With a market cap of $113 billion, Lockheed Martin Corporation (LMT)  is the world’s largest defense contractor, serving the U.S. government, international allies, and commercial clients with advanced technology systems and services. It specializes in research, design, development, integration, and sustainment of cutting-edge aerospace, defense, and intelligence technologies.

Companies valued at $10 billion or more are generally classified as “large-cap” stocks, and Lockheed Martin fits this criterion perfectly. Operating through four key segments - Aeronautics; Missiles and Fire Control (MFC); Rotary and Mission Systems (RMS); and Space, the company delivers a wide range of products including the F-35 fighter jet, missile defense systems like PAC-3, naval combat systems, satellites, and cyber solutions. 

Shares of the Bethesda, Maryland-based company have declined 22.6% from its 52-week high of $618.95. However, Lockheed Martin’s shares have risen 6.3% over the past three months, outperforming the Industrial Select Sector SPDR Fund’s (XLI) 4.6% gain over the same time frame. 

In the longer term, LMT stock is down 1.5% on a YTD basis, lagging behind XLI’s 8.3% increase. In addition, shares of the aerospace and defense company have gained 1.8% over the past 52 weeks, compared to XLI’s 15.5% return over the same time frame.

LMT stock has stayed below its 50-day moving average since late October and its 200-day moving average since early December last year. But it crossed above the 50-day average in early April.

Shares of Lockheed Martin recovered marginally on Apr. 22 after the company reported Q1 2025 profit of $7.28 per share, beating analyst expectations. Sales rose 4% year-over-year to around $18 billion, driven by resilient demand for missile systems and fighter jets like the F-35. Lockheed also reaffirmed its 2025 financial outlook, projecting sales between $73.8 billion and $74.8 billion and earnings per share around $27 to $27.30, supporting investor confidence.

Nevertheless, LMT has lagged behind its rival, GE Aerospace (GE). Shares of GE have surged 48.4% on a YTD basis and 49.9% over the past 52 weeks. 

Despite the stock’s underperformance over the past year, analysts remain moderately optimistic on LMT. The stock has a consensus rating of “Moderate Buy” from 23 analysts' coverage, and as of writing, LMT is trading below the mean price target of $526.45.