Lockheed Martin's Stock Rallies Toward Record High After Earnings Beat, Raised Outlook

Shares of Lockheed Martin Corp. rallied 2.3% in premarket trade Tuesday toward a record high, after the aerospace and defense contractor reported second-quarter results that beat expectations and raised its full-year outlook. Net profit fell to $942 million, or $3.23 a share, from $1.02 billion, or $3.32 a share, in the same period a year ago. Earnings per share from continuing operations was $3.23, above the FactSet consensus of $3.11. Revenue rose to $12.69 billion from $11.58 billion, topping the FactSet consensus of $12.43 billion, as beats by the aeronautics, rotary and mission systems and space systems segments offset a miss in the missiles and fire control business. For 2017, the company raised its EPS outlook to $12.30 to $12.60 from $12.15 to $12.45 and lifted its revenue outlook to $49.8 billion to $51.0 billion from $49.5 billion to $50.7 billion. The stock has rallied 15.4% year to date through Monday, while the SPDR Industrial Select Sector ETF has climbed 11.5% and the S&P 500 has gained 9.8%.