Lockheed Martin Corp (LMT) announced on Monday that its Chief Executive Officer Marillyn Hewson would retire.
Hewson joined Lockheed in 1983 and was appointed as CEO in January 2013.
Lockheed Martin shares closed lower for the seventh time in the past ten trading sessions in New York on Monday. The stock went down 12.41% ($40.79) to $287.80, after touching an intraday low at $286.20, or a price level not seen since January 29th 2019 ($281.00).
Shares of Lockheed Martin Corporation have retreated 26.09% so far in 2020 compared with a 26.14% loss for the benchmark index, S&P 500 (SPX).
In 2019, Lockheed Martin’s stock went up 48.71%, thus, it again outperformed the S&P 500, which registered a 28.88% gain.
James Taiclet, the Chairman, President and Chief Executive Officer of American Tower Corp, will succeed Hewson. Previously, he was in senior roles at Honeywell Aerospace Services, a division of Honeywell International, and at United Technologies Corp.
The CEO changes are expected to take effect on June 15th, Lockheed Martin said.
Michele Evans, the Executive Vice President of Lockheed’s aeronautics unit, was largely considered as a leading candidate to take the helm of the defense and aerospace company.
Analyst stock price forecast and recommendation
According to CNN Money, the 17 analysts, offering 12-month forecasts regarding Lockheed Martin’s stock price, have a median target of $453.00, with a high estimate of $503.00 and a low estimate of $400.00. The median estimate represents a 57.40% upside compared to the closing price of $287.80 on March 16th.
The same media also reported that at least 9 out of 20 surveyed investment analysts had rated Lockheed Martin Corporation’s stock as “Hold”, while other 9 – as “Buy”.