Defense Primes — United States

Lockheed Martin declared a quarterly dividend of $3.60 per share, a 4.3% increase from its prior dividend of $3.45. The forward yield comes to 2.83%. The dividend is payable Dec. 31 to shareholders of record as of Dec. 1, with an ex-dividend date of Dec. 1.

Jim Cramer said he likes L3Harris Technologies and advised investors to build a position gradually rather than trying to pick a bottom, speaking during the October 7 lightning round of Mad Money. Cramer suggested buying in increments, using a $230 stock divided by 10 as a $23 stock, buying the first tranche at 23 and adding down to 20. The comments followed L3Harris's second-quarter results, which showed orders of $7.3 billion, a book-to-bill ratio of 1.2x, and a record backlog of $42 billion. Revenue rose 8% to approximately $5.9 billion, diluted EPS climbed 28% to $3.13, and free cash flow increased 37% to $771 million. Missile Solutions revenue grew 14% to approximately $1.05 billion, while Communications & Spectrum Dominance operating margin rose to 26.9% from 24.6%. Cramer's interest comes even as L3Harris trades at approximately 18.7x forward earnings, above Lockheed Martin at 16.5x and Northrop Grumman at 16.6x, and as hedge fund holders slipped to 56 in Q2 from 59 in Q1.

Raytheon, an RTX business, has secured multi-year U.S. Navy contracts worth up to US$24.40 billion for Standard Missile-6 interceptors and up to US$6.30 billion for Standard Missile-3 Block IB interceptors, alongside additional awards tied to rising global missile defense demand. The long-term missile production and sustainment deals deepen RTX's role in critical air and missile defense infrastructure and reinforce its extensive backlog. The five-year Standard Missile 6 contract in particular supports RTX's backlog-driven investment case and ties into management's plan to spend about US$10.0 billion to US$10.5 billion in 2026 on engineering and capital projects aimed at easing missile capacity constraints and improving margins over time. RTX's narrative projects $112.3 billion in revenue and $10.9 billion in earnings by 2029, requiring 6.3% yearly revenue growth and a $3.2 billion earnings increase from $7.7 billion today. Three Simply Wall St community fair value estimates for RTX span roughly US$215.80 to US$234.82 per share, with the forecasts implying a $234.82 fair value and a 27% upside to the current price.

RTX's Raytheon business announced an AMRAAM production contract valued at up to $20.7 billion on September 28, covering five years with two option years and supporting a substantial increase in missile production. The maximum contract value should not be confused with revenue already earned. RTX also reported second-quarter sales of approximately $24.7 billion, up 14%, and adjusted earnings per share of $1.89, up 21%, with a backlog of $289 billion split between $170 billion in commercial orders and $119 billion in defense orders, and management raised its full-year adjusted EPS outlook to $7.10 - $7.25 from $6.70 - $6.90. On Mad Money, Jim Cramer said RTX keeps getting contract after contract despite fears that the defense budget has peaked, but he warned that weakness in commercial aerospace, where airlines could cut plane purchases if oil stays high, remains a complication. Pratt & Whitney's latest quarterly commercial aftermarket sales rose 25% even as commercial original-equipment sales fell 8%, and RTX continues to absorb costs from the Pratt & Whitney powder-metal issue, with its second-quarter filing estimating an approximately $700 million cash impact in 2026. At approximately 24.9x forward earnings, RTX traded below GE Aerospace's 36.9x but above Lockheed Martin's 16.6x, while 92 hedge funds held the stock in the second quarter versus 95 in the first, and short interest stood at 1.01% of the float.

Lockheed Martin Corp. has secured a key framework agreement with the Pentagon for its AIM-260 Joint Advanced Tactical Missile, positioning the company to ramp up production and delivery timelines for the advanced air dominance missile. The framework could provide multiyear revenue visibility if a proposed procurement contract secures Congressional approval, and Australia has announced plans to invest around A$736 million to equip the Royal Australian Air Force with the JATM. Lockheed Martin's partnership with Raytheon, The Javelin Joint Venture, signed an MOU with Tata Advanced Systems to explore co-production of the Javelin All Up Round missile system in India. The stock traded at $505.50 by October 1 closing, stretching Lockheed's 2026 year-to-date return to 4.51%, with a market capitalization of $124.19 billion and a trailing P/E ratio of 19.84x. Hedge fund ownership declined from 83 funds in Q1 2026 to 75 funds in the following quarter, while State Street Corporation held 32.98 million shares, or 14.29% ownership, as of June 30.

