5 Best Aerospace and Defense Stocks to Buy

2. Lockheed Martin Corporation (NYSE:LMT)

Number of Hedge Fund Holders: 58

Bethesda, Maryland-based Lockheed Martin Corporation (NYSE:LMT) is a global security and aerospace company engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products, and services.

On July 2, the Ministry of Defense of Israel said that the government has approved the purchase of a third squadron of F-35 stealth fighter aircrafts in a deal that has been valued at $3 billion. The F-35s will be manufactured by Lockheed Martin Corporation (NYSE:LMT) and will bring the total number of F-35s in the country’s air force to 75.

Lockheed Martin Corporation (NYSE:LMT) has the highest dividend yield on our list of top 12 best aerospace and defense stocks to buy. The company currently pays a quarterly cash dividend of $3.0 per share which translates to a 2.59% dividend yield based on the closing share price on July 3.

As of Q1 2023, Lockheed Martin Corporation (NYSE:LMT) was the second best aerospace and defense stock to buy based on hedge fund sentiment as 58 of them held its shares with a total value of $1.5 billion. Two Sigma Advisors was the largest hedge fund shareholder with ownership of 0.6 million shares valued at $297 million.