Lockheed Martin Corporation (LMT) Covered Calls

Lockheed Martin Corporation covered calls Lockheed Martin Corporation is a premier global security and aerospace company focused on the research, design, and integration of advanced technology systems. As the world’s largest defense contractor, it operates across four segments: Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space. The company is a leader in fifth-generation fighter jets, missile defense, and space exploration, providing critical mission solutions for the U.S. and its allies.

You can sell covered calls on Lockheed Martin Corporation to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for LMT (prices last updated Fri 4:16 PM ET):

Lockheed Martin Corporation (LMT) Stock Quote
Last Change Bid Ask Volume P/E Market Cap
652.58 +15.15 647.70 654.00 1.5M 30 147
Covered Calls For Lockheed Martin Corporation (LMT)
Expiration Strike Call Bid Net Debit Return
If Flat		 Annualized
Return If Flat
Feb 20 652.5 8.30 645.70 1.1% 50.2%
Mar 20 655 18.60 635.40 3.5% 35.5%
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Lockheed Martin Corporation (LMT) is the global leader in the defense industrial base, serving as the primary architect for the United States’ most critical national security platforms. The company’s "21st Century Security" strategy focuses on digital transformation, integrating advanced networking and AI across all domains—land, air, sea, space, and cyber—to ensure mission readiness against evolving global threats.

Core Business and Products

  1. Aeronautics: This segment is anchored by the F-35 Lightning II, the world’s most advanced multi-role fighter program. In 2026, Lockheed is focused on the "TR-3" hardware refresh and "Block 4" capability upgrades, while the Skunk Works division continues development on sixth-generation air dominance technologies and the X-59 quiet supersonic aircraft.
  2. Missiles and Fire Control (MFC): A high-growth driver in 2026 due to the rapid expansion of the "Arsenal of Democracy." This segment produces the PAC-3 MSE and THAAD interceptors. Following landmark multi-year agreements in early 2026, the company is tripling production capacity for these interceptors to meet record international and domestic demand.
  3. Rotary and Mission Systems (RMS): Includes Sikorsky helicopters (Black Hawk, CH-53K) and the Aegis Combat System. In 2026, the company is ramping up the "U-Hawk" rapid development drone and expanding its "Nomad" family of long-endurance unmanned aerial systems.
  4. Space: Lockheed is a key partner in NASA’s Artemis program with the Orion spacecraft. Its 2026 space strategy centers on the Tranche 2 satellite constellation for secure military communications and the development of next-generation interceptors for hypersonics defense.

Competitive Landscape

Lockheed Martin operates in a capital-intensive sector with high barriers to entry and long-dated government contracts. Its primary domestic rival is RTX Corporation, which competes heavily in missile systems and sensors. In the aeronautics and space sectors, it contends with Boeing and Northrop Grumman. For specialized naval and land systems, it faces competition from General Dynamics and Huntington Ingalls Industries. As the company pushes into digital defense and IT infrastructure, it increasingly overlaps with technology-focused firms like Leidos and L3Harris Technologies.

Strategic Outlook and Innovation

In 2026, Lockheed Martin is executing a generational manufacturing shift through its "Munitions Acceleration Center" and advanced robotics initiatives. The company is transitioning from a traditional hardware manufacturer to a "Digital Backbone" provider, exemplified by its partnership with Fujitsu to develop dual-use quantum and edge computing solutions. Innovation is currently centered on "Agentic AI" for autonomous teaming between manned fighters and drones. Strategically, the company is navigating a record-breaking backlog while investing billions in facility modernization across several states. With a commitment to consistent shareholder returns, the firm maintains a disciplined capital allocation strategy through steady dividend growth and an active share repurchase program. By securing long-term multi-year framework agreements, Lockheed is aiming for sustained margin expansion as production volumes for its most critical defensive systems continue to scale through the end of the decade.