Can Global Defense Alliances Secure Lockheed Martin's Future Growth?

Lockheed Martin LMT benefits from global partnerships with international governments and defense companies. LMT strengthens its supply chain by sourcing components and manufacturing across multiple countries. This reduces dependence on any single region and lowers the risk of disruptions.

These partnerships also help Lockheed Martin enter new markets and generate additional revenues. The company can access local manufacturing skills and experience by working with foreign partners. This can reduce expenses, increase productivity, and assist the business in customizing its goods to satisfy particular local needs.

Close collaboration with allies enhances connectivity, allowing Lockheed Martin's military systems to function flawlessly with those of partner nations. This is a significant benefit for international military operations and increases the appeal of Lockheed Martin's systems to ally customers.

Global partnerships also support innovation. More advanced defense solutions result from collaborative research and development initiatives that save costs, speed up technological advancement and bring together a varied pool of technical expertise.

LMT works with more than 50 nations globally, assisting them in safeguarding their national interests while bolstering their internal economies. The organization has over 350 facilities around the world focused on achieving its common goals.

Overall, these alliances bolster Lockheed Martin’s competitiveness, drive long-term growth, and preserve its standing as a critical defense partner for U.S. allies globally.

Companies Strengthening Operations Through Global Partnerships

Several other U.S. defense companies are also realizing substantial advantages from their global partnerships and expanding portfolios of international contracts. These collaborations are enabling them to broaden market access, enhance technological capabilities and strengthen their competitive positions worldwide, as discussed below:

The Boeing Company BA is well positioned to drive long-term growth through international collaborations by tapping global markets, leveraging a vast worldwide supplier network, and strengthening customer relationships via localized services and support.

Airbus SE EADSY relies heavily on international collaborations, which strengthen its competitiveness in the global aerospace duopoly and support its long-term expansion and technological advancement.

LMT Stock’s Earnings Estimates

The Zacks Consensus Estimate for 2025 EPS indicates a decline of 22.59% and that for 2026 EPS implies an increase of 34.57% year over year.

 

Zacks Investment Research
Image Source: Zacks Investment Research

LMT Stock Trades at a Discount

In terms of valuation, LMT’s forward 12-month price-to-sales (P/S) is 1.45X, a discount to the industry’s average of 2.5X.

 

Zacks Investment Research
Image Source: Zacks Investment Research

LMT Stock’s Price Performance

In the past three months, the company’s shares have risen 2.1% compared with the industry’s 0.7% growth.

 

Zacks Investment Research
Image Source: Zacks Investment Research

LMT’s Zacks Rank

The company currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

 

Zacks Naming Top 10 Stocks for 2026

Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.

From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.

Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5. 

Be First to New Top 10 Stocks >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

The Boeing Company (BA) : Free Stock Analysis Report

Lockheed Martin Corporation (LMT) : Free Stock Analysis Report

Airbus SE - Unsponsored ADR (EADSY) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Data is currently not available

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.