BAE Systems has received a $230.1 million contract to produce 32 Amphibious Combat Vehicle chassis in the Recovery Mission Role variant, known as ACV-R, the newest addition to the ACV family of vehicles. The ACV-R is designed to give the ACV fleet a recovery capability so the U.S. Marine Corps can rapidly recover and maintain its vehicles and keep them mission-ready. Rebecca McGrane, vice president of amphibious vehicles at BAE Systems, said the award highlights the company's shared commitment with the Marine Corps to equip Marines with the capabilities they need. The new variant joins the existing ACV portfolio, whose modular design also supports the ACV-30's firepower, the ACV-P's troop transport capacity and the ACV-C's command and control capabilities. Work on the ACV-R program will primarily take place in York, Pennsylvania through 2029 and includes the Government's design and final integration of the Palfinger Crane at Anniston Army Depot prior to fielding the variant to the Fleet Marine Force.

RTX Corporation received an $11.6 million Navy contract modification for spare Seeker Head Assemblies supporting RAM Block 1/2 guided missile round packs, with work extending through December 2029. The award reflects recurring sustainment demand tied to the Rolling Airframe Missile program, which provides ships with short-range defense against anti-ship missiles and other airborne threats. RTX's Raytheon business has a long-standing role in the RAM program, supporting continued production and sustainment of the system. Beyond RAM, RTX holds a broad portfolio of missile defense and precision weapons serving U.S. and international customers, and growing efforts to replenish missile inventories and modernize naval fleets could create additional opportunities. Shares of RTX have surged 11.1% in the past year against the industry's 20.6% decline, and the stock carries a Zacks Rank #3 (Hold).

Boeing has secured an undefinitized contract worth about US$14.7b from Lockheed Martin to scale PAC-3 Missile Segment Enhancement seeker production over a seven year period. The award comes as Boeing shares closed at US$188.32, with a 90 day share price return down 15.59%, a year to date share price return down 17.32%, and a one year total shareholder return down 16.42%. On the operating side, Commercial Airplanes narrowed its operating margin from negative 5.1% to negative 2.7% on 171 deliveries against 150, while the 737 is transitioning to 47 per month from 38 a year ago, with a fourth Everett line activated in July and management targeting 52 next year. A Simply Wall St narrative pegs Boeing's fair value at $160.01, implying the stock is 17.7% overvalued, while the firm's discounted cash flow model points to a future cash flow value of $376.49.

Raytheon, an RTX business, has secured a five-year contract with two additional option years valued at up to $24.4 billion for Standard Missile-6 interceptors for the U.S. Navy. The U.S. FDA approved an additional indication for Eli Lilly's Jaypirca, or pirtobrutinib, allowing its use as a first-line treatment for adult patients with previously untreated chronic lymphocytic leukemia or small lymphocytic lymphoma without a known 17p deletion, based on the BRUIN CLL-313 trial where progression-free survival was significantly improved with a hazard ratio of 0.20 and a p value below 0.0001. SAP SE agreed to acquire TechWolf, an AI work intelligence platform provider, in a deal expected to close in the fourth quarter of 2026 subject to regulatory approval, with terms not disclosed. Hagens Berman is investigating potential securities law violations by IBM after CEO Arvind Krishna previewed disappointing second-quarter 2026 results on July 14, 2026, sending IBM shares down 25% in one day and erasing over $68 billion in market capitalization. Canadian National Railway set a new quarterly record for grain movement, moving 7.94 million metric tonnes of grain from Western Canada in its third quarter, surpassing the previous record of 7.48 million metric tonnes set in 2020.

General Dynamics Land Systems, a business unit of General Dynamics, and Primordial Labs announced a master teaming agreement to bring natural language command and control to ground combat vehicles. The collaboration pairs GDLS's combat vehicle design and integration expertise with Anura, Primordial Labs' Natural Language Command and Control software, which lets crews direct on-board systems by stating their goals, objectives and constraints. Under the partnership, Primordial Labs will expand integration of Anura across vehicles in the General Dynamics Land Systems portfolio, including the Abrams tank and next-generation combat vehicles, so crews can express intent in natural language and let Anura act through on-board subsystems such as sensors, displays, communications and uncrewed systems. Because Anura runs entirely at the edge with no cloud reachback, the capabilities remain available in contested, communications-denied environments. Lee Ritholtz, CEO of Primordial Labs, said partnering with GDLS puts Anura on the platforms that define America's armored force, while Keith Barclay, vice president and general manager of U.S. operations at General Dynamics Land Systems, said the integration is about giving any soldier, in any formation, the ability to intuitively command complex systems.

