$73.77
0.91 (+1.25%)
Lockheed Martin Corp (LMT)
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The Company researches, designs, develops, manufactures, integrates, operates and sustains advanced technology systems, products and services. It serves customers in domestic and international defense and civil markets.
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I work for this company, and I think we're doing great, although I always get concerned when any stock is over 50% up on the year. Seems that there can't be many big fish contracts out there yet to win for the near term.
I'm currious what business unit you work for and are basing your observation. As you should know LM isn't simply a single company but is made up of about 18 different business units under four business areas excluding Corporate which makes the 5th business area.
With this said i'm wondering which of these business areas is running out of contracts in your opinion?
I think that with respect to AERO perhaps your right that there may not be many big contracts in the near future but look at our Backlog!!! we can't handle any more right now.
As far as I&TS or ISGS or whatever their calling it this week look at PAE alone...it is still in the newborn stage and has some enormous potential espeacially with the Blackwaters black eye...
regardless you might be right that the stock is due for a correction but your not being able to win "Big Fish" contracts....since where not in the fishing business i don't think were worried about the big fish
I don't know how this became the top bear post, but I've worked for a couple of business units now. The big fish I'm talking about are ones like JSF, Raptor, Submarines, etc, which each fetch several B's themselves. I believe the defense industry/DoD is going to move to a smaller contract system, leaving the large integrators scrapping for money trying to do things the new way, while smaller more agile companies will make more money than they previously had trying to get by on what they could sub-contract from us.
If you look at companies that develop advances in robotics, or that develop amazing SOA software examples, they are not the traditional big 3 (or 4) contractors, but several smaller ones. They might start deciding to stop teaming with the large contractors and learn how to better compete on proposals alone.
Plus with the change in the legislature/presidency, simply put the stock can't go up forever, and America is probably going to stop funding its defense with debt.
I think you might be forgetting about all of the international opportunites. Once an older line is replaced in the US it opens up the doors to selling that older line internationally. The JSF and F-22 open up the door to sell more F-16's to more countries.
I mean look at the C-130 deal with canada yesterday:
quoted from
Canada Confirms $1.4 Billion Lockheed Martin Aircraft Contract
By Alexandre Deslongchamps and Greg Quinn
Jan. 16 (Bloomberg) -- Canada said Lockheed Martin Corp., the world's biggest defense company, will receive $1.4 billion to build 17 C-130 transport planes.
Defense Minister Peter MacKay and Public Works Minister Michael M. Fortier made the announcement in a statement from Ottawa today. They are scheduled to speak to reporters later today near Ottawa's airport.
Lockheed said in November 2006 that it won the contract for production and 20 years of maintenance for the C-130J Super Hercules aircraft. The maintenance part of the contract is in addition to the $1.4 billion, according to today's statement.
The jets will replace Canada's aging fleet of C-130. The new model has more space and improved engines and electronics from the older C-130 Hercules, one of the world's most widely used aircraft.
Well I work for Space Systems and it's not the big fish that keep our company going, it's the more medium sized ones that pay off big in the long term. First, with the threat of Iran looming larger, FBM (fleet ballistic missles) will have to stay stable, as always. But the big win was GPS III which has multi-billion dollar potential over a long haul. TSAT is another but there's no prediction as to that being a win or not. Also don't forget the other divisions. Maritime with the Littoral and also Orion which is in trouble but should pull out of it once NASA gets their stuff together. Also, there's good news today, the Pheonix Lander made its successful deployment landing on Mars. Hard to beat that kind of publicity.As it stands, I don't have to buy into LM because I have quite a lot invested through their savings program and let me tell you, I've made a ton of money for retirement because of it.