LOCKHEED MARTIN CORP (LOM.DE) Stock Fundamental Analysis
FRA:LOM - Deutsche Boerse Ag - US5398301094 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to LOM. LOM was compared to 44 industry peers in the Aerospace & Defense industry. LOM has a medium profitability rating, but doesn't score so well on its financial health evaluation. LOM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year LOM was profitable.
LOM had a positive operating cash flow in the past year.
LOM had positive earnings in each of the past 5 years.
LOM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LOM's Return On Assets of 7.14% is amongst the best of the industry. LOM outperforms 90.91% of its industry peers.
LOM's Return On Equity of 78.82% is amongst the best of the industry. LOM outperforms 100.00% of its industry peers.
LOM has a Return On Invested Capital of 14.80%. This is amongst the best in the industry. LOM outperforms 90.91% of its industry peers.
LOM had an Average Return On Invested Capital over the past 3 years of 18.86%. This is significantly above the industry average of 8.79%.
The 3 year average ROIC (18.86%) for LOM is well above the current ROIC(14.80%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.14% | ||
| ROE | 78.82% | ||
| ROIC | 14.8% |
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 Profit Margin value of 5.85%, LOM perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
LOM's Profit Margin has declined in the last couple of years.
LOM's Operating Margin of 8.30% is in line compared to the rest of the industry. LOM outperforms 52.27% of its industry peers.
LOM's Operating Margin has declined in the last couple of years.
LOM has a worse Gross Margin (8.25%) than 88.64% of its industry peers.
In the last couple of years the Gross Margin of LOM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.3% | ||
| PM (TTM) | 5.85% | ||
| 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
LOM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
LOM has less shares outstanding than it did 1 year ago.
The number of shares outstanding for LOM has been reduced compared to 5 years ago.
Compared to 1 year ago, LOM has a worse debt to assets ratio.
2.2 Solvency
LOM has an Altman-Z score of 2.96. This is not the best score and indicates that LOM is in the grey zone with still only limited risk for bankruptcy at the moment.
LOM has a Altman-Z score of 2.96. This is in the better half of the industry: LOM outperforms 63.64% of its industry peers.
The Debt to FCF ratio of LOM is 6.50, which is on the high side as it means it would take LOM, 6.50 years of fcf income to pay off all of its debts.
LOM has a Debt to FCF ratio (6.50) which is comparable to the rest of the industry.
A Debt/Equity ratio of 3.47 is on the high side and indicates that LOM has dependencies on debt financing.
LOM has a Debt to Equity ratio of 3.47. This is amonst the worse of the industry: LOM underperforms 86.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.47 | ||
| Debt/FCF | 6.5 | ||
| Altman-Z | 2.96 |
ROIC/WACC1.55
WACC9.54%
2.3 Liquidity
LOM has a Current Ratio of 0.98. This is a bad value and indicates that LOM is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.98, LOM is doing worse than 77.27% of the companies in the same industry.
A Quick Ratio of 0.83 indicates that LOM may have some problems paying its short term obligations.
The Quick ratio of LOM (0.83) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
LOM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.27%.
The Earnings Per Share has been growing slightly by 5.03% on average over the past years.
The Revenue has been growing slightly by 1.09% in the past year.
Measured over the past years, LOM shows a small growth in Revenue. The Revenue has been growing by 3.50% on average per year.
EPS 1Y (TTM)4.27%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%6.42%
Revenue 1Y (TTM)1.09%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%0.18%
3.2 Future
Based on estimates for the next years, LOM will show a small growth in Earnings Per Share. The EPS will grow by 5.65% on average per year.
LOM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.22% yearly.
EPS Next Y-0.49%
EPS Next 2Y4.37%
EPS Next 3Y5.32%
EPS Next 5Y5.65%
Revenue Next Year4.4%
Revenue Next 2Y4.06%
Revenue Next 3Y4%
Revenue Next 5Y3.22%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.30, which indicates a correct valuation of LOM.
Based on the Price/Earnings ratio, LOM is valued cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of LOM to the average of the S&P500 Index (26.82), we can say LOM is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.76, which indicates a correct valuation of LOM.
Based on the Price/Forward Earnings ratio, LOM is valued cheaply inside the industry as 95.45% of the companies are valued more expensively.
