Lockheed Martin Shares Are Trading Low Wednesday: What's Going On?

Lockheed Martin Corp (NYSE:LMT) shares are trading lower on Tuesday, among other defense stocks, after Treasury Secretary Scott Bessent suggested the government may ask them to cut back on buybacks to address shortfalls in deliveries.

• LMT is trading in a tight range. See the market dynamics here.

What To Know: According to Stocktwits, Bessent told CNBC that the U.S. government "may have to, as their biggest customer, prod them to do fewer stock buybacks" as defense contractors struggle to meet delivery timelines. He noted that in some cases, the federal government is "the only customer" for these firms, giving it leverage to influence corporate decisions.

Bessent added that the move would align with a broader push to strengthen industrial capacity and research and development, particularly as the U.S. navigates strategic competition with China.

How To Buy Lockheed Martin Stock

By now, you're likely curious about how to participate in the market for Lockheed — be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

In the case of Lockheed, which was trading at $497.65 during market hours on Wednesday, $100 would buy you 0.2 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option or sell a call option at a strike price above where shares are currently trading — either way, it allows you to profit from the share price decline.

LMT Price Action: At the time of publication on Wednesday, Lockheed shares are trading 1.12% lower at $499.41, according to data from Benzinga Pro.

Related Link:
• Nancy Pelosi And Warren Buffett Are Betting On The Same 4 Stocks—Here’s What They Know

Image via Shutterstock