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Class action lawsuits

Lockheed Martin Investors with Losses Encouraged to Contact Hagens Berman

Strategic Insights

— 2 min read

Hagens Berman, a global plaintiffs' rights complex litigation firm, is investigating a potential securities class action lawsuit against Lockheed Martin Corporation (LMT) on behalf of investors who purchased or otherwise acquired the company's securities between January 23, 2024, and July 21, 2025. The lawsuit comes after Lockheed Martin's Q2 2025 financial results revealed a significant 11% decline in share price on July 22, 2025. The firm encourages investors with substantial losses to submit their losses now.

Key Takeaways:

  • The lawsuit focuses on Lockheed Martin's statements regarding the performance of its Aeronautics and Rotary and Mission Systems (RMS) business segments, allegedly concealing crucial information from investors.
  • The company's contracts were supposedly risk-adjusted, allowing for the recovery of costs in pricing, but in reality, Lockheed Martin lacked effective internal controls and procedures to perform accurate comprehensive reviews of program requirements, technical complexities, schedule, and risks.
  • Lockheed Martin overstated its ability to deliver on contractual commitments, resulting in significant losses, including $1.8 billion in pre-tax losses in the Aeronautics segment and $570 million in pre-tax losses in the RMS segment.
  • Investors began to learn the truth on January 28, 2025, when Lockheed Martin reported QE and FY ended December 31, 2024 financial results, followed by CFO Jay Malave's departure on April 17, 2025, and the Q2 2025 financial results on July 22, 2025.
  • The company's shares significantly fell in response to each of these events, with one analyst describing the report as "a 'kitchen sink' type quarter."
  • Hagens Berman is investigating whether Lockheed Martin may have misled investors about the full extent of performance and financial problems within its Aeronautics and RMS segments.

Statistics:

  • Price of Lockheed Martin shares fell by almost 11% on July 22, 2025, after the company announced its Q2 2025 financial results.
  • Lockheed Martin reported $1.8 billion of pre-tax losses in its Aeronautics segment on January 28, 2025.
  • The company also recognized $570 million pre-tax losses in its RMS segment due to problems with its Canadian Maritime Helicopter Program.
  • CEO change occurred on April 17, 2025, with CFO Jay Malave's departure.
  • Q2 2025 financial results revealed an additional $950 million pre-tax losses in the Aeronautics segment, citing "performance issues."

Sources:

  • Khan v. Lockheed Martin Corporation, et al., No. 1:25-cv-06197 (S.D.N.Y.)
  • Hagens Berman, a global plaintiffs' rights complex litigation firm
  • Newsfile Corp., a global press release distribution and regulatory disclosure service
  • Lockheed Martin Corporation (NYSE: LMT)
  • SEC Whistleblower program
  • Reed Kathrein, Hagens Berman partner leading the investigation

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