LOCKHEED MARTIN CORP (LMT) Stock Fundamental Analysis
USA - NYSE:LMT - US5398301094 - Common Stock
486.91 USD
-4.97 (-1.01%)
Overall LMT gets a fundamental rating of 5 out of 10. We evaluated LMT against 71 industry peers in the Aerospace & Defense industry. LMT has an average financial health and profitability rating. LMT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
LMT had positive earnings in the past year.
In the past year LMT had a positive cash flow from operations.
In the past 5 years LMT has always been profitable.
LMT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of LMT (6.97%) is better than 77.46% of its industry peers.
The Return On Equity of LMT (67.95%) is better than 100.00% of its industry peers.
The Return On Invested Capital of LMT (14.02%) is better than 91.55% of its industry peers.
LMT had an Average Return On Invested Capital over the past 3 years of 18.86%. This is significantly above the industry average of 8.45%.
The 3 year average ROIC (18.86%) for LMT is well above the current ROIC(14.02%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 67.95% | ||
| ROIC | 14.02% |
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
With a decent Profit Margin value of 5.73%, LMT is doing good in the industry, outperforming 63.38% of the companies in the same industry.
LMT's Profit Margin has declined in the last couple of years.
LMT's Operating Margin of 8.32% is in line compared to the rest of the industry. LMT outperforms 56.34% of its industry peers.
In the last couple of years the Operating Margin of LMT has declined.
The Gross Margin of LMT (8.25%) is worse than 81.69% of its industry peers.
LMT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.32% | ||
| PM (TTM) | 5.73% | ||
| GM | 8.25% |
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), LMT is creating value.
The number of shares outstanding for LMT has been reduced compared to 1 year ago.
Compared to 5 years ago, LMT has less shares outstanding
Compared to 1 year ago, LMT has a worse debt to assets ratio.
2.2 Solvency
LMT has an Altman-Z score of 3.21. This indicates that LMT is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LMT (3.21) is comparable to the rest of the industry.
LMT has a debt to FCF ratio of 4.83. This is a neutral value as LMT would need 4.83 years to pay back of all of its debts.
LMT has a Debt to FCF ratio of 4.83. This is in the better half of the industry: LMT outperforms 73.24% of its industry peers.
A Debt/Equity ratio of 3.32 is on the high side and indicates that LMT has dependencies on debt financing.
LMT's Debt to Equity ratio of 3.32 is on the low side compared to the rest of the industry. LMT is outperformed by 85.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.32 | ||
| Debt/FCF | 4.83 | ||
| Altman-Z | 3.21 |
ROIC/WACC1.48
WACC9.48%
2.3 Liquidity
A Current Ratio of 1.13 indicates that LMT should not have too much problems paying its short term obligations.
The Current ratio of LMT (1.13) is worse than 81.69% of its industry peers.
A Quick Ratio of 0.97 indicates that LMT may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.97, LMT is doing worse than 73.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.55% over the past year.
The Earnings Per Share has been growing slightly by 5.03% on average over the past years.
The Revenue has been growing slightly by 2.88% in the past year.
Measured over the past years, LMT shows a small growth in Revenue. The Revenue has been growing by 3.50% on average per year.
EPS 1Y (TTM)4.55%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%2.21%
Revenue 1Y (TTM)2.88%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%8.8%
3.2 Future
Based on estimates for the next years, LMT will show a small growth in Earnings Per Share. The EPS will grow by 5.66% on average per year.
LMT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.23% yearly.
EPS Next Y-20.29%
EPS Next 2Y2.89%
EPS Next 3Y4.53%
EPS Next 5Y5.66%
Revenue Next Year4.25%
Revenue Next 2Y4.1%
Revenue Next 3Y3.94%
Revenue Next 5Y3.23%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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
LMT is valuated correctly with a Price/Earnings ratio of 16.68.
Compared to the rest of the industry, the Price/Earnings ratio of LMT indicates a rather cheap valuation: LMT is cheaper than 95.77% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.11, LMT is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.60 indicates a correct valuation of LMT.
Based on the Price/Forward Earnings ratio, LMT is valued cheaply inside the industry as 90.14% of the companies are valued more expensively.
LMT is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.55, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.68 | ||
| Fwd PE | 16.6 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LMT indicates a somewhat cheap valuation: LMT is cheaper than 78.87% of the companies listed in the same industry.
LMT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LMT is cheaper than 88.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.75 | ||
| EV/EBITDA | 17.15 |
4.3 Compensation for Growth
LMT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.32
EPS Next 2Y2.89%
EPS Next 3Y4.53%
5. Dividend
5.1 Amount
LMT has a Yearly Dividend Yield of 2.82%.
LMT's Dividend Yield is rather good when compared to the industry average which is at 1.10. LMT pays more dividend than 98.59% of the companies in the same industry.
LMT's Dividend Yield is comparable with the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
5.2 History
The dividend of LMT is nicely growing with an annual growth rate of 7.21%!
LMT has paid a dividend for at least 10 years, which is a reliable track record.
