Who benefits from Lockheed Martin’s rising share prices?

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Who benefits from Lockheed Martin’s rising share prices?

According to the 13F filing of Lockheed Martin as of September 30, 2020, the top 3 institutional shareholders of Lockheed Martin are[1]:

  1. State Street Corporation: 42.2 million shares of Lockheed Martin, representing 15.1% of total shares.
  2. Vanguard Group Inc.: 22.0 million shares of Lockheed Martin, representing 7.9% of total shares.
  3. BlackRock Inc.: 17.2 million shares of Lockheed Martin, representing 6.2% of total shares.

Institutional investors hold the majority of Lockheed Martin shares at about 69.4% of total shares. These are all institutional investors, which means that they are investment companies that manage money on behalf of others, such as pension funds, mutual funds, and insurance companies.

No individual person directly owns more than 5% of Lockheed Martin's shares.

The largest Lockheed Martin shareholder, State Street Corporation, appears to have cross-ownership with other major shareholders.

As of June 29, 2023, the top 3 institutional shareholders of State Street Corporation are[2]:

  1. The Vanguard Group, Inc.: 40.4 million shares, representing 12.68%.
  2. BlackRock Inc.: 26.8 million shares, representing 8.4%
  3. Dodge & Cox Inc.: 21.7 million shares, representing 6.2%.

These are all institutional investors, which means that they are investment companies that manage money on behalf of others, such as pension funds, mutual funds, and insurance companies.

No individual person owns more than 5% of State Street Corporation's shares however it appears that the Vanguard Group is a controlling shareholder. The Vanguard Group is a mutual fund company, and its shares are owned by its investors. It is notable that as of 2022, Vanguard has more than $8 trillion in assets under management (AUM), second only to BlackRock, Inc ($9.5 trillion AUM). Headquartered in Pennsylvania, Vanguard is the largest mutual funds issuer in the world and the second-largest issuer of exchange-traded funds (ETFs). It has 204 U.S. funds and 206 international funds as of 2022.It also has one of the largest bond funds in the world, the Vanguard Total Bond Market Index Fund (VBTLX).[3]

There also appears to be a lot of cross-ownership of shares between the Vanguard Group and Lockheed Martin (and State Street Corporation). For example, Vanguard’s largest institutional investors include BlackRock which is the second largest shareholder of the Vanguard Group behind Vanguard Total Stock Market Index Fund which itself has the Vanguard Group as its major investor but also has BlackRock Fund Advisors as its second largest investor and State Street Global Advisors as its third.

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