LMT 4Q17 earnings results are in line, 2018 initial guidance shows positive impact from tax reform

Lockheed Martin reported 4Q 2017 earnings today that were in line with expectations. The initial 2018 outlook lifted the stock as LMT is using a lower tax rate to fund growth initiatives as well as to contribute $5B to its pension plan (always a big cost item for defense primes), which is improving earnings longer-term. Our price target is increasing to $374 as the F-35 deliveries gets closer to its target of 160/year. Continue reading “LMT 4Q17 earnings results are in line, 2018 initial guidance shows positive impact from tax reform”