Lockheed Martin raised its full-year sales and profit guidance after reporting strong second-quarter fiscal 2026 results and a record backlog of $230 billion. Sales rose 11% from the prior year to $20.1 billion, and net earnings per share came in at $7.94 versus $1.46 a year earlier, when the company was hit by a $1.6 billion charge tied to its Aeronautics unit and helicopter programs that did not repeat. The backlog was up 38.3% year-over-year, an increase of $36.8 billion from six months ago, driven by $65 billion in new orders during the quarter, including a $35 billion multi-year contract for THAAD interceptors. Lockheed now expects full-year sales of $79.75 billion to $81.75 billion, up from an initial range of $77.5 billion to $80 billion and above analysts' average estimate of $79.14 billion, with full-year EPS of $29.95 to $30.65 against earlier forecasts of $29.35 to $30.25 and Wall Street's $29.90. The stock trades at a forward price-to-earnings ratio of 16.16, below the sector median of 18.97, below peer RTX at 24.57, and below its own five-year average of 17.79, with investors watching how the F-35 maker delivers on its third-quarter results expected later this month.

Lockheed Martin's Rotary and Mission Systems business received a $209 million contract modification from the U.S. Navy for production of Surface Electronic Warfare Improvement Program AN/SLQ-32(V)6 systems. The award includes options that could raise the cumulative value of the contract to approximately $1.71 billion, with work performed in Liverpool, NY, and Lansdale, PA, and expected completion by September 2029. The AN/SLQ-32(V)6 is designed to help Navy ships detect, identify and respond to electromagnetic threats, capabilities the service is prioritizing as adversaries field more advanced radar, communications and electronic attack systems. The award underscores continued Navy investment in shipboard electronic warfare and fleet survivability, and Lockheed Martin's role in producing the system positions it to benefit from recurring procurement and upgrades as the Navy modernizes its surface fleet. RTX Corporation and Northrop Grumman also maintain established electronic warfare and sensor capabilities that could benefit from growing naval investment.

BAE Systems has received a contract from Lockheed Martin to deliver high-performance electronic warfare systems for F-35 Lightning II fighter jets. Under the contract, BAE Systems will manufacture and deliver EW systems for F-35 Lots 20-22 and provide systems to retrofit and modernize older aircraft. The AN/ASQ-239 EW system provides the F-35 with electromagnetic spectrum superiority, giving the jets instantaneous bandwidth, high-speed signal processing and advanced algorithms to detect threats and respond quickly. BAE Systems has delivered more than 1,500 EW systems for the F-35 and designs and manufactures them at its facilities in Austin, Texas and the New Hampshire cities of Manchester, Merrimack and Nashua. Amber Dolan, Vice President of F-35 Solutions at BAE Systems, said the company is laser-focused on scaling production and delivering software-based capabilities to meet the rapid pace of conflict.

Boeing announced on the 5th that it has been awarded a seven-year contract worth about $14.7 billion from Lockheed Martin for the expanded production and delivery of seekers, the guidance units, for the PAC-3 Missile Segment Enhancement, or MSE, hit-to-kill interceptor. Under the contract, Boeing will be able to triple its production of PAC-3 MSE seekers. The PAC-3 MSE is a hit-to-kill interceptor used in the Patriot air defense system to intercept ballistic missiles, cruise missiles and aircraft. Lockheed announced in January that it had signed a seven-year framework agreement with the U.S. Department of Defense to raise annual production capacity for PAC-3 interceptors from about 600 to 2,000, and the latest contract is part of that production expansion. Demand for interceptors has surged as conflicts in the Middle East and Ukraine strain U.S. weapons stockpiles, and the U.S. Army in July awarded Lockheed a contract worth up to $58.6 billion to expand PAC-3 missile production. Industry executives, however, warn that Congress has not yet approved the funding needed for these contracts, and contractors may be unable to make large investments in parts and facilities until lawmakers act.

