Latest news with #LockheedMartinCorp
Yahoo
21-05-2025
- Business
- Yahoo
Trump's 'Big Beautiful Bill' Advances: Here's Who Wins And Loses
President Donald Trump's sweeping legislative package is, as expected, divisive. Republicans are pitching it as 'One, Big Beautiful Bill.' Democrats are calling it 'one big beautiful betrayal.' Here's a look at some of the bill's key elements. The Winners: The bill seeks to extend The Tax Cuts and Jobs Act (TCJA) of 2017. That means the expiring provisions that benefit high-income and wealthy earners would be permanent. It also seeks to eliminate federal taxes on tips and overtime pay, fulfilling some of Trump's campaign promises. The tax breaks would reduce revenue by $4.9 trillion over the decade, but increase spending on military, defense and border security. Trending: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — So, if legislators sign the bill into law, major U.S. defense contractors like RTX Corp. (NYSE:RTX) and Lockheed Martin Corp. (NYSE:LMT) could benefit from increased defense spending. Other companies exposed to the defense sector including Palantir Technologies, Inc. (NASDAQ:PLTR) and Booz Allen Hamilton Holding Corp. (NYSE:BAH) could also benefit from increased military and defense spending. The Losers: The cost of the tax bill will be partially balanced with new taxes on private university endowments and significant cuts to programs like Medicaid. Stocks of major Medicaid managed care organizations could be vulnerable to enrollment volatility and premium pricing challenges if the changes are approved. Investors would be wise to monitor UnitedHealth Group, Inc. (NYSE:UNH), Centene Corp. (NYSE:CNC) and Elevance Health, Inc. (NYSE:ELV) as the bill moves through Congress. Low-income Americans who rely on food assistance should also take note. House Republicans are proposing major changes to the Supplemental Nutrition Assistance Program, or SNAP. The program aids over 42 million Americans. The bill would shift 5% of benefit costs and 75% of administrative costs to states, up from the current 50% share for administration only. It also seeks to expand work requirements to recipients up to age have criticized the move as harmful to families, while Republicans say it promotes work and cuts waste. The House Agriculture Committee has already approved $300 million in SNAP cuts to help fund tax breaks. If the legislative package is passed, it would also be the end of many clean energy initiatives and key tax credits and would impose new fees on electric vehicles. These changes could slow the growth of the clean energy sector and make electric vehicles and renewables less competitive compared to traditional energy sources. Clean energy stocks including Enphase Energy, Inc. (NASDAQ:ENPH), First Solar, Inc. (NASDAQ:FSLR) and Sunrun, Inc. (NASDAQ:RUN) were all sharply lower on Monday as investors digested the potential effects on the industry. The 1,116-page bill also wouldn't quell fears about America's public debt, which currently stands at $36 trillion. According to the nonpartisan watchdog group, the Committee for a Responsible Federal Budget, the bill adds approximately $3.3 trillion to the national debt over the next ten years. What's Next: After advancing out of the House Budget Committee in a rare Sunday meeting by a narrow 17-16 vote, Trump's 'One Big, Beautiful Bill' faces several key steps before it can become law. The next stop is the House Rules Committee, which will meet midweek to set the terms for floor debate, consider possible amendments, and make any necessary last-minute adjustments to the bill before it heads to a full vote on the House floor. If the bill passes the House, it will move to the Senate where it may face additional challenges, as Republican senators are also seeking changes that could complicate final passage. Further changes to the bill are possible as leaders work to secure enough support from both conservative and moderate factions. Read Next: Hasbro, MGM, and Skechers trust this AI marketing firm — Invest before it's too late. 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. You can invest today for just $0.30/share with a $1000 minimum. Photo: Shutterstock Send To MSN: Send to MSN UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Trump's 'Big Beautiful Bill' Advances: Here's Who Wins And Loses originally appeared on
Time of India
14-05-2025
- Business
- Time of India
US agrees to sell Saudi Arabia $142 billion arms package
