Out of This World Segment Leads Lockheed (LMT) to Q2 Beat, Improved Outlook
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Price: $106.87 +0.43%
Rating Summary:
4 Buy, 12 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 19 | Down: 36 | New: 12
Rating Summary:
4 Buy, 12 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 19 | Down: 36 | New: 12
Trade LMT Now!
Lockheed Martin Corp. (NYSE: LMT) shares are higher early Tuesday following stronger Q2 numbers out of the aircraft and national defense contractor.
Revs rose $400 million, or 3.5 percent, to $11.9 billion, from $11.5 billion in the same period last year.
Net income improved 4.4 percent to $781 million, or $2.38 per share.
Overall, the Street was looking for revs of $11.29 billion and EPS of $1.91.
Top-line growth in the four reporting segments Lockheed uses is as follows: Aeronautics up 0.5 percent; Electronic Systems up 2.3 percent; Information Systems & Global Solutions (IS&GS) down 4.2 percent; and Space Systems up 18.5 percent.
Total operating profit rose from 8.6 percent up to 10.0 percent.
Looking ahead, Lockheed sees fiscal 2012 earnings of $7.90 to $8.10 per share, versus prior guidance of $7.70 to $7.90 per share and the consensus of $7.89.
"Overall, Q2 results were outstanding," analysts at Wells Fargo said. However, "the guidance implies a somewhat worse H2. For example, the high end of the sales range suggests H2's top-line will be down 6% from H1 levels and down 10% y/y. Similarly, EPS would be down 16% vs. H1 2012 and down 11% y/y as (we assume) favorable profit-rate adjustments decline." That said, they expect shares to trade stronger.
Shares of LMT last traded at $89.04, up 2.45 percent.
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Revs rose $400 million, or 3.5 percent, to $11.9 billion, from $11.5 billion in the same period last year.
Net income improved 4.4 percent to $781 million, or $2.38 per share.
Overall, the Street was looking for revs of $11.29 billion and EPS of $1.91.
Top-line growth in the four reporting segments Lockheed uses is as follows: Aeronautics up 0.5 percent; Electronic Systems up 2.3 percent; Information Systems & Global Solutions (IS&GS) down 4.2 percent; and Space Systems up 18.5 percent.
Total operating profit rose from 8.6 percent up to 10.0 percent.
Looking ahead, Lockheed sees fiscal 2012 earnings of $7.90 to $8.10 per share, versus prior guidance of $7.70 to $7.90 per share and the consensus of $7.89.
"Overall, Q2 results were outstanding," analysts at Wells Fargo said. However, "the guidance implies a somewhat worse H2. For example, the high end of the sales range suggests H2's top-line will be down 6% from H1 levels and down 10% y/y. Similarly, EPS would be down 16% vs. H1 2012 and down 11% y/y as (we assume) favorable profit-rate adjustments decline." That said, they expect shares to trade stronger.
Shares of LMT last traded at $89.04, up 2.45 percent.
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