Pentagon Seeks 85 F-35 Jets in $1.5 Trillion Plan, Shares Rally 19.3%

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The Pentagon’s 2027 budget requests 85 F-35 jets—38 F-35As, 10 F-35Bs and 37 F-35Cs—up from 47 last year within a $1.5 trillion plan raising defense outlays 42% to 4.5% of GDP. Lockheed Martin shares have jumped 19.3% over three months on defense and space deals despite rising debt and losses.

1. Pentagon Increases F-35 Order

The Pentagon’s fiscal 2027 budget blueprint requests 85 F-35 fighters—a jump from 47 last year—comprising 38 F-35A models for the Air Force, 10 F-35B variants for the Marine Corps and 37 F-35C jets for carrier operations.

2. Record Defense Spending Rise

The proposed $1.15 trillion base budget plus $350 billion reconciliation seeks to lift defense outlays 42% year-over-year to 4.5% of GDP, earmarking roughly $260 billion for procurement, $220 billion for research, development, testing and evaluation, and $17.5 billion for the Golden Dome missile defense initiative.

3. Stock Rally and Financial Risks

Lockheed Martin shares have surged 19.3% over the past three months on defense and space contract wins, while analysts warn that expanding debt levels and widening quarterly losses could pressure its valuation and future earnings.

Sources

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