Industrials

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: Our 12-month target price of $440, cut $10, reflects 16.2x our 2025 EPS, in line with LMT’s long-term forward average. We trim our 2024 EPS estimate by $1.86 to $26.08 and start 2025’s at $27.15. LMT posted Q4 EPS of $7.90 vs. $7.79, beating consensus by $0.65. Revenues fell 1% year-over-year, as did segment operating profits, with modest revenue declines in Aeronautics, Rotary & Mission Systems, and Missiles & Fire Control, partly offset by higher revenues in Space. LMT sees 2024 revenues in a range of $68.5B to $70.0B and guided for EPS in a range of $25.65 to $26.35. The midpoint of the respective ranges implies low-single-digit revenue growth accompanied by some margin compression because EPS is expected to drop about 7%. Backlog rose $5B, to […]

Lockheed Martin (LMT) shares were down 3.4% in recent Tuesday trading after the company’s Q4 sales fell year-over-year. The company reported Q4 adjusted earnings of $7.90 per diluted share, up from $7.79 a year earlier. Analysts polled by Capital IQ expected $7.25. Net sales for the quarter ended Dec. 31 were $18.87 billion, down from $18.99 billion in the same period in 2022. Analysts surveyed by Capital IQ expected $17.95 billion. The company said it expects 2024 EPS of $25.65 to $26.35 on net sales of $68.50 billion to $70 billion. Analysts expect EPS of $26.37 on revenue of $68.64 billion.

Lockheed Martin appears to be taking aim at lower targets for the coming year. Vertical Research analysts Robert Stallard and Karl Oehlschlaeger say in a research note that the company’s fiscal 2024 guidance looks cautious, with earnings per share forecasts below consensus estimates. They say Lockheed Martin is likely to face similar headwinds to 2023, including delays in F-35 deliveries and lower margins in its Missiles and Fire Control segment. Despite expectations for strong bookings in the next year, the analysts say there’s not much to get too excited about with the stock. They keep their hold rating. Shares fall 4.9% to $436.17.

The following is a summary of the Lockheed Martin Corporation (LMT) Q4 2023 Earnings Call Transcript: Financial Performance: Lockheed Martin reported strong sales that matched the previous year’s Q4 results, exceeding expectations by $1 billion and marking a 2.5% growth rate for the full year. The firm reported a 2% annual growth in GAAP EPS, with an adjusted EPS of $27.82. The overall segment operating profit fell by 1% compared to the previous year, despite the increased sales volume. For the full year, the company returned $3.8 billion in dividends and share repurchases, culminating in returns of over $9 billion. Lockheed Martin predicts its 2024 sales to be between $68.5 billion and $70 billion, with expected free cash flow in the region of $6 billion and $6.3 billion. Business Progress: Lockheed Martin reported a surge in demand that resulted in a backlog increase of 7% to a record of $161