Wednesday, March 4, 2009

***Sector Snap: Aerospace and Defense stocks fall

Shares of aerospace and defense companies fell along with the broader market Monday as a Goldman Sachs analyst predicted defense spending will peak next year, but another analyst recommended investors buy shares of Lockheed Martin Corp. as fears of reduced U.S. military contracts are overblown.

Shares of the Bethesda, Md.-based Lockheed Martin have dropped 23 percent from Feb. 21 to Feb. 27. Analyst Peter Arment of Broadpoint AmTech said the decline was based on concerns that President Barack Obama will cut defense spending.