News Desk: Shares of U.S. defence giant Lockheed Martin have remained flat over the past month following the India-Pakistan military conflict known as Operation Sindoor. Despite a short recovery after a sharp fall on May 12, the stock rose only 0.97% in May, ending the month at $482.38.
This lacklustre performance came after Pakistan deployed Lockheed Martin’s F-16 fighter jets during the four-day conflict, which began on May 7. However, the jets, along with Chinese J-10 fighters, drones, and missiles, failed to break through India’s strong air defence systems.
Experts believe this could hurt Lockheed Martin’s reputation and possibly affect future sales. “The F-16s were used in combat but couldn’t make an impact. That’s not good news for Lockheed Martin or China,” said Avinash Gorakshkar, Head of Research at Profitmart Securities.
The conflict started after India launched Operation Sindoor in response to a terrorist attack in Pahalgam on April 22, which killed 26 civilians, including one Nepali national. The Indian Army targeted terrorist camps in Pakistan and Pakistan-occupied Kashmir (PoK).
During the clash, Pakistan also fired Chinese-made PL-15 air-to-air missiles, which were intercepted. Air Marshal Bharti showed the recovered missile debris, calling them ineffective.
Following this, Chinese defence stocks fell by up to 9% after ceasefire announced, as investors lost confidence in their performance. This marked a quick reversal from earlier optimism based on China’s growing military support to Pakistan, especially through the $60 billion China-Pakistan Economic Corridor (CPEC).
According to SIPRI data, 81% of Pakistan’s arms imports from 2019 to 2023 came from China, totaling $5.28 billion.
The market response suggests that recent combat results are raising doubts about the effectiveness of both American and Chinese defence equipment—especially when facing modern, battle-ready systems like India’s. For Lockheed Martin, this means more pressure ahead, as investors and defence buyers watch closely.
