GM Enters Missile Business, Supplying Parts for Lockheed's Patriot Interceptors
GM sits 58% above its 52-week low of $54.33.
Summary
GM has begun supplying missile-housing components for Lockheed Martin's Patriot PAC-3 MSE interceptors, with an initial batch delivered in August. Lockheed confirmed the partnership Thursday, though order size and future scope were not disclosed. GM's defense unit is small but growing, with CEO Mary Barra projecting $700 million in defense revenue this year at double-digit margins. The move comes as the Pentagon pushes to more than triple Patriot output to over 2,000 missiles annually by 2030, straining Lockheed's supply chain. GM's ability to deliver components in three weeks—versus months typically—highlights its manufacturing agility and positions it for expanded defense work. This follows GM's Q2 earnings beat and raised guidance, adding a new revenue stream amid a tough auto market.
At the time of this announcement, GM was trading at $85.57 on NYSE in the Manufacturing sector, with a market capitalization of approximately $74B. The 52-week trading range was $54.33 to $91.85. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.