Lockheed Martin Rises 7.71% in Pre-Market Trading, CAMT Tax Exemption Expected to Reduce Federal Income Tax Burden

Market Focus07-23 18:31

On July 23, Lockheed Martin rose 7.71% in pre-market trading to $552.89/share, with turnover of $2.09 million, as the company released quarterly earnings and disclosed a favorable tax development.

On the news front, Lockheed Martin announced that under the One Big Beautiful Bill Act, the company is exempt from the Corporate Alternative Minimum Tax (CAMT) for the current year and expects significantly reduced federal income tax payments for the full year. This tax benefit directly enhances the company's after-tax profitability outlook. The earnings release came amid market expectations of quarterly revenue of $19.375 billion, representing 4.32% year-over-year growth, and adjusted EPS of $7.14, up 10.79% year-over-year.

Additionally, the company maintained its quarterly dividend at $3.45 per share. The pre-market surge also reflects relief following recent concerns over hypersonic missile program setbacks and defense spending uncertainty that had pressured shares earlier in the week, with the stock declining over 4% on July 21.

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