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Lockheed Martin Corp (LMT)

Fair Value
IndustrialsAerospace & DefenseUnited States

Fundamental

67

Price

$509.25

Market Cap

$119.57B

Part 1 · What the company is worth

Overview

Lockheed Martin Corporation, an aerospace and defense company, engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services in the United States, Europe, Asia, the Middle East, and internationally. The company operates through four segments: Aeronautics; Missiles and Fire Control (MFC); Rotary and Mission Systems (RMS); and Space. The Aeronautics segment offers combat and air mobility aircraft, unmanned air vehicles, and related technologies. The MFC segment provides air and missile defense systems; tactical missiles and precision strike weapon systems; logistics; fire control systems; mission operations support, readiness, engineering support, and integration services; and ground vehicles. The RMS segment offers military and commercial helicopters, surface ships, sea- and land-based missile defense systems, radar and laser systems, sea- and air-based mission and combat systems, command and control mission solutions, cyber solutions, simulation and training solutions, and services and support for surface ships. The Space segment provides satellites; space transportation systems; strategic, advanced strike, and defensive systems; and classified systems and services in support of national security systems. This segment also provides network-enabled situational awareness; and integrates space and ground global systems to help its customers gather, analyze, and securely distribute critical intelligence data. It primarily serves the U.S. government and international customers, as well as foreign military sales contracted through the U.S. government. The company was formerly known as The Lockheed Corporation and changed its name to Lockheed Martin Corporation in March 1995. Lockheed Martin Corporation was founded in 1912 and is based in Bethesda, Maryland.

No editorial profile for this company yet

Direct competitors

Who this company fights with for the same customers

Compare

Generated on September 19, 2026 with claude-haiku-4-5 — shared with all users

P/E: 32.7Score: 76Market cap: $252.92B

Named by Lockheed Martin as a primary competitor, RTX bids against it for the same U.S. and allied government budgets in tactical missiles, air and missile defence systems and military sensors.

P/E: 15.4Score: 71Market cap: $71.86B

Another competitor named in the 10-K, Northrop Grumman competes for the same Pentagon prime contracts in military aircraft, strategic missiles and military space and satellite systems.

P/E: 66.9Score: 44Market cap: $145.74B

Named in the 10-K, Boeing's defence arm competes head-on for combat aircraft, military helicopters and space programmes sold to the same government customers.

P/E: 20.9Score: 78Market cap: $90.37B

Listed as a competitor in the 10-K, General Dynamics bids for the same U.S. defence programmes in combat vehicles, naval systems and government IT and mission services.

P/E: 27.9Score: 73Market cap: $44.26B

Also named in the 10-K, L3Harris competes for the same defence budgets in tactical communications, sensors, electronic warfare and, through Aerojet Rocketdyne, solid rocket propulsion and missiles.

BAE Systems plcNot tracked

Europe's largest defence prime competes for the same export customers in combat aircraft, electronic warfare systems and munitions, where the Eurofighter Typhoon is the main alternative to the F-35 and F-16.

Balance Sheet & Liquidity

Revenue

$77.01B

Trailing 12 months (through 6/28/2026)

Net Income

$6.29B

Trailing 12 months (through 6/28/2026)

Free Cash Flow

$6.91B

Total Equity

$6.72B

Total Liabilities

$53.12B

Current Ratio

1.19

Interest Coverage

8.24

Debt/EBITDA

2.18

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

General caseFairly Valued

Fair Value

$523.12

Current Price

$509.25

Margin of Safety

+2.7%

Fair Value Range

$389.93 - $656.31

Spread across the valuation methods used, not a statistically calibrated confidence interval.

Estimation Methods

Analyst price target:$637.84
Discounted cash flow (DCF):$603.81
Earnings multiple (P/E):$440.33
Graham growth formula:$202.71
Earnings power value (EPV):$390.95
Justified P/B:$603.42
Dividend discount (Gordon):$351.64
P/FFO, funds from operations:$464.77
Mid-cycle earnings:$884.53
Revenue multiple:$947.71
Analyst Consensus:Buy (13B / 14H / 1S)
Last Earnings Surprise:+10.51%

Valuation Metrics

P/E Ratio

18.77

ROE

74.6%

P/B Ratio

13.40

P/FCF

13.46

Gross Margin

11.8%

ROIC

18.7%

Profitability Radar

Value Creation (Economic Moat)

ROIC

18.7%

WACC

7.5%

ROIC − WACC

+11.3 pp

ROIC exceeds the cost of capital — the company is creating value for shareholders.

Fundamental Analysis Criteria

Passed (18)

  • EPS shows upward trend
  • EPS CAGR 6.35%
  • Price CAGR 7.69%
  • ROIC 18.7%
  • P/FCF 13.46
  • Operating Margin 11.9%
  • Positive Free Cash Flow
  • CapEx intensity
  • Current Ratio
  • Interest Coverage
  • Debt/EBITDA
  • Return on Tangible Assets
  • ROE 86.2%
  • Earnings Surprise avg 10.6%
  • Earnings Quality (OCF/NI) 1.65
  • Share Dilution -2.4%
  • Net Margin Trend 8.2% vs 5.9%
  • Piotroski F-Score 5/9

Failed (8)

  • Gross Margin 11.8%
  • P/B Ratio 13.40
  • Debt/Equity ratio
  • Low reliance on intangibles
  • Price below Graham Number
  • DCF valuation (Overvalued)
  • Revenue Growth 5Y 2.8%
  • Analyst Consensus 46% Buy

Unavailable (2)

  • Dividend Payout NaN%
  • PEG Ratio (need PE > 0 and growth > 0)

