Defense contractors beat Q1 revenue estimates, but NOC and LMT shares fall after results

Defense contractors posted stronger-than-expected first-quarter revenue, but shares weakened after earnings as investors weighed mixed profitability and guidance across the group, according to results reviewed as of May 14, 2026. The 13 tracked defense contractors beat consensus revenue estimates by an average 3.4%, while next-quarter revenue guidance came in 2% below expectations. The group’s shares fell an average 5.3% after results. Northrop Grumman (NYSE:NOC) reported revenue of $9.88 billion, up 4.4% from a year earlier and 1.2% above estimates, but missed adjusted operating income expectations. Its stock fell 16.4% after the report to $549.51. Mercury Systems (NASDAQ:MRCY) delivered the largest revenue beat, with sales rising 11.5% to $235.8 million, 14.2% above estimates; its shares gained 10.9% to $91.98. Lockheed Martin (NYSE:LMT) posted flat revenue of $18.02 billion, 0.9% below estimates, and shares fell 7.7% to $512.39.