Ukraine Crisis Driving Defence Stocks HigherWithdefence stocks soaring amidst the violence in Ukraine and the uncertainty andfear spiralling out of that crisis, Lockheed Martin’s stock price has hitfresh, all-time highs. Lockheed is one of the leading, global aerospace anddefence companies. Given the massive uptick in global arms buying we are seeingas a result of Russia’s invasion of Ukraine, the outlook for the defence sectoras a whole has turned incredibly bullish. NATO countries have been bolsteringtheir defence budgets following Russia’s invasion of Ukraine, a theme whichlooks set to develop further going forward.Lockheed’sshares had already been trading well ahead of news of the invasion, following abetter-than-expected set of Q4 earnings, released in January. Lockheed reportedEPS of $7.47, well above the $7.16 estimate, on revenues of $17.729 billion,beating estimates for a $17.662 billion result.TechnicalViews LMTLockheedshares are now trading firmly above the prior 441.43 highs. With both MACD andRSI bullish, the focus is on a continuation higher and a test of the bullchannel top, while that level holds as support. Should we see any downsidecorrection below that level, 417.51 is the next key support to note.
Source: Tickmill