The United States agreed on Tuesday to sell Saudi Arabia an arms package worth nearly $142 billion, according to a White House fact sheet that called it "the largest defense cooperation agreement " Washington has ever done. The agreement, signed during U.S. President Donald Trump's visit to the Saudi capital Riyadh, covers deals with more than a dozen U.S. defense companies in areas including air and missile defense , air force and space advancement, maritime security and communications, the fact sheet said. "The package signed today, the largest defense cooperation deal in U.S. history, is a clear demonstration of our commitment to strengthening our partnership," the fact sheet said. Continue to video 5 5 Next Stay Playback speed 1x Normal Back 0.25x 0.5x 1x Normal 1.5x 2x 5 5 / Skip Ads by Reuters first reported last month that the arms package would be worth well over $100 billion. Reuters previously reported that Lockheed Martin Corp was expected to sell C-130 transport aircraft, missiles and radars as part of the deal. CEOs from RTX Corp Boeing Co, Northrop Grumman Corp were expected to be in the kingdom, but the White House did not verify any specific equipment or makers as a part of the potential sale to Saudi. Live Events Reuters could also not immediately establish how many of the deals on offer were new. Many have been in the works for some time, sources have told Reuters. Saudi Arabia is the largest customer for U.S. arms. In 2017, Trump proposed approximately $110 billion of sales to the kingdom. As of 2018, only $14.5 billion of sales had been initiated and Congress began to question the deals in light of the murder of Saudi journalist Jamal Khashoggi. Former President Joe Biden's administration tried unsuccessfully to finalize a defense pact with Riyadh as part of a broad deal that envisioned Saudi Arabia normalizing ties with Israel. The White House fact sheet did not mention if Riyadh would be permitted to purchase Lockheed's F-35 jets, the military aircraft that the kingdom has reportedly been interested in for years. The two countries had discussed Riyadh's potential purchase of Lockheed's F-35 jets, two sources briefed on discussions told Reuters. However, it was not clear if Washington would permit the kingdom to move forward with a purchase that would give Saudi Arabia an advanced weapon used by close U.S. ally Israel, one of the sources said. The second source said the qualitative military edge, or U.S. guarantees that Israel receives more advanced American weapons than Arab states, is an issue that "has come up." The sources spoke to Reuters on condition of anonymity. Israel has owned F-35s for nine years, building multiple squadrons. Governments in the Gulf have long sought the most advanced fighter jet, built with stealth technology allowing it to evade enemy detection. If the U.S. did approve the transfer, Saudi Arabia would be only the second Middle East state after Israel to operate F-35 fighters.
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Business Standard
13-05-2025
- Business
- Business Standard
US signs record $142 billion arms deal with Saudi Arabia for defence
The United States agreed on Tuesday to sell Saudi Arabia an arms package worth nearly $142 billion, according to a White House fact sheet that called it "the largest defense cooperation agreement" Washington has ever done. The agreement, signed during U.S. President Donald Trump's visit to the Saudi capital Riyadh, covers deals with more than a dozen U.S. defense companies in areas including air and missile defense, air force and space advancement, maritime security and communications, the fact sheet said. "The package signed today, the largest defense cooperation deal in U.S. history, is a clear demonstration of our commitment to strengthening our partnership," the fact sheet said. Reuters first reported last month that the arms package would be worth well over $100 billion. Reuters previously reported that Lockheed Martin Corp was expected to sell C-130 transport aircraft, missiles and radars as part of the deal. CEOs from RTX Corp Boeing Co, Northrop Grumman Corp were expected to be in the kingdom, but the White House did not verify any specific equipment or makers as a part of the potential sale to Saudi. Reuters could also not immediately establish how many of the deals on offer were new. Many have been in the works for some time, sources have told Reuters. Saudi Arabia is the largest customer for U.S. arms. In 2017, Trump proposed approximately $110 billion of sales to the kingdom. As of 2018, only $14.5 billion of sales had been initiated and Congress began to question the deals in light of the murder of Saudi journalist Jamal Khashoggi. Former President Joe Biden's administration tried unsuccessfully to finalize a defense pact with Riyadh as part of a broad deal that envisioned Saudi Arabia normalizing ties with Israel. The White House fact sheet did not mention if Riyadh would be permitted to purchase Lockheed's F-35 jets, the military aircraft that the kingdom has reportedly been interested in for years. The two countries had discussed Riyadh's potential purchase of Lockheed's F-35 jets, two sources briefed on discussions told Reuters. However, it was not clear if Washington would permit the kingdom to move forward with a purchase that would give Saudi Arabia an advanced weapon used by close U.S. ally Israel, one of the sources said. The second source said the qualitative military edge, or U.S. guarantees that Israel receives more advanced American weapons than Arab states, is an issue that "has come up." The sources spoke to Reuters on condition of anonymity. Israel has owned F-35s for nine years, building multiple squadrons.
