Lockheed Martin Declares Fourth Quarter 2024 Dividend

Rhea-AI Summary

Lockheed Martin (NYSE: LMT) has announced a fourth quarter 2024 dividend of $3.30 per share, representing a $0.15 increase from the previous quarter. This marks the company's 22nd consecutive year of dividend increases. The dividend will be paid on Dec. 27, 2024, to shareholders of record as of Dec. 2, 2024.

Additionally, Lockheed Martin's board has authorized an additional $3 billion for share repurchases, bringing the total authorization for future repurchases to approximately $10 billion. The company retains discretion over the number of shares purchased and the timing of these repurchases, subject to compliance with applicable laws and regulations.

Positive

• Dividend increased by $0.15 per share to $3.30
• 22nd consecutive year of dividend increases
• Additional $3 billion authorized for share repurchases
• Total share repurchase authorization now approximately $10 billion

Negative

• None.

Insights

Financial Analyst

Lockheed Martin's dividend increase and share repurchase authorization are significant moves that signal confidence in the company's financial health and commitment to shareholder returns. The $3.30 per share dividend represents a 4.8% increase from the previous quarter, continuing a strong 22-year streak of dividend growth. This consistency is highly valued by income-focused investors.

The additional $3 billion authorization for share repurchases, bringing the total to approximately $10 billion, is substantial. For context, this represents about 6.9% of Lockheed's current market cap. Such a large buyback program can potentially boost earnings per share and support the stock price.

These shareholder-friendly actions suggest management's optimism about future cash flows and profitability. However, investors should also consider the balance between returning capital to shareholders and investing in growth opportunities, especially given the evolving landscape of defense spending and geopolitical tensions.

Defense Industry Analyst

Lockheed Martin's dividend increase and share buyback expansion reflect a robust outlook for the defense sector. As geopolitical tensions persist globally, demand for advanced military hardware and systems remains strong. LMT's confidence in sustaining high cash flows likely stems from its diverse portfolio of high-value contracts and its position in key areas like F-35 fighter jets, missile defense systems and space technology.

The company's ability to consistently raise dividends for over two decades, even through various economic cycles and shifts in defense priorities, underscores its resilient business model. This stability is particularly attractive in the current uncertain economic environment. However, investors should monitor potential shifts in U.S. defense budgets and international arms sales policies, as these could impact future growth trajectories. The substantial buyback authorization also suggests that management may view the current stock valuation as attractive relative to its long-term prospects.

BETHESDA, Md., Oct. 2, 2024 /PRNewswire/ -- The Lockheed Martin (NYSE: LMT) board of directors has authorized a fourth quarter 2024 dividend of $3.30 per share. This is an increase of $0.15 per share over the last quarter and represents the company's 22nd consecutive year of dividend increases. The dividend is payable on Dec. 27, 2024, to holders of record as of the close of business on Dec. 2, 2024.

The company's board has also authorized the purchase of up to an additional $3 billion of Lockheed Martin common stock under its share repurchase program. With this increase, total authorization for future repurchases under the share repurchase program is approximately $10 billion. The number of shares purchased and the timing of purchases are at the discretion of management and subject to compliance with applicable laws and regulations.

About Lockheed Martin
Lockheed Martin is a global defense technology company driving innovation and advancing scientific discovery. Our all-domain mission solutions and 21st Century Security^® vision accelerate the delivery of transformative technologies to ensure those we serve always stay ahead of ready. More information at LockheedMartin.com.  

 

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SOURCE Lockheed Martin

FAQ

What is Lockheed Martin's (LMT) dividend for Q4 2024?

Lockheed Martin's dividend for Q4 2024 is $3.30 per share, an increase of $0.15 from the previous quarter.

When will Lockheed Martin (LMT) pay its Q4 2024 dividend?

Lockheed Martin will pay its Q4 2024 dividend on December 27, 2024, to shareholders of record as of December 2, 2024.

How much has Lockheed Martin (LMT) authorized for share repurchases?

Lockheed Martin has authorized an additional $3 billion for share repurchases, bringing the total authorization to approximately $10 billion.

How many consecutive years has Lockheed Martin (LMT) increased its dividend?

Lockheed Martin has increased its dividend for 22 consecutive years as of 2024.