4 days ago
India-Pakistan conflict: F-16 fighter jet maker Lockheed Martin share price gives zero return in one month
India-Pakistan conflict: India-Pakistan conflict: Shares of Lockheed Martin, the manufacturer of the F-16 fighter jets prized by Pakistan, have remained lacklustre over the past month, following India's Operation Sindoor.
During the four-day military conflict with India, which took place in May, Pakistan deployed fighter jets like F-16 and J-10, drones and missiles, but its attempts were successfully thwarted by India's air defence and battle-proven systems. Analysts believe this could prove a setback for the American defence company as it could impact its order book.
Against this backdrop, Lockheed Martin, the US defence giant, has remained largely unchanged during this period. The stock edged up just 0.97% in May.
'Even though the US gave F-16 fighter jets to Pakistan for other than war use, there are reports that Pakistan used Lockheed Martin Corp's F-16 and China's J-10 fighter jets during Operation Sindoor last month. However, neither could breach India's air defence system, which would be a massive setback for China and the US,' explained Avinash Gorakshkar, Head of Research at Profitmart Securities.
The market is expecting some hit on the order book of these defence companies in the upcoming quarters, said Goranshakr, explaining the weak returns in shares of Lockheed Martin.
