Stock Analysis: Lockheed Martin Signaling Uptrend

Lockheed Martin (NYSE: LMT) is an American global aerospace, defense, security, and advanced technology company, headquartered in Bethesda, Maryland. With annual revenues of over $45 Billion, Lockheed Martin is the largest publicly traded company in the D.C. area.

Lockheed’s dividend yield is 5.27, its payout ratio is 36.64 and its ex-dividend date is November 29, 2011.

The stock is currently in distribution phase, as the market is showing signs of weakening. The stock has recovered 13.6% from its recent low price of $66.36 that occurred on August 11, 2011. The stock closed at $75.30 on Friday (November 25, 2011), just above the 50 DMA. Sustained move above the 50 day moving average could signal the development of an uptrend. The first target would be around $77.80, and the second target would be around 80 (the highs attained on October 25, 2011). If the 50 DMA fails, $74.49  could become a temporary support, which is also the 100 DMA; a break below that would send the stock down to $72.50, and finally to $70.

The market is still news-driven, and caution should be exercised when buying this stock. A stop-loss should always be in place.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 24 hours of this writing.


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