Lockheed Martin Corporation (NYSE:LMT) is among the 8 Best Drone Stocks to Buy for the Next 3 Years. On March 12, the Department of War (DOW) announced that the company was awarded a contract worth $111.5 million by the Naval Air Systems Command for the procurement of the F-35 Drag Chute System.

This is a fixed price order against an earlier ordering agreement. According to the release, the F-35 Drag Chute System is being procured for the Lot 18-19 aircraft delivery ‘in support of Non-U.S. DOW Participants and Foreign Military Sales customer’s operational aircraft’.

In other news, Lockheed Martin Corporation (NYSE:LMT) further expanded its ties with Japan during the week by providing the Japanese Ministry of Defense with a second Aegis System-Equipped Vessel (ASEV) shipset, including AN/SPY-7(V)1 radar equipment.

Earlier in the month, the defense contractor announced that it will supply an anti-jamming payload for Japan’s Next-Generation Defense Satellite Communication System, which will offer enhanced interoperability and interference resistance.

The stock remains on analysts’ radar and currently carries a Hold rating as of the close on March 13. It has a one-year average share price target of $659.31, representing an upside of 2%.

Lockheed Martin Corporation (NYSE:LMT) is one of the world’s largest defense contractors. It specializes in the research, design, and development of advanced technology systems, products, and services.

While we acknowledge the potential of LMT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 40 Most Popular Stocks Among Hedge Funds Heading Into 2026 and 10 Best Aerospace Dividend Stocks to Buy

Disclosure: None. Follow Insider Monkey on Google News.