FreeLMT4 min read
Why LMT's build rate re-rates it
LMT
Delayed
The thesis
Book-to-bill above one for several quarters is the tell here.
Defence budgets provide a floor under the order book regardless of macro.
What I'm watching
- margin incrementals
- build-rate guidance
- A clean move through the level I flag below
Positioning
Long on LMT, 3-18 months horizon. Conviction: Low. Supply-chain hiccups delay the margin story; sized accordingly.
Opinion, not investment advice. The author may or may not hold positions discussed.
Opinion. The author may or may not hold positions discussed. Not advice. Not a financial promotion approved under FSMA s.21. Quote data is delayed. Past performance is not a reliable indicator of future results.
Comments
2 commentsThis lines up with what I'm seeing in the LMT tape.
Reasonable thesis but I think LMT is priced for most of this already.