Huntington Ingalls Industries' Newport News Shipbuilding division secured a US$5.10 billion contract in late September 2026 to conduct the refueling and complex overhaul of the USS Harry S. Truman (CVN 75). The award sits alongside the Navy's order for 10 ROMULUS unmanned surface vessels and an expansion of the Pocasset unmanned systems campus, tying long-duration carrier work to growing autonomous maritime capabilities within HII's Mission Technologies division. The company's narrative projects $15.3 billion in revenue and $963.2 million in earnings by 2029, requiring 5.2% yearly revenue growth and a $302.2 million earnings increase from $661.0 million today. That forecast yields a $367.25 fair value, a 37% upside to the current price, while some optimistic analysts assume revenue of about US$16.2 billion and earnings of roughly US$1.2 billion by 2029. The Truman overhaul reinforces HII's backlog but does not remove near-term risk that 2026 free cash flow could miss if contract advances or tax benefits arrive later or smaller than management hopes.

Teledyne Imaging Sensors announced it has delivered more than 1.3 billion infrared detector pixels in support of the U.S. Space Force and Space Development Agency's Proliferated Warfighter Space Architecture, and has been selected to provide infrared focal plane technology for both Accelerated Missile Defense Tranche 3 awards. The pixel deliveries support SDA Tracking Layer programs for missile warning and missile tracking missions. To date, Teledyne has delivered more than 170 infrared focal planes for the SDA Tracking Layer and is under contract to provide more than 115 additional focal planes. The AMDT3 awards, announced by SDA in July 2026, will add more than 30 additional missile warning, missile tracking, and missile defense satellites to the Tracking Layer in direct support of the Golden Dome for America initiative. Teledyne has also advanced its large-format focal plane arrays to formats as large as 6K × 6K and 8K × 8K pixels.

The FY2026 defense appropriations agreement includes more than $6.3 billion for 13 critical munitions and grants conditional multiyear procurement authority for eight of those programs, a tailwind for RTX Corp. as it scales production of AMRAAM air-to-air missiles, Standard Missiles and Tomahawk cruise missiles. RTX's order backlog reached a record $289 billion by the end of second quarter fiscal 2026. The company will spend $25 million to expand its Niepołomice site in Poland, which delivers tubular assemblies for commercial and military engines, following a $100 million capital outlay announced in April for its Rzeszów facility. RTX closed at $185.01 on October 1 with a market capitalization of about $249.3 billion, trading at a trailing P/E of 33.62x and a forward P/E of 24.57. Hedge fund ownership slipped from 95 funds in Q1 2026 to 92 funds in the following quarter, while BlackRock remains the largest institutional stakeholder with 110.53 million shares, or 8.20% ownership.

L3Harris Technologies has secured an undefinitized contract from Lockheed Martin worth more than US$6b over seven years to expand propulsion output for the THAAD missile defense system. The arrangement follows a prior framework with the Department of War to quadruple THAAD propulsion production and includes both a new Solid Rocket Boost Motor facility and added Liquid Divert and Attitude Control capacity. The contract lands as L3Harris shares have fallen about 9% over the past month and 22% year to date on a share price basis, though the 3 year total shareholder return is up roughly 53%. The company closed at $236.60, while the most followed narrative estimates fair value at about $342 per share using an 8.4% discount rate, framing the win as one more contract feeding into a broader backlog and earnings story. The story could break if U.S. budget pressure trims space spending or if prime contractor delays slow conversion of the reported US$42b backlog.

Boeing has been awarded the U.S. Navy's F/A-XX sixth-generation fighter contract, a multi billion dollar program. The F/A-XX is planned to replace the Navy's current F/A-18 Super Hornet fleet and extend carrier air wing reach. The award follows Boeing's earlier win on the U.S. Air Force's F-47 next generation fighter, consolidating its role in future combat aircraft. The win strengthens the part of the Boeing thesis that leans on advanced technology and a diversified backlog across commercial jets and defense, helping offset some reliance on the loss making commercial division by anchoring long duration military work alongside programs like the F-47 and P 8A. The award also magnifies concerns analysts already highlight around execution risk, supply chain complexity and high debt, since another classified, multi billion dollar fighter program increases capital and delivery commitments.