LOM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.21.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.3 | ||
| Fwd PE | 13.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LOM is valued a bit cheaper than the industry average as 79.55% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, LOM is valued a bit cheaper than the industry average as 68.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.23 | ||
| EV/EBITDA | 15.58 |
4.3 Compensation for Growth
The decent profitability rating of LOM may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.84
EPS Next 2Y4.37%
EPS Next 3Y5.32%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.14%, LOM has a reasonable but not impressive dividend return.
LOM's Dividend Yield is rather good when compared to the industry average which is at 1.20. LOM pays more dividend than 97.73% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, LOM pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.14% |
5.2 History
On average, the dividend of LOM grows each year by 7.21%, which is quite nice.
Dividend Growth(5Y)7.21%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
LOM pays out 73.60% of its income as dividend. This is not a sustainable payout ratio.
The dividend of LOM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP73.6%
EPS Next 2Y4.37%
EPS Next 3Y5.32%
FRA:LOM (8/1/2025, 7:00:00 PM)
362.85
-3.55 (-0.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners75.05%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap85.02B
Analysts74.29
Price Target465.49 (28.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.14% |
Yearly Dividend11.01
Dividend Growth(5Y)7.21%
DP73.6%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.9%
Min EPS beat(2)12.03%
Max EPS beat(2)13.78%
EPS beat(4)4
Avg EPS beat(4)10.9%
Min EPS beat(4)3.56%
Max EPS beat(4)14.24%
EPS beat(8)7
Avg EPS beat(8)8.07%
EPS beat(12)9
Avg EPS beat(12)6.11%
EPS beat(16)12
Avg EPS beat(16)3.52%
Revenue beat(2)0
Avg Revenue beat(2)-1.65%
Min Revenue beat(2)-3.21%
Max Revenue beat(2)-0.09%
Revenue beat(4)0
Avg Revenue beat(4)-2.05%
Min Revenue beat(4)-3.21%
Max Revenue beat(4)-0.09%
Revenue beat(8)3
Avg Revenue beat(8)0.9%
Revenue beat(12)5
Avg Revenue beat(12)1.02%
Revenue beat(16)5
Avg Revenue beat(16)-0.32%
PT rev (1m)-1.93%
PT rev (3m)-0.1%
EPS NQ rev (1m)-2.83%
EPS NQ rev (3m)-5.29%
EPS NY rev (1m)-0.39%
EPS NY rev (3m)0.48%
Revenue NQ rev (1m)0.44%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.3 | ||
| Fwd PE | 13.76 | ||
| P/S | 1.35 | ||
| P/FCF | 29.23 | ||
| P/OCF | 19.19 | ||
| P/B | 18.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.58 |
EPS(TTM)25.37
EY6.99%
EPS(NY)26.37
Fwd EY7.27%
FCF(TTM)12.41
FCFY3.42%
OCF(TTM)18.91
OCFY5.21%
SpS267.89
BVpS19.89
TBVpS-29.79
PEG (NY)N/A
PEG (5Y)2.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.14% | ||
| ROE | 78.82% | ||
| ROCE | 17.28% | ||
| ROIC | 14.8% | ||
| ROICexc | 15.38% | ||
| ROICexgc | 25.67% | ||
| OM | 8.3% | ||
| PM (TTM) | 5.85% | ||
| GM | 8.25% | ||
| FCFM | 4.63% |
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 Turnover1.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.47 | ||
| Debt/FCF | 6.5 | ||
| Debt/EBITDA | 2.43 | ||
| Cap/Depr | 105.9% | ||
| Cap/Sales | 2.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.63% | ||
| Profit Quality | 79.19% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 2.96 |
F-Score5
WACC9.54%
ROIC/WACC1.55
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)4.27%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%6.42%
EPS Next Y-0.49%
EPS Next 2Y4.37%
EPS Next 3Y5.32%
EPS Next 5Y5.65%
Revenue 1Y (TTM)1.09%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%0.18%
Revenue Next Year4.4%
Revenue Next 2Y4.06%
Revenue Next 3Y4%
Revenue Next 5Y3.22%
EBIT growth 1Y-31.04%
EBIT growth 3Y-8.05%
EBIT growth 5Y-3.6%
EBIT Next Year25.67%
EBIT Next 3Y10.68%
EBIT Next 5Y7.62%
FCF growth 1Y-44.55%
FCF growth 3Y-11.77%
FCF growth 5Y-1.93%
OCF growth 1Y-34.36%
OCF growth 3Y-8.9%
OCF growth 5Y-0.95%