Lockheed Martin Transfers Pension Obligations to Insurers

Lockheed Martin ( (LMT) ) has provided an announcement.

On December 16, 2025, Lockheed Martin executed buy-out conversions of previously purchased group annuity contracts, transferring approximately $900 million of gross defined benefit pension obligations from its pension plans to certain insurance companies at no additional cost or funding contribution to the company. Following the conversions, the insurers legally assumed responsibility for paying and administering retirement benefits for about 9,000 U.S. retirees and beneficiaries, with no change to the nature, amount, or timing of benefits, while Lockheed Martin expects to record a non-cash, non-operating pretax settlement charge of roughly $480 million in the fourth quarter of 2025, which represents accelerated recognition of actuarial losses and was not included in its prior 2025 financial outlook.

The most recent analyst rating on (LMT) stock is a Hold with a $543.00 price target. To see the full list of analyst forecasts on Lockheed Martin stock, see the LMT Stock Forecast page.

Spark’s Take on LMT Stock

According to Spark, TipRanks’ AI Analyst, LMT is a Outperform.

Lockheed Martin’s overall stock score reflects strong earnings call performance and solid financials, tempered by high leverage and valuation concerns. The company’s positive outlook and significant contract wins are key strengths, while technical indicators suggest caution.

To see Spark’s full report on LMT stock, click here.

More about Lockheed Martin

Lockheed Martin is a major U.S. aerospace and defense company that designs, develops, and manufactures advanced technology systems and services, with a significant focus on military aircraft, missile defense, space systems, and related defense solutions for government and commercial customers worldwide.

Average Trading Volume: 1,363,130

Technical Sentiment Signal: Strong Buy

Current Market Cap: $110.4B

Find detailed analytics on LMT stock on TipRanks’ Stock Analysis page.