Why Shares of Lockheed Martin Are Soaring Today
Shares of Lockheed Martin (NYSE: LMT) traded up more than 5% on Wednesday after the defense titan's CEO expressed confidence that pandemic-related disruptions to production lines would be short-lived, and that the Pentagon budget will remain robust for years to come.
Lockheed Martin and other defense contractors have been relative safe havens during the COVID-19 pandemic, but the company has seen some supply chain and manufacturing disruptions on key products, including its F-35 Joint Strike Fighter.
CEO Marillyn Hewson, speaking Thursday at a Bernstein conference, said that Lockheed Martin will deliver 18 to 24 fewer F-35s than planned this year due to the pandemic. But she is confident production will return to pre-pandemic levels by year's end and said the company will increase output from the 140 planned in 2020 to 170 aircraft per year by 2022.
Source Fool.com
