UBS upgraded Lockheed Martin (LMT) to Buy from Neutral on Tuesday. The bank raised its 12-month price target to $674 from $581. Analysts project a 9% revenue compound annual growth rate through 2028. This forecast exceeds current market consensus estimates.
The Missiles and Fire Control (MFC) division drives the optimistic outlook. UBS anticipates segment revenue will grow 150% between 2025 and 2030. Increased demand for PAC-3 and THAAD systems fuels this projection. Depleted Western stockpiles and rising international demand support higher production levels. The bank suggests the market has not fully priced in this sustainable growth.