CNBC's Mad Money host Jim Cramer called LMT "sensational" during the August 6 Lightning Round segment, while also describing CEO Jim Taiclet as "fantastic." His comments came after Lockheed Martin, the largest U.S. defense contractor by revenue, reported a strong second quarter for 2026 that included sharply higher profit, a record backlog, and an updated full-year outlook.

Lockheed Martin shares opened Friday's session at $587.12 and rose 0.7% during the day. The stock is up 21.12% year to date, outpacing the S&P 500's 12.92% gain over the same period.

The defense contractor reported second-quarter 2026 net revenues of $20.1 billion, an 11% increase from the same period a year earlier. Diluted earnings per share rose to $7.94 from $1.46 in Q2 2025. Free cash flow reached $2.9 billion, compared with negative $150 million a year earlier.

Net earnings in the quarter totaled $1.836 billion, compared with $342 million in the prior-year period, when Lockheed recorded $1.6 billion in program-related losses. The company said operating profit across its business segments climbed 279% year over year to $2.162 billion. In the Missiles and Fire Control division, sales increased 19% year over year to $4.1 billion, while operating profit rose 24%.

Lockheed ended the quarter with a record backlog of $230.4 billion, up from $193.6 billion at the end of 2025. The company said it booked $65 billion in new orders during the quarter. Based on current revenue pace, that backlog represents roughly three years of business.

Several large contracts helped drive the backlog higher. In July 2026, Lockheed received a seven-year contract modification worth up to $53.86 billion for PAC-3 Missile Segment Enhancement interceptors, a core element of the Patriot air-defense system used by the U.S. and allied militaries. The month before, it secured a contract worth up to $35 billion for THAAD — Terminal High Altitude Area Defense — interceptor systems, designed to shoot down ballistic missiles in their terminal phase. Earlier in the year, the company also announced a $1.9 billion extension for the C-130J training program. Together, the PAC-3 and THAAD programs account for more than $90 billion in contract value secured within weeks, reflecting sustained demand for missile-defense capabilities among the U.S. and partner nations.

To support increased production, Lockheed unveiled an $8 billion to $9 billion capital investment plan that runs through 2030 and is intended to expand more than 20 manufacturing sites across the United States. New production facilities are under construction in Camden, Arkansas, and Troy, Alabama.

Despite the stronger results, Wall Street remains relatively cautious. The consensus rating on LMT is "Hold," with a mean price target of $626.33. JPMorgan has a $620 target, Wells Fargo has a $600 target, and TD Cowen lowered its target from $600 to $560. Wall Street Zen and DZ Bank were exceptions, both upgrading the stock to "strong buy."

Lockheed raised its full-year 2026 earnings per share guidance to $29.95-$30.65. The company also lifted its free cash flow forecast to $7.0 billion-$7.2 billion and now expects revenue of $79.75 billion-$81.75 billion, which would imply about 8% year-over-year growth.

The board also declared a quarterly dividend of $3.45 per share, payable on September 25, for an annual yield of 2.4%. Institutional investors hold 74.19% of outstanding shares. Victrix Investment Advisors increased its LMT position by 15.4% in the second quarter, bringing its stake to about $7.07 million.

LMT is trading between a 52-week high of $692.00 and a 52-week low of $423.91.