Lockheed Martin secures $3.37 billion F-35 contract and more – Lockheed Martin (NYSE:LMT)

on Monday, Lockheed Martin LMT Received several major defense contracts, cementing its role as a key player in U.S. military and allied operations.

The company received a $3.37 billion modification to an existing agreement that expands logistics support for the F-35 Lightning II Joint Strike Fighter program.

The program includes ground maintenance, pilot training, supply chain management and depot activities for the Air Force, Marine Corps, Navy, Foreign Military Sales (FMS) customers and other partners.

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Work will be performed in Texas, Florida, South Carolina, Georgia and California and is expected to be completed by December 2025.

Lockheed Martin also won a $335.7 million modification contract to the F-35 Joint Strike Fighter program. The deal supports a variety of 2025 activities, including aircraft entry, field and base support, and specialized equipment procurement.

Funding comes from multiple sources, including the Navy and Air Force acquisition budgets and contributions from FMS customers and program partners. Work will be performed primarily in Fort Worth, Texas, and could be completed by the end of 2025.

The company’s Moorestown, N.J., division was awarded a $10.5 million contract to continue engineering and development of the AEGIS combat system.

The program is focused on providing advanced weapons systems capabilities to the Navy’s FFG 62 program and will run through March 2025. , providing depot-level support for Apache attack helicopters, with an expected completion date of December 2025.

Lockheed Martin’s shares are up 7% so far this year. Elon Musk’s recent push for drone warfare to replace traditional manned aircraft has sparked debate among experts about its feasibility.

Musk has criticized Lockheed Martin’s F-35 stealth fighter program, advocated for the use of drone swarms (a project he demonstrates in the film), and questioned continued investment in manned aircraft. Musk is an ally of Donald Trump and co-director of Trump’s Department of Government Effectiveness (DOGE).

Goldman Sachs Maintain a sell rating on Lockheed Martin, citing concerns about the F-35 program, which DOGE leadership has identified as a potential cost-cutting target.

Analyst Noah Poponak highlighted risks to margins and expenses, noting that Lockheed’s free cash flow is expected to remain stable over the next few years. Poponak also noted that the stock is highly valued, trading at 23 times estimated 2025 earnings, which he believes is too high a premium given the challenges.

Investors can obtain investment from Lockheed Martin through the following methods Vanguard Total Stock Market ETF VTI and iShares Core S&P 500 ETF intravenous injection.

Price Action: LMT shares were up 0.52% in pre-market trading at $489.01 as of last check on Tuesday.

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