Lockheed Martin (LMT -2.95%) stock slipped 2.7% through 1:50 p.m. ET Thursday -- but here's the strange thing:
Lockheed stock is down not on bad news, but after making an actually positive announcement.
Image source: Getty Images.
Lockheed Martin does maritime drones
As StreetInsider.com reports today, Lockheed Martin just finished up demonstrating a partnership with privately held drone company Saildrone at the RIMPAC (Exercise Rim of the Pacific) 2026 naval exercises. In this demonstration, a Saildrone Surveyor craft was used to remotely fire Lockheed-built Joint-Air-to-Ground Missiles (JAGMs) at a mock high-speed motorboat target.
The Surveyor was also tested, demonstrating the use of threat-identification radar systems and electronic warfare systems that can be used to combat hostile drones.
NYSE: LMT
Key Data Points
What it means for Lockheed Martin
The largest pure-play defense stock in the world, Lockheed Martin is best known for building military aircraft and missile systems -- not naval vessels, and certainly not drone boats. (Indeed, Lockheed's overall maritime history can be charitably described as checkered, given its involvement in the much maligned and essentially canceled Littoral Combat Ship program!)
In partnership with Saildrone, however, Lockheed is finding a backdoor into Navy sales (pun intended) by putting its weapons on drone boats built by a partner. Going forward, Lockheed and Saildrone intend to expand their collaboration, including by using larger Saildrone Spectre-class vessels to carry larger containerized weapons systems such as Lockheed's Mk 70 vertical missile launchers and SURTASS Towed Array sonar systems for antisubmarine warfare.
Can such small experiments grow, evolve, and "move the needle" on Lockheed Martin's $77 billion annual revenue stream over time? Maybe yes, maybe no. Simply expanding the company's market for its products, however, makes this news a reason for Lockheed Martin stock to be going up today.
It certainly shouldn't be going down.