Straits Times
02-05-2025
- Science
- Straits Times
US Navy tests sea-based hypersonic missile launch system in Florida
WASHINGTON - The U.S. Navy successfully tested a sea-based hypersonic missile launch system at Cape Canaveral Space Force Station in Florida, marking a significant step toward deploying the advanced weapons at sea, the service announced on Friday. The test demonstrated the Navy's cold-gas launch approach, which ejects the missile from a ship platform before ignition, ensuring safe distance. This method will be used in future sea-based deployments, including aboard the USS Zumwalt. "The speed, range, and survivability of hypersonic weapons are key to integrated deterrence for America," said Navy Secretary John Phelan. Lockheed Martin Corp is the prime contractor for the weapon. The test comes as the United States races to develop hypersonic capabilities, with Russia and China also pursuing similar technologies. Russia has reportedly used hypersonic missiles in Ukraine, while China denies conducting weapons tests despite U.S. military claims. REUTERS Join ST's Telegram channel and get the latest breaking news delivered to you.
Yahoo
23-04-2025
- Business
- Yahoo
Lockheed Martin Corp (LMT) Q1 2025 Earnings Call Highlights: Strong Sales Growth and Robust ...
Sales Growth: 4% year-over-year increase in sales for Q1 2025. Segment Operating Margin: 11.6% with all business areas generating double-digit returns. GAAP Earnings Per Share: $7.28, a 14% increase year-over-year. Backlog: Approximately $173 billion. Free Cash Flow: $955 million generated in Q1 2025. Shareholder Returns: $1.5 billion returned through dividends and share repurchases. Aeronautics Sales: $7.1 billion, a 3% increase year-over-year. Missiles and Fire Control Sales: 13% increase driven by tactical and strike missile programs. Rotary and Mission Systems Sales: 6% increase to $4.3 billion. Space Sales: 2% decrease year-over-year. Investment in R&D and CapEx: Nearly $850 million in Q1 2025. Warning! GuruFocus has detected 4 Warning Signs with LMT. Release Date: April 22, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Lockheed Martin Corp (NYSE:LMT) reported a 4% year-over-year increase in sales for the first quarter of 2025, demonstrating continued growth momentum. The company generated $955 million in free cash flow, after investing $850 million in R&D and capital expenditures. Lockheed Martin Corp (NYSE:LMT) returned $1.5 billion to shareholders through dividends and share repurchases during the quarter. The company secured several large missile program awards, including contracts for precision strike missiles, THAAD, and joint air-to-surface standoff missiles, totaling up to $10 billion in future work. Lockheed Martin Corp (NYSE:LMT) maintained a strong backlog of approximately $173 billion, providing a solid foundation for sustained growth. The book-to-bill ratio was less than 1 in the quarter, indicating that new orders did not keep pace with sales. Lockheed Martin Corp (NYSE:LMT) faces potential impacts from tariffs and the NGAD program decision, although the company is confident in mitigating these effects. Space sales decreased by 2% year-over-year due to lower volume at National Security Space, primarily related to the overhead persistent infrared radar program. The company is navigating a dynamic tariff environment, which could lead to timing issues in cost recovery. Lockheed Martin Corp (NYSE:LMT) did not win the NGAD contract, and while they are not protesting the decision, it could impact future growth opportunities. Q: Jim, regarding the NGAD decision, have you received feedback from the Air Force, and are you considering protesting the award? A: Yes, we received a classified debrief from the US Air Force. We are not protesting the NGAD decision. Instead, we are focusing on applying the technologies developed for NGAD to enhance our F-35 and F-22 platforms, aiming for 80% of sixth-gen capability at 50% of the cost. Q: Can you comment on the executive orders from the new administration, particularly regarding FMS and federal acquisition regulations? A: We welcome and applaud these executive orders, which aim to reduce bureaucratic red tape. This will speed up FMS opportunities and acquisition paths for both physical and digital technologies, benefiting the entire industry, including traditional aerospace and defense contractors and technology companies. Q: What are the underappreciated risks of tariffs in your business, and how are you navigating this environment? A: We have protections in place and mechanisms to recover impacts from tariffs. The main concern is the timing of cost recovery. We are confident in our approach to mitigate impacts, which is why we reaffirmed our guidance. Approximately 40% of our contracts are cost-type, providing some protection. Q: Can you discuss the F-35 Lot 19 timing and the readiness of international customers to take delivery if the US cuts back? A: We expect Lot 19 in the second half of the year, which is included in our guidance. International demand for the F-35 is strong, and we are confident that we can maintain our production rate of 150-plus per year, even if there is a moderation in US production. Q: Could you elaborate on the Golden Dome project and its impact on production at MFC? A: Golden Dome is forming in three segments: ground-based systems, space-based systems, and an overarching command and control system. We are well-positioned to support these segments with existing assets and technologies. The project aligns with our 21st Century Security strategy, and we are ready to scale production as needed. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
