Lockheed Shares Sink on Bearish Sales Outlook for Next Year

(Bloomberg) -- Lockheed Martin Corp.’s shares are plunging in morning trading on its bearish outlook for next year. The stock is down 11.7% to $332.30 at 11:43 a.m. in New York.

Lockheed expects sales to fall in 2022, as it provides the first glimpse into how pared F-35 production may affect results. 

The company sees net sales declining to about $66 billion next year. That’s a drop from the range of $67.3 billion to $68.7 billion in its updated outlook for 2021. Analysts had predicted revenue of $70.3 billion next year, according to data compiled by Bloomberg.

Bloomberg Intelligence’s Douglas Rothacker says Lockheed’s signal of a more modest low-single-digit revenue-growth outlook over the next few years shouldn’t come as too big of a surprise given the reduced F-35 production plan.

For more on Lockheed, GE, 3M, UPS, Raytheon Third-Quarter Earnings, click here for our TOPLive blog.

©2021 Bloomberg L.P.