price target is $356.90

Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last month we found 13 price predictions for Lockheed Martin stock:
LMT stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-14Morgan StanleyRaises Target$356.00$376.005.6%
2019-7-24JPMorgan Chase & Co.Raises Target$360.00$395.009.7%
2019-7-24Credit Suisse GroupReiterates$369.00$379.002.7%
2019-6-14Morgan StanleyRaises Target$324.00$356.009.9%
2019-5-16BarclaysRaises Target$340.00$370.008.8%
2019-4-24UBS GroupRaises Target$365.00$385.005.5%
2019-4-24Bank of AmericaReiterates$390.00$400.002.6%
2019-2-5Jefferies Financial GroupReiteratesn/a$313.00-
2019-2-13Morgan StanleyRaises Target$300.00$324.008%
2019-1-9Jefferies Financial GroupReiteratesn/a$274.00-
2019-1-30Bank of AmericaReiteratesn/a$390.00-
2019-1-14CitigroupLowers Target$400.00$338.00-15.5%
2019-1-10Vertical ResearchUpgradesn/a$340.00-
(in average)$356.00$356.900.0%
The price forecast for Lockheed Martin stock is $356.90, moving in a range between $400.00 and $274.00. In average, analysts' outlook on LMT price target is stable from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After presenting its last earnings report on April, Lockheed Martin rocketed a super good 20.71%. Unfortunately, reported EPS is not yet available in our database.
LMT earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a3.23n/a
2017-Q32017-10-243.263.24-0.6%
2017-Q42018-01-294.07-2.25n/a
2018-Q12018-04-243.354.0220.0%
2018-Q22018-07-243.894.3110.8%
2018-Q32018-10-234.325.1419.0%
2018-Q42019-01-294.394.390.0%
2019-Q12019-04-224.33n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual sales report draw a pretty good increase of 7.61% to $53,762.00 M USD. When comparing 2018 vs 2017, instead, profit margin (that is, the net income divided by revenues) rose a 5.46% to 9.39%.

To have an updated picture of the financial situation of Lockheed Martin, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Lockheed Martin TTM sales up to March 2019 were $56,463.00 and income was $5,593.00 million USD. If we compare this TTM figures with the last reported annuality, we can esteem Lockheed Martin business evolution since December 2018: Annual turnover up to March, compared to lastest yearly report, soared a decent 5.02%. Regarding profit margin, Lockheed Martin stayed stable 0.52% to 9.39%

LMT annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$45,360 M-$2,950 M6.5%-
2014$45,600 M0.53%$3,614 M7.9%22.51%
2015$46,132 M1.17%$3,605 M7.8%-0.25%
2016$47,248 M2.42%$5,302 M11.2%47.07%
2017$49,960 M5.74%$1,963 M3.9%-62.98%
2018$53,762 M7.61%$5,046 M9.4%157.06%
TTM $56,463 M5.02%$5,593 M9.9%10.84%

Quarterly financial results

Lockheed Martin reported $14,336.00 M in revenues for 2019-Q1, a -0.52% less compared to previous quarter. Reported quarter earnings marked $1,704.00 M with a profit margin of 11.89%. Profit margin inched a 3.19% compared to previous quarter when profit margin was 8.69%. When comparing revenues to same quarter last year, Lockheed Martin sales marked an amazing increase and boosted a 23.21%.
LMT quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$12,690 M-$942 M7.4%-
2017-Q3$12,170 M-4.10%$939 M7.7%-0.32%
2017-Q4$14,932 M22.70%$-705 M-4.7%-175.08%
2018-Q1$11,635 M-22.08%$1,157 M9.9%-264.11%
2018-Q2$13,398 M15.15%$1,163 M8.7%0.52%
2018-Q3$14,318 M6.87%$1,473 M10.3%26.66%
2018-Q4$14,411 M0.65%$1,253 M8.7%-14.94%
2019-Q1$14,336 M-0.52%$1,704 M11.9%35.99%

Lockheed Martin ownership

When you are planning to buy a stock, it's always worth to check its ownership structure.

Lockheed Martin shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.09% of all shares.

In case of Lockheed Martin stock, 78.66% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for LMT stock account 0.00%, no big difference from last month.

For a better context understanding, the next table shows ownership data compared to other related stocks:

LMTAVAVBAGDKTOS
Market cap$107.6 B$1.2 B$207.4 B$53.0 B$2.0 B
Total shares285.5 M23.9 M582.6 M288.9 M103.5 M
Float shares237.0 M21.4 M562.0 M277.4 M103.3 M
  - Institutional holdings (%)78.7%88.7%70.6%87.8%87.6%
  - Insider holdings (%)0.1%10.7%0.1%6.0%2.0%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

LMT summary

Friday, August 23rd, 2019
Open$385.28
Close$376.89
Day range$374.61 - $386.93
Previous close$385.88
Session gain-2.33%
Average true range$7.00
50d mov avg$366.58
100d mov avg$347.80
200d mov avg$317.90
Daily patternlb03a
Weekly pattern lb03c

Lockheed Martin performance

To measure stock performance is always good to compare with competitors or related stocks. We compared Lockheed Martin against AeroVironment, Boeing, General Dynamics, Kratos Defense & Security Solutions, Northrop Grumman and Raytheon in the following table:
Stock3m6m12m
LMTLockheed Martin11.97%24.40%20.54%
AVAVAeroVironment-23.29%-38.42%-40.48%
BABoeing0.94%-15.04%4.12%
GDGeneral Dynamics12.52%7.62%-2.59%
KTOSKratos Defense & ...-11.85%9.61%50.19%
NOCNorthrop Grumman16.34%25.75%22.89%
RTNRaytheon0.99%-2.08%-7.76%

Lockheed Martin competitors

One check before trading any stock is to review a list of its competitors, in this case for Lockheed Martin. We picked 6 companies as Lockheed Martin competitors as they are in the same industry or have similar market objectives.

Latest LMT stock news