SAN FRANCISCO — A securities class action lawsuit has been initiated against Lockheed Martin Corporation in response to allegations that the aerospace giant misled investors regarding its financial status. The suit, identified as Khan v. Lockheed Martin Corporation, claims the company failed to reveal insufficient internal controls to evaluate program risks, affecting investor decisions.
This lawsuit pertains to shareholders who purchased stock between January 23, 2024, and July 21, 2025. According to the filing, Lockheed Martin’s representations during this period painted an inaccurately optimistic view of its operational health, particularly regarding its Aeronautics and Rotary and Mission Systems segments. The allegations suggest that the company had inadequate measures in place to appropriately assess project demands and risks, which ultimately led to unforeseen financial losses.
Investors were confronted with harsh developments as a series of negative reports on the corporation’s performance began to surface. On January 28, 2025, Lockheed Martin announced a staggering $1.8 billion pre-tax loss in its Aeronautics division. This unveiling marked the start of a troubling trajectory for shares. Just months later, on April 17, 2025, news of the departure of the company’s Chief Financial Officer added to investor anxiety. By July 22, 2025, the firm revealed an additional $950 million in losses from Aeronautics, alongside $570 million in losses from its RMS segment, primarily due to complications with the Canadian Maritime Helicopter Program. Each announcement led to significant decreases in share value, with a nearly 11% drop following the July disclosures.
Legal experts from Hagens Berman, the law firm leading the investigation, are currently assessing whether the considerable losses were foreseeable outcomes driven by the company’s lack of effective internal controls and failure to communicate associated risks to stakeholders. Reed Kathrein, a partner at Hagens Berman, commented on the systemic implications of the reported losses. He emphasized the need for clarity on whether senior executives were aware of the inadequacies in internal controls that investors had been led to believe were in place.
Lockheed Martin investors who experienced significant financial setbacks during the class period are encouraged to reach out to Hagens Berman to explore their options. The firm urges shareholders with relevant information or experiences that may assist in the investigation to come forward.
Moreover, individuals possessing non-public information related to Lockheed Martin may consider engaging with the SEC’s Whistleblower program, which offers potential rewards of up to 30% for original information that leads to successful recoveries. Reed Kathrein is available for further inquiries via phone or email.
Hagens Berman, known for its focus on corporate accountability, represents a wide array of clients, including investors and whistleblowers. The firm has secured over $2.9 billion in settlements in various litigations.
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