The US Navy has placed a multi-year contract with Raytheon, a unit of US defense giant RTX, to produce the Standard Missile 6 (SM-6) interceptor. The contract is worth up to $24.4 billion. It covers five years with an option to extend for another two, aiming to ensure a stable and reliable supply of the SM-6, which can carry out both strike and missile defense missions. The deal is part of a series of large weapons contracts pursued this year as the US Department of Defense seeks to replenish ammunition stockpiles depleted by conflicts in the Middle East and push defense companies to accelerate production. In late September, it signed a $20.7 billion multi-year preliminary contract for Raytheon's AMRAAM air-to-air missile, and in July it awarded Lockheed Martin a $58.6 billion Patriot interceptor missile contract. Industry executives have warned that Congress has not yet approved the funding needed for these contracts, and that defense companies may be unable to make large-scale investments in components and equipment until Congress acts.

Lockheed Martin's Rotary and Mission Systems business received a $94.2 million contract modification from the U.S. Navy to support continued development and integration of the AEGIS Combat System for the Royal Canadian Navy. The award funds system engineering, computer program baseline development and integration testing of AEGIS Weapon System elements and interfaces, with work performed primarily in Moorestown, New Jersey, and expected completion by December 2027. The contract is funded through the Foreign Military Sales program, underscoring Canada's continued investment in advanced naval capabilities. AEGIS integrates sensors, weapons and command-and-control capabilities so ships can detect, track and respond to airborne and surface threats. The award adds to Lockheed Martin's long-term AEGIS-related work and supports its position in the naval defense market.

Huntington Ingalls Industries received a US$5.1b contract to refuel and overhaul the USS Harry S. Truman carrier, work that will be carried out at the company's Newport News Shipbuilding division in Virginia. The refueling and complex overhaul, or RCOH, lands squarely in the backlog and cash flow side of the company's business, which is built on a $56.9 billion backlog of multi-year, multi-program contracts. Separately, HII reached preliminary acceptance of the future USS John F. Kennedy aircraft carrier with the U.S. Navy ahead of formal delivery, a milestone that speaks to execution on complex Ford-class programs. Huntington Ingalls Industries is a US$10.2b aerospace and defense contractor focused on designing, building, overhauling and repairing military ships for the U.S. fleet, making large carrier projects like Truman and the future John F. Kennedy central to its operations. The carrier work keeps heavy yards fully loaded, though it also locks the business further into large manned platforms while management commits capital, partners and factory space to ROMULUS and REMUS unmanned systems.

L3Harris Technologies has won a $461.9M firm-fixed-price contract to provide commercial satellite communications connectivity for designated executive airlift aircraft. The contract supports authorized government personnel, with work expected to continue through October 2028. A total of $62.3M in FY2026 operations and maintenance funds is being obligated at award. The U.S. Space Force at Los Angeles Air Force Base is the contracting activity.

RTX Corporation's Raytheon business has received a $50.1 million ceiling-priced delivery order to repair 98 Weapon Repairable Assemblies supporting the EA-18G Next Generation Jammer-Mid Band system. The work will be performed in Forest, MS, and El Segundo, CA, and is expected to be completed by March 2030. The award highlights the U.S. Navy's continued focus on maintaining critical electronic warfare equipment and ensuring the availability of systems deployed on the EA-18G Growler, whose Next Generation Jammer-Mid Band system is designed to disrupt or degrade enemy radar and communications. The repair order also demonstrates the recurring opportunities available through lifecycle support of advanced defense systems, and continued support for the Next Generation Jammer program could provide additional opportunities across RTX's broader electronic warfare portfolio. Shares of RTX have surged 11.7% in the past year against the industry's 16.2% decline, and the stock currently carries a Zacks Rank #2 (Buy).

General Dynamics' Electric Boat business has received a $40 million order from the U.S. Navy for 19 hydraulic actuators used on Virginia-class submarines. The work will be performed in Groton, CT, and is expected to be completed by December 2040, a long timeline that highlights the extended nature of the Navy's submarine procurement and sustainment programs. Hydraulic actuators are critical components supporting submarine system operations, and continued procurement of such equipment reflects the Navy's focus on maintaining fleet readiness while supporting ongoing Virginia-class production. The award reinforces Electric Boat's position as a key supplier to the Navy's submarine programs, and demand for Virginia-class submarines is expected to remain an important driver for General Dynamics as the Navy expands and modernizes its undersea fleet. Shares of GD have lost 2.5% in the past year compared with the industry's 16% decline, and the stock trades at a forward 12-month Price/Sales of 1.56X versus the industry average of 2.19X.

