Lockheed, Pentagon Reach Framework for 850 F-35 Jets Over 10 Years
LMT sits 28% above its 52-week low of $437.25.
Summary
Lockheed and the Pentagon signed an initial production and sustainment agreement covering 850 F-35s over the next decade, with the company aiming to hold output at 156 aircraft a year. It is not an order — it is a prearranged long-term contract, and final pricing and schedules depend on Congress granting multi-year authority in the coming months. The F-35 sits at the core of Lockheed's aeronautics division, which accounts for close to 40% of quarterly revenue, so locking in a decade of production visibility matters more than any single award. The deal also covers international orders plus initial spares and modification kits, and Lockheed expects it to lower production costs and ease supply-chain constraints. This lands on top of an already strong order backdrop: a $24.3B State Department-approved F-35 sale to Saudi Arabia in September and a $230.4B backlog at the last quarterly report.
At the time of this announcement, LMT was trading at $559.02 on NYSE in the Manufacturing sector, with a market capitalization of approximately $127.3B. The 52-week trading range was $437.25 to $692.00. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.