Lockheed Martin stock forecast for 2030: Pullback from $692 tests support as PAC-3 production triples

Traders Union
All News
Financial News
LMT defense budget PAC-3

Highlights

Lockheed trades near $664 after pulling back from the $692 all-time high while the broader uptrend remains intact.
The company enters 2026 with a record $194B backlog supporting long-term defense demand.
PAC-3 missile production is set to rise toward 2,000 units annually under a Pentagon agreement.

Management expects segment operating profit to grow by 25%, PAC-3 missile production to triple from 600 to 2,000 per year under a seven-year Pentagon framework agreement, and the U.S. defense budget to reach $1.5 trillion by 2027.

Lockheed stock pulls back from all-time highs

Lockheed Martin trades at $664.15, 1.13% lower, retreating from the all-time high of $692 reached on March 2. The stock stays in an aggressive uptrend, trading significantly above all major moving averages. Price sits above the 20 EMA at $647.83, 50 EMA at $603.68, 100 EMA at $557.44 and 200 EMA at $518.52.

LMT price dynamics (Source: TradingView).

The chart paints a picture of a run from lows near $410 in mid-2023 which continues upwardly every year. These run through $500, $600 and even up to the $690. The all moving averages stack bullish and incline upward. There’s also some structural support in the rising trendline from late 2023. RSI at 60.36 has cooled off past overbought positions greater than 70 but is still in bullish territory. The pullback from $692 to $664 is testing the 20 EMA as support. A hold above $647-650 helps maintain the upward trend. Support is at $640, followed by the 50 EMA around $603. Resistance has been at a $692 all-time high, psychological values at $700 and $750 higher.

PAC-3 production triples to 2,000 units annually

The PAC-3 MSE agreement will increase annual production capacity from approximately 600 to 2,000 per year. Lockheed signed a framework agreement with the Department of War to increase THAAD interceptor production from 96 units per year to approximately 400 over seven years.

CEO Taiclet described a multibillion-dollar investment to accelerate munition production over the next three years, including building facilities across five states.

F-35 delivers 191 jets with $15B in Q4 awards

Lockheed delivered 48 F-35 aircraft in Q4, which brings total deliveries for 2025 to 191. This number exceeds expectations. The largest awards during the quarter involved F-35 programs. These included contracts for Lots 18 and 19, the full fiscal year 2026 sustainment contract, and a modification for Lots 20 and 21 production aircraft. The total for these contracts exceeds $15 billion. Since the program started, the company has delivered 1,293 F-35 aircraft, and there are 368 jets in the backlog as of December 31, 2025. Projections for 2026 sales growth of approximately 5%, more than 25% increase in segment operating profit, and $6.5-6.8 billion in free cash flow are projections.

Investment is projected to expand by roughly 35% year-over-year. 2026 sales are expected to be $77.5 through $80 billion. That projection is to include segment operating profits of $8.425 to $8.675 billion at a mid-point margin of 10.9%. President Trump is calling for an increase in the defense budget to $1.5 trillion by 2027, from about $901 billion that was approved for fiscal 2026. Lockheed Martin is the firm awarded a contract for 18 satellites in the Tranche 3 Tracking Layer constellation by the Space Development Agency; the value could exceed $1 billion.

Lockheed recently retreated from $692 all-time highs to $664 after delivering 191 F-35s and securing $15 billion in Q4 awards, with the stock testing the 20 EMA as support after the announcement of tripling PAC-3 production and guiding 25% profit growth.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.