Lockheed Martin Corporation

Lockheed Martin Corporation (NYSE: LMT) is a major global security, defense, and aerospace company, and is primarily engaged in the research, design, development, manufacture, integration, and sustainment of advanced technology systems, products, and services. It has significant business with the U.S. Department of Defense and U.S. federal government agencies. It also conducts significant business with foreign governments and commercial clients across the globe.

Lockheed Martin's four main business areas are Aeronautics, Missiles and Fire Control (MFC), Rotary and Mission Systems (RMS), and Space.

Lockheed Martin has historically been a solid performer with several key programs including the F-35, F-16, C-130J, and others under the aeronautics division. Meanwhile, the Space Systems unit is involved in significant projects including missile defense systems, military and commercial satellites, space probes, and global positioning systems.

This company has a reputation for providing consistent returns to shareholders in the form of dividends and share repurchases. Despite the effects of COVID-19 in 2020, the company continued to perform relatively well and aims to continue growth despite any potential economic slowdowns.

However, Lockheed Martin's significant dependence on the U.S. government for contracts, while providing some measure of stability, can also be a risk factor as fluctuations in governmental defense budgets or changes in priorities can impact the corporation's revenue.

Investing in Lockheed Martin, as with all investing, carries risk and it's important to conduct detailed research or consult with a financial advisor before making any final decisions.
Finally, as a prime contractor or subcontractor, Lockheed Martin follows a business model that is heavily dependent on government spending in the defense sector. National defense policies, politics, and budgets, therefore, have a significant impact on its fortunes.