SpaceX vs. Lockheed Martin: Which Aerospace Stock Is a Better Buy in 2026?
Lockheed Martin's stable government contracts clash with Space Exploration Technologies' aggressive expansion, one prioritizes profitability, the other growth.
Overview
Choosing between Lockheed Martin Corp (NYSE:LMT) and Space Exploration Technologies Corp (NASDAQ:SPCX) involves balancing the reliability of a legacy defense leader against the high growth potential of a modern space innovator.
Lockheed Martin provides stable government contracts and dividends, whereas Space Exploration Technologies focuses on disrupting satellite connectivity and launch costs. Investors must decide whether they prefer established profitability or aggressive expansion.
Details
Lockheed Martin operates as a premier global aerospace and defense provider, focusing on high-tech aeronautics, missiles, and fire control. In its latest annual report, filed for FY 2025, the company noted that the U.S. government accounted for nearly 72% of its total consolidated sales. Customer concentration like this adds a layer of risk to the business, particularly with the F-35 Lightning II program representing approximately 27% of its total revenue. This reliance makes the company a staple among defense stocks, as it manages critical logistics and specialized support for military operations worldwide.
Source
Originally published at www.fool.com.