Full Breakdown
Lockheed Martin Raises 2026 Forecasts as Pentagon Seeks Weapon Restock
7/23/2026, 8:24:00 PM
Core Event
On July 23, defense contractor Lockheed Martin announced an upward revision of its 2026 sales and profit outlook. The company’s pre-market share price jumped 5.3% following the news.
Context: Global Conflicts Fueling Demand
Pentagon data indicate that the United States has expended more than 50,000 rockets, missiles and rocket-propelled munitions since the start of the Russia-Ukraine war in 2022 and through the recent U.S. strike on Iran. President Donald Trump has urged defense firms to accelerate production to replenish depleted stockpiles.
Financial Highlights and Backlog
- Missiles & fire-control revenue rose nearly 20% to $4.1 billion, driven by higher output of PAC-3, Precision Strike missiles and THAAD interceptors after a $35 billion contract in June to quadruple THAAD production.
- Aeronautics sales increased 9%, supported by greater output and sales of F-35 stealth fighters, the Pentagon’s largest acquisition program with lifetime costs exceeding $2 trillion.
- Total order backlog expanded to $230.4 billion, a 38.3% rise from $166.5 billion a year earlier.
- The 2026 revenue forecast now sits at $79.75 billion to $81.75 billion, above the prior range of $77.5 billion to $80 billion and slightly higher than analysts’ average expectation of $79.14 billion (LSEG data).
- Full-year earnings per share are projected at $29.95 to $30.65, up from the earlier $29.35 to $30.25 and above Wall Street’s estimate of $29.90.
Verbatim Quotes
- “We're in active dialog looking at other potential opportunities. We do see a real opportunity here for more partnerships ?to scale production faster, particularly in Europe,” — CFO Evan Scott
