Lockheed Martin Earnings: Here’s Why Investors are Selling Shares Now

Lockheed Martin Corporation (NYSE:LMT) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 2.34%.

Lockheed Martin Corporation Earnings Cheat Sheet

Results: Net income decreased -16.69% to $569 million ($1.73 per diluted share) in the quarter versus a net gain of $683 million in the year-earlier quarter.

Revenue: Decreased 0.91% to $12.1 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Lockheed Martin Corporation reported adjusted net income of $1.73 per share. By that measure, the company missed the mean analyst estimate of $1.82. It beat the average revenue estimate of $11.16 billion.

Quoting Management: Lockheed Martin Chief Executive Officer and President Marillyn Hewson said, “While we still face the uncertainty of sequestration, we remain focused on delivering innovative solutions, meeting our commitments to customers and returning value to our shareholders.”

Key Stats:

Revenue increased 1.95% from $11.87 billion in the previous quarter. Net income decreased 21.73% from $727 million in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $1.92 to a profit $1.94. For the current year, the average estimate has moved up from a profit of $8.32 to a profit of $8.42 over the last ninety days.

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(Company fundamentals provided by Xignite Financials.)