Lockheed Martin's shares experienced a notable decline following reports that the Pentagon plans to reduce its request for F-35 Lightning II fighter jets. According to Reuters, the Department of Defense intends to cut its procurement request from 48 to 24 planes for the upcoming fiscal year. This adjustment is part of a standard Defense Department procurement request submitted to Congress.
The reports, which have not been confirmed by major sources, led to a significant drop in Lockheed Martin's share value during Wednesday trading. The company's stock fell by 4.26%, marking it as one of the worst performers in the Aerospace & Defense sector this week.
The United States Air Force is reportedly seeking $3.5 billion from Congress for Lockheed Martin F-35 aircraft and an additional $531 million for advanced materials. The F-35 stealth fighter is considered one of the most advanced multirole combat aircraft, with variants ordered by multiple branches of the U.S. military and allied nations.