rtmark
LearnBonds.com

Lockheed Martin Stock: Here are the Reasons to Fly Higher in 2020

Lockheed Martin stock price

Lockheed Martin (NYSE: LMT) stock price has been receiving support from several catalysts such as booming backlog, robust demand for F-35 jets and double-digit growth in earnings. In addition, its strategy of returning massive cash returns to investors is likely to push the stock price higher.

Lockheed Martin’s stock price is trading around the highest level in history following a rally of 50% in fiscal 2019. Its share price gains outpaced 29% growth in the broader market index. Moreover, the growth in financial numbers is also aiding its valuations despite a sharp share price rally.

LMT Lockheed Martin Corporation daily Stock Chart

Several New Contract Wins Bodes Well for Lockheed Martin Stock

The company has announced several new contracts of billions of dollars for F-35 fighter jets. The new contract wins will further enhance its backlog. Its backlog was standing at the record level of $137 billion at the end of the latest quarter.

LMT is awarded three new contracts for F-35 with a combined value of $2.35 billion. On the other hand, the defense company has been aggressively working on improving its production potential. The company delivered 134 jets in fiscal 2019 to the U.S. and its allies. It plans to deliver more than 140 jets in fiscal 2020.

Besides F-35, the U.S. Air Force has also awarded a contract of $3.3B to manage a classified military satellite communications program.

Financial Numbers and Cash Returns are Among the Catalysts

Lockheed Martin offers a dividend yield of 2.5% to investors. It has a long history of dividend growth along with cash returns through share buybacks. It recently announced to increase its share repurchase program by $1 billion.

It had also recently increased the quarterly dividend by 9.1% to $2.40 per share. LMT’s cash generation potential offers a complete cover to cash returns. For instance, it had generated $2.5 billion in cash from operations in the latest quarter, which is more than enough to cover dividend payments of $681 million. Overall, Lockheed Martin’s stock is safe for defensive investors.

Trusted & Regulated Stock & CFD Brokers

What we like

  • 0% Fees on Stocks
  • 5000+ Stocks, ETFs and other Markets
  • Accepts Paypal Deposits

Min Deposit

$200

Charge per Trade

Zero Commission

Rating

64 traders signed up today

Visit Now

75% of investors lose money when trading CFDs.

Available Assets

  • Total Number of Stocks & Shares5000+
  • US Stocks
  • German Stocks
  • UK Stocks
  • European
  • ETF Stocks
  • IPO
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 Zero Commission
  • NASDAQ Zero Commission
  • DAX Zero Commission
  • Facebook Zero Commission
  • Alphabet Zero Commission
  • Tesla Zero Commission
  • Apple Zero Commission
  • Microsoft Zero Commission

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
  • Paypall
  • Skrill
  • Neteller

What we like

  • Sign up today and get $5 free
  • Fractals Available
  • Paypal Available

Min Deposit

$0

Charge per Trade

$1 to $9 PCM

Rating

Visit Now

Investing in financial markets carries risk, you have the potential to lose your total investment.

Available Assets

  • Total Number of Shares999
  • US Stocks
  • German Stocks
  • UK Stocks
  • European Stocks
  • EFTs
  • IPOs
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 $1 - $9 per month
  • NASDAQ $1 - $9 per month
  • DAX $1 - $9 per month
  • Facebook $1 - $9 per month
  • Alphabet $1 - $9 per month
  • Telsa $1 - $9 per month
  • Apple $1 - $9 per month
  • Microsoft $1 - $9 per month

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
All trading carries risk. Views expressed are those of the writers only. Past performance is no guarantee of future results. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate. This website is free for you to use but we may receive commission from the companies we feature on this site.
Avatar

Based in Saudi Arabia, Siraj has a strong understanding of and passion for accounting and finance. He has worked for international clients for many years on several projects related to the stock market, equity research and other business, accounting and finance related projects. Siraj is a published financial analyst on the world's leading websites including SeekingAlpha, TheStreet, MSN, and others.