Major Defence contractor Lockheed Martin reported Q4 earnings of $3.25 per share, surpassing the street’s estimate of $3.04 by almost 7%. Full year earnings of $12.38 also beat the consensus of $12.18 and improved by 24.7% from the year-ago level.
Q4 revenue was announced at $13.75 billion , beating analysts’ expectations of $13.09 billion by 5%. Total 2016 revenues were reported at $47.25 billion, up 16.6% on a year-on-year basis and above the street consensus of $46.46 billion.
For 2017, the firm expects to generate revenues in the $49.5 to $51.25 billion range and expects EPS to be in the range of $12.25 to $12.55.
Despite this solid Q4 report, shares of Lockheed Martin fell 4.5% on the day to $252.00. We see scope for the price to slip lower to the November low of $240.00 over the near-term.