Lockheed Martin’s (NYSE:LMT) shares fell as much as 4.6% in the first hour of regular trading on Tuesday after the aerospace and defense contractor reported disappointing sales growth. Sales edged up 1% from a year earlier to $17.

Defense contractor Lockheed Martin lifted its annual profit and sales forecasts on Tuesday, but shares slid 5% because the company's F-35 fighter jet program faced payment headwinds stemming from the government contracting process.

LMT's Q3 results were mixed, with net sales missing consensus but adjusted EPS beating it. The company also raised its FY24 EPS outlook.

Lockheed Martin's 12.5% operating margin came in about 60 basis points ahead of expectations, and free cash flow of $2.1 billion was well ahead of Wall Street's $1.3 billion forecast. Strong space and missile bookings also helped Lockheed Martin produce a book-to-bill ratio of 1.43 in the quarter, setting it up well for future periods.

Defense contractor Lockheed Martin on Tuesday joined rival RTX in lifting annual profit and sales forecasts, driven by strong demand for military equipment amid escalating global tensions. The Bethesda,

Key Takeaways Lockheed Martin missed revenue estimates as aerospace sales tumbled because of contractual and funding issues for its F-35 fighter jet.Still, the company revised its full-year profit outlook higher.

Third-quarter EPS of $6.80 beat expectations by 4.6%, driven by efficient cost management and improved margins. Key segments such as Missiles and Fire Control (MFC) achieved an 8% year-over-year uptick in net sales and a 15% boost in operating profits. The Rotary and Mission Systems (RMS) segment managed a 6% sales increase.

Speaking of the options pits, Lockheed Martin stock is seeing higher-than-usual intraday put volume before the earnings call. Around the session's halfway point, 6,156 calls and 4,545 puts have traded hands,