From Yahoo Finance: 2025-06-13 17:02:00

Israel’s strikes on Iran caused most stocks to drop, but defense contractor Lockheed Martin rose. Israel was the first to fly the F-35 in combat. Lockheed’s stock surged 3.5% on Friday, despite the S&P 500 falling 1.1%.

Lockheed and other defense contractors saw stock gains after Israel’s strike on Iran, raising the possibility of a regional war. This news sent oil prices up and most stocks down, but also hinted at potential increased equipment purchases from Lockheed.

After reports of potential F-35 order cuts, Lockheed’s stock dropped earlier in the week. However, Israel’s use of Lockheed’s products and the prospect of U.S. involvement in a conflict led to a rebound, indicating the order reduction may not be as severe as initially predicted.

Israel is a key buyer of Lockheed Martin products for defense, such as the F-35 stealth fighter. Defense and oil stocks can offer a hedge during times of geopolitical tension, serving as an insurance policy against market downturns.

Before investing in Lockheed Martin, consider that it was not included in the Motley Fool’s list of the top 10 stocks to buy now. The Motley Fool Stock Advisor has a history of outperforming the S&P 500 and offers insight into potential high-return investments.

Billy Duberstein, author of the article, has no position in the stocks mentioned. The Motley Fool recommends Lockheed Martin and has a disclosure policy. “Why Lockheed Martin Rallied on a Bad Day for the Markets on Friday” was originally published by The Motley Fool.

Read more: Why Lockheed Martin Rallied on a Bad Day for the Markets on Friday