LOCKHEED MARTIN CORP (1LMT.MI) Stock Fundamental Analysis
BIT:1LMT - Euronext Milan - US5398301094 - Common Stock - Currency: EUR
Taking everything into account, 1LMT scores 6 out of 10 in our fundamental rating. 1LMT was compared to 46 industry peers in the Aerospace & Defense industry. While 1LMT has a great profitability rating, there are some minor concerns on its financial health. 1LMT is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1LMT had positive earnings in the past year.
1LMT had a positive operating cash flow in the past year.
In the past 5 years 1LMT has always been profitable.
In the past 5 years 1LMT always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.02%, 1LMT belongs to the top of the industry, outperforming 97.83% of the companies in the same industry.
Looking at the Return On Equity, with a value of 92.71%, 1LMT belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
1LMT has a Return On Invested Capital of 19.86%. This is amongst the best in the industry. 1LMT outperforms 97.83% of its industry peers.
1LMT had an Average Return On Invested Capital over the past 3 years of 18.86%. This is significantly above the industry average of 8.83%.
The last Return On Invested Capital (19.86%) for 1LMT is above the 3 year average (18.86%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.02% | ||
| ROE | 92.71% | ||
| ROIC | 19.86% |
ROA(3y)11.21%
ROA(5y)11.9%
ROE(3y)82.45%
ROE(5y)83.72%
ROIC(3y)18.86%
ROIC(5y)19.56%
1.3 Margins
1LMT has a Profit Margin of 9.36%. This is amongst the best in the industry. 1LMT outperforms 86.96% of its industry peers.
In the last couple of years the Profit Margin of 1LMT has declined.
1LMT has a Operating Margin of 12.27%. This is in the better half of the industry: 1LMT outperforms 76.09% of its industry peers.
In the last couple of years the Operating Margin of 1LMT has declined.
The Gross Margin of 1LMT (12.22%) is worse than 82.61% of its industry peers.
1LMT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.27% | ||
| PM (TTM) | 9.36% | ||
| GM | 12.22% |
OM growth 3Y-9.81%
OM growth 5Y-6.86%
PM growth 3Y-7.27%
PM growth 5Y-6.33%
GM growth 3Y-10.04%
GM growth 5Y-6.72%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1LMT is creating value.
1LMT has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 1LMT has been reduced compared to 5 years ago.
The debt/assets ratio for 1LMT is higher compared to a year ago.
2.2 Solvency
1LMT has an Altman-Z score of 3.73. This indicates that 1LMT is financially healthy and has little risk of bankruptcy at the moment.
1LMT has a better Altman-Z score (3.73) than 76.09% of its industry peers.
The Debt to FCF ratio of 1LMT is 2.97, which is a good value as it means it would take 1LMT, 2.97 years of fcf income to pay off all of its debts.
1LMT has a better Debt to FCF ratio (2.97) than 71.74% of its industry peers.
1LMT has a Debt/Equity ratio of 2.66. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of 1LMT (2.66) is worse than 80.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.66 | ||
| Debt/FCF | 2.97 | ||
| Altman-Z | 3.73 |
ROIC/WACC2
WACC9.93%
2.3 Liquidity
1LMT has a Current Ratio of 1.30. This is a normal value and indicates that 1LMT is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.30, 1LMT is in the better half of the industry, outperforming 65.22% of the companies in the same industry.
1LMT has a Quick Ratio of 1.12. This is a normal value and indicates that 1LMT is financially healthy and should not expect problems in meeting its short term obligations.
1LMT has a Quick ratio of 1.12. This is in the better half of the industry: 1LMT outperforms 78.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for 1LMT have decreased by -0.50% in the last year.
1LMT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.03% yearly.
1LMT shows a small growth in Revenue. In the last year, the Revenue has grown by 5.14%.
Measured over the past years, 1LMT shows a small growth in Revenue. The Revenue has been growing by 3.50% on average per year.
EPS 1Y (TTM)-0.5%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%-2.66%
Revenue 1Y (TTM)5.14%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%-1.34%
3.2 Future
1LMT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.42% yearly.
Based on estimates for the next years, 1LMT will show a small growth in Revenue. The Revenue will grow by 3.11% on average per year.
EPS Next Y-0.75%
EPS Next 2Y4.13%
EPS Next 3Y4.96%
EPS Next 5Y4.42%
Revenue Next Year4.35%
Revenue Next 2Y4.04%
Revenue Next 3Y3.84%
Revenue Next 5Y3.11%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 17.42, 1LMT is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of 1LMT indicates a rather cheap valuation: 1LMT is cheaper than 95.65% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.34. 1LMT is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 17.55, 1LMT is valued on the expensive side.
Based on the Price/Forward Earnings ratio, 1LMT is valued cheaply inside the industry as 86.96% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of 1LMT to the average of the S&P500 Index (22.19), we can say 1LMT is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.42 | ||
| Fwd PE | 17.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1LMT is valued cheaply inside the industry as 84.78% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, 1LMT is valued cheaply inside the industry as 84.78% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.46 | ||
| EV/EBITDA | 12.64 |
4.3 Compensation for Growth
1LMT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.46
EPS Next 2Y4.13%
EPS Next 3Y4.96%
5. Dividend
5.1 Amount
1LMT has a Yearly Dividend Yield of 3.04%.
