LOCKHEED MARTIN CORP (1LMT.MI) Stock Fundamental Analysis
BIT:1LMT - Euronext Milan - US5398301094 - Common Stock - Currency: EUR
Overall 1LMT gets a fundamental rating of 5 out of 10. We evaluated 1LMT against 45 industry peers in the Aerospace & Defense industry. 1LMT has only an average score on both its financial health and profitability. 1LMT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1LMT was profitable.
In the past year 1LMT had a positive cash flow from operations.
In the past 5 years 1LMT has always been profitable.
1LMT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1LMT has a Return On Assets of 9.71%. This is amongst the best in the industry. 1LMT outperforms 95.65% of its industry peers.
With an excellent Return On Equity value of 82.34%, 1LMT belongs to the best of the industry, outperforming 97.83% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 17.83%, 1LMT belongs to the top of the industry, outperforming 93.48% of the companies in the same industry.
1LMT had an Average Return On Invested Capital over the past 3 years of 18.86%. This is significantly above the industry average of 8.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.71% | ||
| ROE | 82.34% | ||
| ROIC | 17.83% |
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
The Profit Margin of 1LMT (7.66%) is better than 76.09% of its industry peers.
1LMT's Profit Margin has declined in the last couple of years.
1LMT has a better Operating Margin (10.29%) than 69.57% of its industry peers.
1LMT's Operating Margin has declined in the last couple of years.
1LMT has a Gross Margin of 10.23%. This is amonst the worse of the industry: 1LMT underperforms 84.78% of its industry peers.
1LMT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.29% | ||
| PM (TTM) | 7.66% | ||
| GM | 10.23% |
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1LMT is creating value.
Compared to 1 year ago, 1LMT has less shares outstanding
Compared to 5 years ago, 1LMT has less shares outstanding
1LMT has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.46 indicates that 1LMT is not in any danger for bankruptcy at the moment.
1LMT has a Altman-Z score of 3.46. This is in the better half of the industry: 1LMT outperforms 73.91% of its industry peers.
1LMT has a debt to FCF ratio of 4.07. This is a neutral value as 1LMT would need 4.07 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.07, 1LMT is in the better half of the industry, outperforming 63.04% of the companies in the same industry.
1LMT has a Debt/Equity ratio of 2.79. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.79, 1LMT is doing worse than 82.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.79 | ||
| Debt/FCF | 4.07 | ||
| Altman-Z | 3.46 |
ROIC/WACC1.8
WACC9.93%
2.3 Liquidity
A Current Ratio of 1.08 indicates that 1LMT should not have too much problems paying its short term obligations.
1LMT has a Current ratio of 1.08. This is in the lower half of the industry: 1LMT underperforms 65.22% of its industry peers.
1LMT has a Quick Ratio of 1.08. This is a bad value and indicates that 1LMT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1LMT (0.91) is better than 67.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
1LMT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.51%.
1LMT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.03% yearly.
Looking at the last year, 1LMT shows a small growth in Revenue. The Revenue has grown by 3.12% in the last year.
The Revenue has been growing slightly by 3.50% on average over the past years.
EPS 1Y (TTM)3.51%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%13.93%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%4.47%
3.2 Future
Based on estimates for the next years, 1LMT will show a small growth in Earnings Per Share. The EPS will grow by 5.65% on average per year.
Based on estimates for the next years, 1LMT will show a small growth in Revenue. The Revenue will grow by 3.22% on average per year.
EPS Next Y-0.1%
EPS Next 2Y4.4%
EPS Next 3Y5.33%
EPS Next 5Y5.65%
Revenue Next Year4.39%
Revenue Next 2Y4.05%
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.
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
Based on the Price/Earnings ratio of 16.93, the valuation of 1LMT can be described as correct.
95.65% of the companies in the same industry are more expensive than 1LMT, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of 1LMT to the average of the S&P500 Index (27.45), we can say 1LMT is valued slightly cheaper.
With a Price/Forward Earnings ratio of 16.03, 1LMT is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1LMT indicates a rather cheap valuation: 1LMT is cheaper than 89.13% of the companies listed in the same industry.
