5 Best Blue Chip Stocks to Buy for Your Retirement Portfolio

2. Lockheed Martin Corporation (NYSE:LMT)

Short Percentage of Float: 1.16%

On May 18, Citi lowered its price recommendation on Lockheed Martin Corporation (NYSE:LMT) to $571 from $675. It reiterated a Neutral rating on the shares. The firm updated its models across the aerospace and defense sector and said it does not expect an “immediate V-shaped rally” unless the Middle East conflict is resolved. At the same time, Citi said the recent selloffs have created buying opportunities. The firm expects aerospace stocks to recover first, followed by defense companies.

During the Q1 2026 earnings call, Senior VP and CFO Evan Scott reaffirmed LMT’s full-year 2026 guidance and said expectations remained consistent with the outlook provided in January. Scott noted that Lockheed Martin still expects mid-single-digit sales growth for the year, along with profit between $8.4 billion and $8.7 billion. The company also continues to project free cash flow in the range of $6.5 billion to $6.8 billion.

He also discussed the company’s expected margin trend for the year, saying margins should improve gradually as 2026 progresses. According to Scott, those improvements are expected to become more visible in the second half of the year as major production milestones are achieved and operational risks continue to ease.

Lockheed Martin Corporation (NYSE:LMT) is an aerospace and defense technology company. The company operates through four segments: Aeronautics, Missiles and Fire Control (MFC), Rotary and Mission Systems (RMS), and Space.