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The Government Shutdown Could Be an Opportunity to Buy Defense Stocks

1. Defense companies are affected by the ongoing U.S. government shutdown. 2. Market analysts predict conservative earnings outlooks due to the shutdown. 3. Buyers see potential in defense stocks like LMT after recent declines. 4. Market optimism exists about a potential end to the shutdown this week. 5. LMT is favored by analysts alongside Northrop Grumman and RTX.

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FAQ

Why Bullish?

Analysts suggest defensive stocks, including LMT, may see upward revisions post-shutdown. Historical trends have shown recovery in defense stocks after similar uncertainties.

How important is it?

The article indicates significant influence on LMT's earnings amid a transitional market due to shutdown dynamics.

Why Short Term?

The end of the government shutdown is anticipated in the next week, likely influencing immediate earnings outlooks. Past government resolutions have resulted in quick rebounds for defense stocks.

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