Oppenheimer Reiterates Perform Rating, $87 PT On LMT

Lockheed Martin Corporation (NYSE: LMT) reported 1Q 2011 EPS of $1.55, “vs. our in-line $1.51E,” Oppenheimer reports. “The beat was on other non-operating income and slightly lower shares vs. our estimates.

“Within operations, better sales in Electronic Systems offset lower sales than modeled in Aeronautics and Space,” Oppenheimer writes. “Sales overall were about in line at $10.6B, and segment margins were slightly lower y/y at 10.9%, but about in line with our model. FCF was very strong at $1.6B and bookings were solid, but on Aeronautics. EPS guidance for 2011 increased $0.25 to $6.95-7.25 vs. our current $7.22, on a $90M tax item likely to help 2Q. We are updating our model for the 1Q and 2Q items, and reiterate our Perform rating and $87 price target.”

Lockheed Martin Corporation closed Tuesday at $79.04.