LMT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)7.21%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
LMT pays out 74.05% of its income as dividend. This is not a sustainable payout ratio.
LMT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP74.05%
EPS Next 2Y2.89%
EPS Next 3Y4.53%
NYSE:LMT (11/3/2025, 2:55:00 PM)
486.91
-4.97 (-1.01%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners75.55%
Inst Owner Change-0.72%
Ins Owners0.05%
Ins Owner Change-1.99%
Market Cap113.68B
Revenue(TTM)73.35B
Net Income(TTM)4.20B
Analysts72.31
Price Target542.21 (11.36%)
Short Float %1.05%
Short Ratio1.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
Yearly Dividend12.91
Dividend Growth(5Y)7.21%
DP74.05%
Div Incr Years6
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.11%
Min EPS beat(2)8.18%
Max EPS beat(2)12.03%
EPS beat(4)4
Avg EPS beat(4)12.06%
Min EPS beat(4)8.18%
Max EPS beat(4)14.24%
EPS beat(8)8
Avg EPS beat(8)9.1%
EPS beat(12)10
Avg EPS beat(12)6.81%
EPS beat(16)12
Avg EPS beat(16)3.36%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-3.21%
Max Revenue beat(2)-0.71%
Revenue beat(4)0
Avg Revenue beat(4)-1.63%
Min Revenue beat(4)-3.21%
Max Revenue beat(4)-0.09%
Revenue beat(8)3
Avg Revenue beat(8)0.83%
Revenue beat(12)5
Avg Revenue beat(12)1.08%
Revenue beat(16)5
Avg Revenue beat(16)0.1%
PT rev (1m)10.67%
PT rev (3m)0.37%
EPS NQ rev (1m)-2.87%
EPS NQ rev (3m)-3.11%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)-19.9%
Revenue NQ rev (1m)1.03%
Revenue NQ rev (3m)1.12%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.68 | ||
| Fwd PE | 16.6 | ||
| P/S | 1.55 | ||
| P/FCF | 24.75 | ||
| P/OCF | 17.87 | ||
| P/B | 18.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.15 |
EPS(TTM)29.19
EY5.99%
EPS(NY)29.33
Fwd EY6.02%
FCF(TTM)19.67
FCFY4.04%
OCF(TTM)27.25
OCFY5.6%
SpS314.17
BVpS26.47
TBVpS-30.3
PEG (NY)N/A
PEG (5Y)3.32
Graham Number131.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 67.95% | ||
| ROCE | 16.37% | ||
| ROIC | 14.02% | ||
| ROICexc | 15.45% | ||
| ROICexgc | 25.41% | ||
| OM | 8.32% | ||
| PM (TTM) | 5.73% | ||
| GM | 8.25% | ||
| FCFM | 6.26% |
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%
ROICexgc growth 3Y-7.66%
ROICexgc 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 Turnover1.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.32 | ||
| Debt/FCF | 4.83 | ||
| Debt/EBITDA | 2.63 | ||
| Cap/Depr | 105.05% | ||
| Cap/Sales | 2.41% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.67% | ||
| Profit Quality | 109.36% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.97 | ||
| Altman-Z | 3.21 |
F-Score5
WACC9.48%
ROIC/WACC1.48
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)4.55%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%2.21%
EPS Next Y-20.29%
EPS Next 2Y2.89%
EPS Next 3Y4.53%
EPS Next 5Y5.66%
Revenue 1Y (TTM)2.88%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%8.8%
Revenue Next Year4.25%
Revenue Next 2Y4.1%
Revenue Next 3Y3.94%
Revenue Next 5Y3.23%
EBIT growth 1Y-30.21%
EBIT growth 3Y-8.05%
EBIT growth 5Y-3.6%
EBIT Next Year10.51%
EBIT Next 3Y10.44%
EBIT Next 5Y7.54%
FCF growth 1Y-20.85%
FCF growth 3Y-11.77%
FCF growth 5Y-1.93%
OCF growth 1Y-14.99%
OCF growth 3Y-8.9%
OCF growth 5Y-0.95%
LOCKHEED MARTIN CORP / LMT FAQ
Can you provide the ChartMill fundamental rating for LOCKHEED MARTIN CORP?
ChartMill assigns a fundamental rating of 5 / 10 to LMT.
What is the valuation status for LMT stock?
ChartMill assigns a valuation rating of 6 / 10 to LOCKHEED MARTIN CORP (LMT). This can be considered as Fairly Valued.
What is the profitability of LMT stock?
LOCKHEED MARTIN CORP (LMT) has a profitability rating of 6 / 10.
What is the financial health of LOCKHEED MARTIN CORP (LMT) stock?
The financial health rating of LOCKHEED MARTIN CORP (LMT) is 4 / 10.
How sustainable is the dividend of LOCKHEED MARTIN CORP (LMT) stock?
The dividend rating of LOCKHEED MARTIN CORP (LMT) is 5 / 10 and the dividend payout ratio is 74.05%.