Pentagon Awards Lockheed Martin $35 Billion THAAD Missile-Defense Contract
LMT sits 21% above its 52-week low of $410.11.
Summary
Lockheed Martin has secured a substantial $35 billion contract from the Pentagon to produce THAAD interceptors over a seven-year period. This significant award follows a series of recent defense spending increases and accelerated munitions production efforts, including an $8.4 billion contract modification last week and a $4.8 billion contract in April. The deal is a major boost to Lockheed Martin's backlog, representing a material portion of its market capitalization over the contract's duration. However, the contract is currently 'undefinitized' and requires additional funding from Congress to be finalized.
At the time of this announcement, LMT was trading at $494.25 on NYSE in the Industrial Applications And Services sector, with a market capitalization of approximately $113.4B. The 52-week trading range was $410.11 to $692.00. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Dow Jones Newswires.