GE Aerospace and Kratos Defense successfully ignited the GEK800 turbofan cruise missile engine, a fresh data point for investors watching General Electric's defense story. The news lands against a mixed stretch for the share price: a 30 day share price return of 7.21% and a 90 day share price return of 15.22%, alongside a 1 year total shareholder return of 6.08% and a very large 5 year total shareholder return. General Electric now trades only slightly below some intrinsic value estimates while sitting well under the average analyst target, and on the narrative view its fair value sits at $307 against a last close of $317.89, a 3.5% overvalued reading. On the P/E lens the shares trade on 36.8x earnings, above both the 35.6x industry average and the same 35.6x peer group level, and above a fair ratio estimate of 34.7x. The company's reliance on Boeing's production tempo and exposure to tight aerospace supply chains remain the key risks to the wide moat narrative.

RTX unit Raytheon has secured a multi-year AMRAAM missile production contract worth up to US$20.7b. The agreement supports the Department of War's Arsenal of Freedom initiative to accelerate delivery of advanced air-to-air missiles, and the multi-year award is intended to expand AMRAAM manufacturing capacity to meet large-scale government demand for missile systems. RTX operates as a large US$252.9b aerospace and defense contractor that supplies systems and services to military, commercial, and government customers, so the long-term AMRAAM production agreement fits directly into its core role as a key weapons supplier for US defense programs. The award plugs into an RTX narrative that hinges on converting a US$289b backlog, especially long-duration munitions deals, into tangible revenue and operating profit, and the Arsenal of Freedom scope lines up with earlier commentary on several contracts where missile volumes are expected to rise between 2x and 4x. The key proof point is whether RTX gets AMRAAM output up to the levels implied by this deal while preserving margins, with reported book-to-bill in Raytheon, missile shipment volumes tied to the Arsenal of Freedom initiative, and management's updates on missile capacity within the planned US$10b to US$10.5b 2026 capital program as the metrics to watch.

Lockheed Martin Missiles and Fire Control has been awarded a $244.96M firm-fixed-price modification to a previously awarded U.S. Navy contract, adding scope to procure Full Rate Production 2 of F/A-18E/F Infrared Search and Track Block II systems. That modification covers 48 infrared receivers, 45 for the Navy and three for the Royal Australian Air Force, along with 74 processors and 27 inertial measurement units for the Navy, plus test equipment maintenance and lay-in material, with work performed across Florida, California and Pennsylvania and expected completion in February 2031. The Navy also awarded Lockheed a $52.11M cost-plus-fixed-fee modification to a previously awarded contract to incorporate engineering changes into F-35 Lot 18-19 air vehicle production for the Air Force, Marine Corps, Navy, F-35 Cooperative Partners and Foreign Military Sales customers. Separately, Lockheed Martin Rotary and Mission Systems of Moorestown, New Jersey, was awarded a $724M contract modification for the Japanese Ministry of Defense, raising the total contract value from $1.64B to $2.36B. That contract covers delivery of the Aegis System-equipped vessel #1 and ASEV #2 AEGIS Combat System to Japan, with work performed in Moorestown, New Jersey, and Japan from Sept. 29, 2026, through March 31, 2030.

HII announced that its Newport News Shipbuilding division has achieved preliminary acceptance of the aircraft carrier John F. Kennedy (CVN 79), the second Gerald R. Ford-class nuclear-powered carrier. Preliminary acceptance is the final step before formal delivery to the U.S. Navy, and it allows the Navy to begin underway test and evaluation of Kennedy's unique systems while the crew gains operational proficiency. CVN 79 successfully completed acceptance trials in August. Bryan Caccavale, NNS vice president of program management, said achieving preliminary acceptance is another step toward ensuring the U.S. Navy has the aircraft carriers it needs to carry out its mission of defending the nation. The carrier departed Newport News Shipbuilding today and will transition to Naval Station Norfolk.

