• Lockheed Martin is proving to be resilient in the midst of the coronavirus.
• Lockheed Martin's major businesses continue to show strength.
• Volatility in the Middle East could negatively impact Lockheed Martin.

Lockheed Martin (LMT) has been on an upward trajectory for years now. The company continues to operate at the forefront of many advanced technology industries. While the coronavirus has had a negative impact on Lockheed Martin, the company is proving to be relatively resilient during the pandemic. In fact, Lockheed Martin has recovered most of its losses over the past few months.

Lockheed Martin experienced a strong Q1 and outperformed expectations. The company's quarterly GAAP EPS of $6.08 and revenue of $15.65 billion beat expectations by $0.28 and $580 million, respectively. Lockheed Martin has fared relatively well during the pandemic as many of its services have been considered essential. Despite the current economic downturn, Lockheed Martin is well-positioned moving forward.

Lockheed Martin has rebounded in recent months after a sharp drop.

Data by YCharts

Major Segments Remain Robust

Lockheed Martin's quarterly sales grew an impressive 9% Y/Y in Q1. The company's Aeronautics segment performed particularly well with 14% Y/Y growth. The company notably experienced ~$900 million in F-35 orders and $3.6 billion in other awards. While Aeronautics has been performing exceptionally well, the segment is already starting to experience disruptions as a result of the coronavirus. Such disruptions will almost certainly have a negative impact on Lockheed Martin's business in 2020.

Lockheed Martin's RMS segment also performed well and was awarded over $7 billion this quarter, with Sikorsky accounting for over $4 billion in awards alone. Perhaps the most promising aspect of Lockheed Martin is its growing space business. The frontiers of space are opening up like never before with figures like Elon Musk and Jeff Bezos investing billions into the industry. Lockheed Martin is among the top companies leading the space charge.

While Lockheed Martin is not as flashy as companies like SpaceX, it is making rapid progress on the space front. In fact, the company recently had two of its GPS III spacecrafts accepted into operations by the Air Force Space Command. Lockheed Martin could see a great deal of upside as a front runner in the burgeoning space industry.

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