Compared to an average industry Dividend Yield of 1.28, 1LMT pays a better dividend. On top of this 1LMT pays more dividend than 97.83% of the companies listed in the same industry.
1LMT's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.04% |
5.2 History
On average, the dividend of 1LMT grows each year by 7.21%, which is quite nice.
Dividend Growth(5Y)7.21%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1LMT pays out 45.66% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of 1LMT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP45.66%
EPS Next 2Y4.13%
EPS Next 3Y4.96%
BIT:1LMT (6/13/2025, 7:00:00 PM)
420.5
-9.45 (-2.2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners74.11%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap98.98B
Analysts73.57
Price Target534.29 (27.06%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.04% |
Yearly Dividend12.91
Dividend Growth(5Y)7.21%
DP45.66%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.24%
Min EPS beat(2)3.56%
Max EPS beat(2)4.91%
EPS beat(4)4
Avg EPS beat(4)6.15%
Min EPS beat(4)3.56%
Max EPS beat(4)8.67%
EPS beat(8)6
Avg EPS beat(8)4.19%
EPS beat(12)8
Avg EPS beat(12)0.46%
EPS beat(16)11
Avg EPS beat(16)1.62%
Revenue beat(2)1
Avg Revenue beat(2)1.44%
Min Revenue beat(2)-2.4%
Max Revenue beat(2)5.27%
Revenue beat(4)3
Avg Revenue beat(4)3.3%
Min Revenue beat(4)-2.4%
Max Revenue beat(4)6.3%
Revenue beat(8)5
Avg Revenue beat(8)2.43%
Revenue beat(12)5
Avg Revenue beat(12)0.67%
Revenue beat(16)5
Avg Revenue beat(16)-0.09%
PT rev (1m)-7.3%
PT rev (3m)-3.06%
EPS NQ rev (1m)0.55%
EPS NQ rev (3m)0.53%
EPS NY rev (1m)-2.89%
EPS NY rev (3m)-2.99%
Revenue NQ rev (1m)0.41%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0.49%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.42 | ||
| Fwd PE | 17.55 | ||
| P/S | 1.59 | ||
| P/FCF | 17.46 | ||
| P/OCF | 13.67 | ||
| P/B | 15.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.64 |
EPS(TTM)24.14
EY5.74%
EPS(NY)23.96
Fwd EY5.7%
FCF(TTM)24.08
FCFY5.73%
OCF(TTM)30.77
OCFY7.32%
SpS263.88
BVpS26.65
TBVpS-20.65
PEG (NY)N/A
PEG (5Y)3.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.02% | ||
| ROE | 92.71% | ||
| ROCE | 23.2% | ||
| ROIC | 19.86% | ||
| ROICexc | 21.68% | ||
| ROICexgc | 34.39% | ||
| OM | 12.27% | ||
| PM (TTM) | 9.36% | ||
| GM | 12.22% | ||
| FCFM | 9.13% |
ROA(3y)11.21%
ROA(5y)11.9%
ROE(3y)82.45%
ROE(5y)83.72%
ROIC(3y)18.86%
ROIC(5y)19.56%
ROICexc(3y)20.04%
ROICexc(5y)21.1%
ROICexgc(3y)34.88%
ROICexgc(5y)36.6%
ROCE(3y)22.03%
ROCE(5y)22.85%
ROICexcg growth 3Y-7.66%
ROICexcg growth 5Y-4.12%
ROICexc growth 3Y-8.46%
ROICexc growth 5Y-4.57%
OM growth 3Y-9.81%
OM growth 5Y-6.86%
PM growth 3Y-7.27%
PM growth 5Y-6.33%
GM growth 3Y-10.04%
GM growth 5Y-6.72%
F-Score5
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.66 | ||
| Debt/FCF | 2.97 | ||
| Debt/EBITDA | 1.87 | ||
| Cap/Depr | 118.8% | ||
| Cap/Sales | 2.53% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.95% | ||
| Profit Quality | 97.48% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 3.73 |
F-Score5
WACC9.93%
ROIC/WACC2
Cap/Depr(3y)115.09%
Cap/Depr(5y)118.75%
Cap/Sales(3y)2.47%
Cap/Sales(5y)2.48%
Profit Quality(3y)98.69%
Profit Quality(5y)102.38%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.5%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%-2.66%
EPS Next Y-0.75%
EPS Next 2Y4.13%
EPS Next 3Y4.96%
EPS Next 5Y4.42%
Revenue 1Y (TTM)5.14%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%-1.34%
Revenue Next Year4.35%
Revenue Next 2Y4.04%
Revenue Next 3Y3.84%
Revenue Next 5Y3.11%
EBIT growth 1Y1.65%
EBIT growth 3Y-8.05%
EBIT growth 5Y-3.6%
EBIT Next Year24.35%
EBIT Next 3Y10.65%
EBIT Next 5Y8.51%
FCF growth 1Y12.13%
FCF growth 3Y-11.77%
FCF growth 5Y-1.93%
OCF growth 1Y11.11%
OCF growth 3Y-8.9%
OCF growth 5Y-0.95%