New York, Feb 3, 2026, 15:39 EST — Regular session
- Lockheed Martin shares slipped roughly 1% in afternoon trading, diverging from gains seen in several other major defense stocks.
- The drop came after DZ Bank downgraded the rating, despite Lockheed highlighting new program updates since Monday.
Lockheed Martin (LMT) shares slipped 1.1% to $628.94 Tuesday afternoon, weighed down by a downgrade from DZ Bank. The U.S. defense giant stood out as a rare laggard in an otherwise stronger defense sector. RTX climbed 1.0%, Northrop Grumman jumped 2.7%, and General Dynamics rose 2.0%.
The slide matters because defense stocks have been acting more like “rates-and-risk” proxies than straightforward contractors lately — even a small shift in sentiment can quickly hit the price, despite a busy news cycle.
It also underscores what investors keep returning to: execution. While contract wins and program milestones bolster the long-term outlook, they don’t always shift the market’s focus on quarterly results.
DZ Bank downgraded Lockheed from “buy” to “hold” but lifted its price target to $665 from $570, according to a Marketscreener report citing MT Newswires. MarketScreener
Lockheed announced Monday that it received a $328.5 million Foreign Military Sales contract from the U.S. government — the program responsible for selling American defense gear to allied nations. The deal covers IRST21 Legion-ES sensor systems for Taiwan’s air force. “This award marks an important milestone,” said program director Cristin Stengel in the company’s statement. Media – Lockheed Martin
The company announced it shipped the first Sentinel A4 radar from low-rate initial production—a step before full-scale manufacturing—to the U.S. Army and completed initial operational testing phase one. “This delivery is a major milestone,” said Rick Cordaro, vice president for Radar and Sensor Systems. Media – Lockheed Martin
Lockheed Martin revealed a memorandum of understanding with Japan’s Fujitsu to advance “dual-use” technology—tools designed for both civilian and military use—covering quantum computing, edge computing, AI, and advanced microelectronics. “This collaboration accelerates technologies that are critical,” said Lockheed CTO Craig Martell. Fujitsu CTO Vivek Mahajan described it as “an honor to collaborate” on cutting-edge ICT. Media – Lockheed Martin
The near-term outlook is complicated. Many of these announcements involve long-cycle projects, and foreign military sales alongside Pentagon programs can shift with approvals, budgets, and delivery timetables—or face delays.
Investors are now shifting focus to further analyst adjustments and new Pentagon contracts. The next key date is Lockheed Martin’s first-quarter earnings report, due April 21.
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