Lockheed Martin received an $18.9 million contract modification for the U.S. Air Force's Three-Dimensional Expeditionary Long-Range Radar program, lifting the cumulative face value of the contract to approximately $1.01 billion from $991.3 million. Work will be performed in Liverpool, NY, and is expected to be completed by June 2029. The three-dimensional long-range radar systems are designed to provide detailed information on the location, altitude and movement of airborne objects, supporting air surveillance and timely responses to aircraft, missiles and other potential threats. The award highlights continued demand for mobile and expeditionary radar capabilities, and Lockheed Martin's expertise in radar, sensors and integrated mission systems positions it to benefit from those requirements. Shares of LMT have risen 5.3% in the past year against the industry's 14.7% decline, and the Zacks Consensus Estimate for LMT's 2026 and 2027 earnings has moved north over the past 60 days.

Taiwan's defense minister has revealed that Taiwan is continuing discussions with the United States on arms purchases and has received assurances from Washington that its policy toward Taiwan remains unchanged, following last week's meeting between President Donald Trump and Chinese President Xi Jinping in Washington. Wellington Koo, Taiwan's defense minister, told reporters today that since the summit, the Taiwanese government has received repeated clarifications from the US side that Washington's policy toward Taiwan remains the same, and that for arms procurement programs currently underway, each project requires concrete cooperation, with no notification of any changes so far. One of the delayed programs is an order for 66 F-16V fighter jets from Lockheed Martin, placed in 2019, equipped with modern electronics, weapons, and radar to enhance the ability to counter the Chinese air force, including the J-20 stealth fighter. Taiwanese media reported that the first two F-16V jets are in Hawaii awaiting delivery to Taiwan. Koo did not disclose a delivery schedule, saying only that production has reached a stage where delivery is possible, and noted that due to the delays, related compensation measures are in place. China has consistently urged the United States to stop selling arms to Taiwan. In May, after visiting Beijing, Trump said the United States had paused consideration of a new arms package worth about 14 billion dollars, but after meeting Xi in Washington last week, Trump said only that Xi understood his position on Taiwan.

Insiders say Iran sees little possibility of reaching an agreement to end the war with the United States and reopening the Strait of Hormuz before the midterm elections in November, while talks between the two sides on the sidelines of last week's UN General Assembly made only slight progress. Iran believes there is a high likelihood the conflict will escalate after the US midterm elections on November 3. President Donald Trump told reporters on Monday, September 28, that US representatives are discussing negotiations with Iran through intermediaries but declined to give details, stressing that the matter will end one way or another and will conclude fairly quickly. A US official said Washington will not reach a deal with Iran without resolving the issue of Iran's nuclear program, and that Trump is ready to ease sanctions and unfreeze Iran's frozen assets if Iran shows concrete progress on the nuclear issue. Meanwhile, Iranian Foreign Minister Abbas Araghchi, who met last week with Trump representatives Jared Kushner and Steve Witkoff, remains in the United States for further discussions through intermediaries. Qatari mediators are expected to arrange separate talks with Abbas Araghchi in New York and to hold discussions with the US side on Monday or Tuesday local time. The main issue is refining the proposal for a 7-day opening of Hormuz that Iran put forward last week. Mediators are pushing for an agreement different from the memorandum of understanding signed by Iran and the United States in mid-June, which led to a ceasefire and helped increase shipping through the Strait of Hormuz but collapsed within just two weeks and was criticized by US politicians as giving Iran too much financial benefit, especially through sanctions relief. Iran continues to restrict shipping in the Strait of Hormuz, leaving cargo and oil transport volumes far below pre-war levels. Two sources said the US government has told intermediaries that it wants Iran to give clear commitments on reopening the Strait of Hormuz and to make concessions on the nuclear program. Iranian President Masoud Pezeshkian reiterated to the UN General Assembly that Iran does not seek to develop nuclear weapons but will not give up its right to develop nuclear technology for economic benefit.

Lockheed Martin's Rotary and Mission Systems unit won a $155.7M cost-plus-award-fee contract modification to support systems engineering and software integration for the Integrated Combat System across U.S. Navy and Coast Guard surface forces. The work is expected to be completed by September 27, 2026. Of the $96.3M in fiscal 2025–2026 Navy procurement, R&D, weapons procurement, and operations funds obligated at award, $46.3M comes from fiscal 2025 other procurement and $40.6M from fiscal 2026 RDT&E, while $6.2M of the obligated funds will expire at the end of the current fiscal year. Naval Sea Systems Command is the contracting activity.