Lockheed Martin Shares Surge 43.6% After $1B Space Vehicle Contract
Lockheed Martin shares climbed 43.6% over the past three months, outperforming the aerospace-defense sector’s 12.3% gain, driven by a $1 billion TRKT3 space vehicle contract and a $233 million IRST21 award. Ongoing F-35 sales (27% of 2025 net sales) and S-92A+ helicopter ramp-up support future growth.
1. Stock Performance
Lockheed Martin shares advanced 43.6% in the past three months, significantly outpacing the aerospace-defense sector’s 12.3% gain and surpassing peer increases at RTX (20.1%) and Northrop Grumman (36.2%).
2. Major Contract Awards
In the fourth quarter of 2025, the company secured a contract valued at over $1 billion for 18 space vehicles under the Tranche 3 Tracking Layer (TRKT3) program and won a $233 million deal for IRST21 Block II systems with initial spares for the U.S. Navy and Air National Guard.
3. Core Programs and Production
The F-35 program generated approximately 27% of total consolidated net sales in 2025, while demand for the upgraded S-92A+ heavy-lift helicopter is poised to rise as Sikorsky increases production to fulfill new government orders.
4. Financial Challenges and Valuation
Lockheed Martin recorded $950 million in losses on a classified fixed-price Aeronautics contract and additional deficits across helicopter programs, resulting in a 76.35% debt-to-capital ratio, even as its forward price-to-sales multiple of 1.96X trades at a discount to the 2.78X industry average.