Susquehanna Sees Commercial and Defense Trends Supporting Lockheed Martin Corporation (LMT)

Lockheed Martin Corporation (NYSE:LMT) is included among Dividend Contenders List: Top 20 Stocks.

On January 15, Susquehanna lifted its price target on Lockheed Martin Corporation (NYSE:LMT) to $660 from $590, while keeping a Positive rating on the shares. The change was part of the firm’s Q4 preview for the aerospace and defense space.

Susquehanna said conditions across the industry still look "quite favorable." It pointed to strength in commercial aerospace, steady defense spending, and healthy aftermarket demand. In the firm’s view, the most important parts of the market continue to hold up well over the medium term, which is why it pushed valuation targets higher across the group.

Recent delivery data also supports the idea that Lockheed has momentum. Reuters reported on January 8 that Lockheed delivered 191 F-35 fighter jets in 2025 to the US and partner nations, setting a new annual record for the program. Lockheed said in a statement that "Annual F-35 production is now running at a pace five times faster than any other allied fighter currently in production."

That kind of output matters because the F-35 remains one of Lockheed’s biggest profit engines. The company delivered 110 jets in 2024, and the program is now responsible for roughly one-third of total revenue. With many countries raising defense budgets as geopolitical tensions rise, demand has remained steady for large, long-cycle platforms like the F-35.

Lockheed is also scaling up production on the missile defense side. Reuters reported earlier in January that the company signed a seven-year agreement with the U.S. Department of War to expand annual PAC-3 missile interceptor capacity to 2,000 units, up from around 600 previously.

Interest in PAC-3 (Patriot Advanced Capability) interceptors has been climbing as the U.S. and its allies spend more heavily on air defense systems.

Lockheed Martin Corporation (NYSE:LMT) is a global security and aerospace company that develops and manufactures advanced defense technologies and provides long-term system integration and support services.

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