Piotroski F-Score

5/9

Mixed signals: some areas need attention

score
criteria

Earnings Quality

1.65

High quality: earnings backed by cash

Share Dilution

-2.4%

Buying back shares. Shareholder friendly

Institutional Holdings

Governance

Executive Team

NameTitleAge
Mr. James D. Taiclet Jr.Chairman, President & CEO64
Mr. Evan T. ScottChief Financial Officer48
Mr. Frank A. St. JohnChief Operating Officer58
Mr. Kevin James O'Connor J.D.Senior Vice President, General Counsel & Corporate Secretary57
Mr. Timothy S. CahillPresident of Missiles & Fire Control59
Dr. Craig MartellChief Technology Officer-
Ms. Maria DemareeSenior VP of Enterprise Business & Digital Transformation and Chief information Officer56
Mark D. KvasnakVice President of Investor Relations-
Ms. Jenna McMullinSenior VP & Chief Communications Officer-
Mr. Christopher J. WronskySenior VP & Chief Human Resource Officer-

Audit Risk

1

Board Risk

9

Compensation Risk

4

Shareholder Rights Risk

7

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Documents

  • Annual Report (10-K)

    A yearly overview of the business, its financial results, and the risks it faces.

    Filed on 2026-01-29

    View document
  • Quarterly Report (10-Q)

    A snapshot of financial performance for the most recent three-month period.

    Filed on 2026-07-23

    View document
  • Current Report (8-K)

    An announcement of a major event, such as a leadership change or big news.

    Filed on 2026-08-28

    View document

via SEC EDGAR

Income History

via SEC EDGAR

Latest News

Recent headlines for LMT, sourced from Markets Gazette.

  • 8/27/2026NEUTRAL
    Lockheed Martin Europe Chief Executive on Rheinmetall & Transatlantic Deterrence

    Dennis Goege, the European chief executive of Lockheed Martin, highlighted the strategic importance of transatlantic partnerships, specifically mentioning Rheinmetall. He stated that such collaborations are crucial for building credible deterrence and fostering economic benefits for all parties involved. The comments, made in an interview with Bloomberg from Frankfurt, suggest a positive outlook on the synergy between US and European defense industries. While not a direct financial announcement, the emphasis on partnership and economic advantages could be interpreted as a signal of continued growth and stability in defense sector collaborations.

  • 7/23/2026POSITIVE
    Lockheed Martin’s stock skyrockets as push to build more missiles faster pays off

    Lockheed Martin's stock experienced a significant surge following a strong earnings report that surpassed analyst expectations. The defense giant's increased missile production capacity proved instrumental in achieving this beat and prompted an upward revision of its financial outlook. This strategic ramp-up in output, driven by heightened geopolitical demand, underscores the company's operational agility and its ability to capitalize on market opportunities. Investors are likely to view this performance as a testament to Lockheed Martin's robust business model and its critical role in national security, potentially leading to sustained positive momentum for the stock.

  • 7/6/2026POSITIVE
    Lockheed to Buy Ultra Maritime for $3.45 Billion in Naval Push

    Lockheed Martin Corp. has announced its intent to acquire the naval defense business of Advent International for $3.45 billion. This strategic move is driven by a surge in global demand for naval defense systems. The acquisition is expected to bolster Lockheed Martin's capabilities in the maritime sector, enhancing its portfolio of sea-based weapon systems. For investors, this acquisition signifies a proactive step by Lockheed Martin to capitalize on growing defense spending trends, particularly in naval capabilities, potentially leading to increased revenue and market share in this specialized segment.

  • 6/15/2026POSITIVE
    Pentagon's F-35 Problem Could Be Good News For Lockheed Martin

    The Pentagon's intention to allocate additional funds for F-35 readiness presents a significant long-term sustainment opportunity for Lockheed Martin. This strategic move by the U.S. Department of Defense signals a commitment to maintaining and enhancing the F-35 fleet's operational capabilities, which directly translates into sustained revenue streams for Lockheed Martin through maintenance, upgrades, and support services. Investors may view this development positively, as it reinforces the company's role as a critical defense contractor and suggests a stable, predictable demand for its services in the foreseeable future.

  • 6/10/2026POSITIVE
    Here's How Much $1000 Invested In Lockheed Martin 20 Years Ago Would Be Worth Today

    An investment of $1000 in Lockheed Martin (LMT) stock twenty years ago would have grown to approximately $11,500 today, representing a substantial 1050% return. This growth trajectory significantly outperforms the broader market over the same period. The defense contractor's consistent performance is attributed to sustained government defense spending, strategic acquisitions, and its pivotal role in global security initiatives. For investors, LMT's historical performance underscores its resilience and potential for long-term capital appreciation, driven by ongoing geopolitical demand for its aerospace and defense products.

  • 5/13/2026NEUTRAL
    Here's How Much $1000 Invested In Lockheed Martin 15 Years Ago Would Be Worth Today

    An investment of $1000 in Lockheed Martin Corporation 15 years ago would have grown to approximately $5,600 today, representing a significant return on investment. This historical performance highlights the company's long-term growth trajectory and its resilience in the defense sector. While past performance is not indicative of future results, this data point offers context for potential investors considering Lockheed Martin's stock. The analysis does not provide forward-looking guidance but serves as a historical performance review.

  • 4/24/2026POSITIVE
    What's Going On With Lockheed Martin Stock Frday?

    Lockheed Martin Corporation's stock (LMT) experienced a notable increase following Peru's order for 12 F-16 fighter jets. This significant defense contract is expected to bolster the company's order backlog and revenue streams in the coming quarters. Investors are closely monitoring Lockheed Martin's Q1 earnings reports and other defense contract developments for further insights into the company's performance and future growth prospects. The F-16 sale underscores the continued global demand for advanced defense systems, positioning LMT favorably within the aerospace and defense sector.

via Markets Gazette