1LMT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.93 | ||
| Fwd PE | 16.03 |
4.2 Price Multiples
76.09% of the companies in the same industry are more expensive than 1LMT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, 1LMT is valued a bit cheaper than 76.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.76 | ||
| EV/EBITDA | 14.67 |
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)3.37
EPS Next 2Y4.4%
EPS Next 3Y5.33%
5. Dividend
5.1 Amount
1LMT has a Yearly Dividend Yield of 2.82%. Purely for dividend investing, there may be better candidates out there.
1LMT's Dividend Yield is rather good when compared to the industry average which is at 1.20. 1LMT pays more dividend than 97.83% of the companies in the same industry.
1LMT's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
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 55.88% of its income as dividend. This is a bit on the high side, but may be sustainable.
1LMT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP55.88%
EPS Next 2Y4.4%
EPS Next 3Y5.33%
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 Owners75.05%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap98.52B
Analysts73.79
Price Target473.64 (12.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
Yearly Dividend11.21
Dividend Growth(5Y)7.21%
DP55.88%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.01%
Min EPS beat(2)13.78%
Max EPS beat(2)14.24%
EPS beat(4)4
Avg EPS beat(4)9.12%
Min EPS beat(4)3.56%
Max EPS beat(4)14.24%
EPS beat(8)7
Avg EPS beat(8)6.78%
EPS beat(12)8
Avg EPS beat(12)2.29%
EPS beat(16)12
Avg EPS beat(16)3.27%
Revenue beat(2)0
Avg Revenue beat(2)-1.3%
Min Revenue beat(2)-2.51%
Max Revenue beat(2)-0.09%
Revenue beat(4)1
Avg Revenue beat(4)0.07%
Min Revenue beat(4)-2.51%
Max Revenue beat(4)5.27%
Revenue beat(8)4
Avg Revenue beat(8)1.78%
Revenue beat(12)5
Avg Revenue beat(12)0.9%
Revenue beat(16)5
Avg Revenue beat(16)-0.15%
PT rev (1m)-11.35%
PT rev (3m)-11.35%
EPS NQ rev (1m)-3.17%
EPS NQ rev (3m)-3.17%
EPS NY rev (1m)0.66%
EPS NY rev (3m)0.66%
Revenue NQ rev (1m)-0.51%
Revenue NQ rev (3m)-0.51%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.93 | ||
| Fwd PE | 16.03 | ||
| P/S | 1.58 | ||
| P/FCF | 22.76 | ||
| P/OCF | 16.82 | ||
| P/B | 16.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.67 |
EPS(TTM)24.84
EY5.91%
EPS(NY)26.23
Fwd EY6.24%
FCF(TTM)18.48
FCFY4.39%
OCF(TTM)25
OCFY5.95%
SpS266.17
BVpS24.77
TBVpS-23.52
PEG (NY)N/A
PEG (5Y)3.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.71% | ||
| ROE | 82.34% | ||
| ROCE | 20.82% | ||
| ROIC | 17.83% | ||
| ROICexc | 18.78% | ||
| ROICexgc | 30.63% | ||
| OM | 10.29% | ||
| PM (TTM) | 7.66% | ||
| GM | 10.23% | ||
| FCFM | 6.94% |
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-Score6
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.79 | ||
| Debt/FCF | 4.07 | ||
| Debt/EBITDA | 2.08 | ||
| Cap/Depr | 109.72% | ||
| Cap/Sales | 2.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75.02% | ||
| Profit Quality | 90.59% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 3.46 |
F-Score6
WACC9.93%
ROIC/WACC1.8
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)3.51%
EPS 3Y5.96%
EPS 5Y5.03%
EPS Q2Q%13.93%
EPS Next Y-0.1%
EPS Next 2Y4.4%
EPS Next 3Y5.33%
EPS Next 5Y5.65%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y1.95%
Revenue growth 5Y3.5%
Sales Q2Q%4.47%
Revenue Next Year4.39%
Revenue Next 2Y4.05%
Revenue Next 3Y4%
Revenue Next 5Y3.22%
EBIT growth 1Y-13.61%
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-20.37%
FCF growth 3Y-11.77%
FCF growth 5Y-1.93%
OCF growth 1Y-15.21%
OCF growth 3Y-8.9%
OCF growth 5Y-0.95%