LOCKHEED MARTIN CORP (LOM.DE)
US5398301094 - Common Stock
LOM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 41 industry peers in the Aerospace & Defense industry. While LOM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. LOM is not valued too expensively and it also shows a decent 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.
Each year in the past 5 years LOM has been profitable.
In the past 5 years LOM always reported a positive cash flow from operatings.
1.2 Ratios
LOM has a better Return On Assets (12.33%) than 100.00% of its industry peers.
LOM has a better Return On Equity (101.89%) than 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 19.74%, LOM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
LOM had an Average Return On Invested Capital over the past 3 years of 20.32%. This is significantly above the industry average of 8.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.33% | ||
| ROE | 101.89% | ||
| ROIC | 19.74% |
ROA(3y)12.15%
ROA(5y)12.61%
ROE(3y)73.58%
ROE(5y)106.71%
ROIC(3y)20.32%
ROIC(5y)20.55%
1.3 Margins
The Profit Margin of LOM (9.73%) is better than 85.00% of its industry peers.
In the last couple of years the Profit Margin of LOM has grown nicely.
LOM's Operating Margin of 12.34% is amongst the best of the industry. LOM outperforms 85.00% of its industry peers.
In the last couple of years the Operating Margin of LOM has declined.
Looking at the Gross Margin, with a value of 12.23%, LOM is doing worse than 82.50% of the companies in the same industry.
In the last couple of years the Gross Margin of LOM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.34% | ||
| PM (TTM) | 9.73% | ||
| GM | 12.23% |
OM growth 3Y-1.51%
OM growth 5Y-1.59%
PM growth 3Y-0.67%
PM growth 5Y1.76%
GM growth 3Y-1.5%
GM growth 5Y-1.72%
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.
The number of shares outstanding for LOM has been reduced compared to 1 year ago.
The number of shares outstanding for LOM has been reduced compared to 5 years ago.
LOM has a worse debt/assets ratio than last year.
2.2 Solvency
LOM has an Altman-Z score of 3.67. This indicates that LOM is financially healthy and has little risk of bankruptcy at the moment.
LOM's Altman-Z score of 3.67 is amongst the best of the industry. LOM outperforms 90.00% of its industry peers.
The Debt to FCF ratio of LOM is 3.12, which is a good value as it means it would take LOM, 3.12 years of fcf income to pay off all of its debts.
LOM has a Debt to FCF ratio of 3.12. This is amongst the best in the industry. LOM outperforms 82.50% of its industry peers.
LOM has a Debt/Equity ratio of 2.89. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.89, LOM is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.89 | ||
| Debt/FCF | 3.12 | ||
| Altman-Z | 3.67 |
ROIC/WACC2.23
WACC8.87%
2.3 Liquidity
A Current Ratio of 1.30 indicates that LOM should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.30, LOM is in line with its industry, outperforming 55.00% of the companies in the same industry.
LOM has a Quick Ratio of 1.11. This is a normal value and indicates that LOM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.11, LOM is doing good in the industry, outperforming 77.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
LOM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.01%, which is quite impressive.
Measured over the past years, LOM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.29% on average per year.
The Revenue has been growing slightly by 5.28% in the past year.
The Revenue has been growing slightly by 4.68% on average over the past years.
EPS 1Y (TTM)26.01%
EPS 3Y3.77%
EPS 5Y9.29%
EPS growth Q2Q-4.24%
Revenue 1Y (TTM)5.28%
Revenue growth 3Y1.1%
Revenue growth 5Y4.68%
Revenue growth Q2Q13.68%
3.2 Future
The Earnings Per Share is expected to grow by 2.81% on average over the next years.
Based on estimates for the next years, LOM will show a small growth in Revenue. The Revenue will grow by 3.15% on average per year.
EPS Next Y-5.57%
EPS Next 2Y0.25%
EPS Next 3Y1.87%
EPS Next 5Y2.81%
Revenue Next Year4.23%
Revenue Next 2Y3.88%
Revenue Next 3Y3.74%
Revenue Next 5Y3.15%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.80, which indicates a correct valuation of LOM.
Based on the Price/Earnings ratio, LOM is valued cheaper than 97.50% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.83, LOM is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.55 indicates a correct valuation of LOM.
LOM's Price/Forward Earnings ratio is rather cheap when compared to the industry. LOM is cheaper than 82.50% of the companies in the same industry.
LOM is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 20.47, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.8 | ||
| Fwd PE | 16.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LOM is valued a bit cheaper than 80.00% of the companies in the same industry.
95.00% of the companies in the same industry are more expensive than LOM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.88 | ||
| EV/EBITDA | 12.73 |
4.3 Compensation for Growth
The decent profitability rating of LOM may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.81
EPS Next 2Y0.25%
EPS Next 3Y1.87%
5. Dividend
5.1 Amount
LOM has a Yearly Dividend Yield of 2.69%. Purely for dividend investing, there may be better candidates out there.
LOM's Dividend Yield is rather good when compared to the industry average which is at 1.56. LOM pays more dividend than 95.00% of the companies in the same industry.
LOM's Dividend Yield is comparable with the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.69% |
5.2 History
On average, the dividend of LOM grows each year by 8.25%, which is quite nice.
Dividend Growth(5Y)8.25%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
45.04% of the earnings are spent on dividend by LOM. This is a bit on the high side, but may be sustainable.
LOM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP45.04%
EPS Next 2Y0.25%
EPS Next 3Y1.87%
LOCKHEED MARTIN CORP
FRA:LOM (5/16/2024, 7:00:00 PM)
427.6
-0.5 (-0.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap102.60B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.69% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.8 | ||
| Fwd PE | 16.55 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)1.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.33% | ||
| ROE | 101.89% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 12.34% | ||
| PM (TTM) | 9.73% | ||
| GM | 12.23% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.89 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)26.01%
EPS 3Y3.77%
EPS 5Y
EPS growth Q2Q
EPS Next Y-5.57%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.28%
Revenue growth 3Y1.1%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y