Earnings Drag and Geopolitical Headwinds Weigh on Lockheed Martin’s (LMT) Performance

Earnings Drag and Geopolitical Headwinds Weigh on Lockheed Martin’s (LMT) Performance

Thu, September 17, 2026 at 2:55 PM GMT+3 2 min read

Alluvium Asset Management, an asset management company, released its "Conventum – Alluvium Global Fund" second-quarter 2026 investor letter. The letter can be downloaded here. The second quarter reflected a sharp shift from geopolitical uncertainty and oil market volatility to a powerful equity rally led by semiconductor companies. Despite the broader market strength, the Fund declined 1.4% in EUR terms, 2.2% in USD terms, and 3.9% in AUD terms. Portfolio results were mixed, with Alphabet benefiting from strong Cloud growth, while Robert Half, H&R Block and other holdings posted solid gains. However, cable businesses and several healthcare and consumer holdings weighed on performance. Also, check the fund's top five holdings to see its best picks in 2026.

In its second-quarter 2026 investor letter, Conventum – Alluvium Global Fund highlighted Lockheed Martin Corporation (NYSE:LMT). Lockheed Martin Corporation (NYSE:LMT) is a US-based aerospace and defense company, engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services. On September 16, 2026, Lockheed Martin Corporation (NYSE:LMT) closed at $537.25 per share. Over the past month, Lockheed Martin Corporation (NYSE:LMT) declined 5.99% and its shares gained 13.43% over the past 52 weeks. Lockheed Martin Corporation (NYSE:LMT) has a market capitalization of $1123.99 billion with a 52-week trading range between $437.25 and $692.00.

Conventum – Alluvium Global Fund stated the following regarding Lockheed Martin Corporation (NYSE:LMT) in its Q2 2026 investor letter:

"Lockheed Martin Corporation (NYSE:LMT), the defence contractor, reversed some of its March quarter's share price gain by falling 15.1%. Its first quarter results were mildly disappointing, and together with the tempering war, this probably led to the poor performance. It trades in-line with our valuation, and we intend to maintain the Fund's current position of 2.5%."

Lockheed Martin Corporation (NYSE:LMT) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 75 hedge fund portfolios held Lockheed Martin Corporation (NYSE:LMT) at the end of the second quarter which was 83 in the previous quarter. While we acknowledge the potential of Lockheed Martin Corporation (NYSE:LMT) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we discussed the stock and shared Sweden's plan to purchase Lockheed Martin Corporation (NYSE:LMT) HIMARS launchers plus ammunition. In addition, please check out our hedge fund investor letters Q2 2026 page for more investor letters from hedge funds and other leading investors.

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This article is originally published at Insider Monkey.