LMT
Lockheed Martin CorporationIndustrials / Aerospace & DefenseINTACTLockheed Martin Corporation, an aerospace and defense company, engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services in the United States, Europe, Asia, the Middle East, and internationally. The company operates through four segments: Aeronautics; Missiles and Fire Control (MFC); Rotary and Mission Systems (RMS); and Space. The Aeronautics segment offers combat and air mobility aircraft, unmanned air vehicles, and related technologies. The MFC segment provides air and missile defense systems; tactical missiles and precision strike weapon systems; logistics; fire control systems; mission operations support, readiness, engineering support, and integration services; and ground vehicles. The RMS segment offers military and commercial helicopters, surface ships, sea- and land-based missile defense systems, radar and laser systems, sea- and air-based mission and combat systems, command and control mission solutions, cyber solutions, simulation and training solutions, and services and support for surface ships. The Space segment provides satellites; space transportation systems; strategic, advanced strike, and defensive systems; and classified systems and services in support of national security systems. This segment also provides network-enabled situational awareness; and integrates space and ground global systems to help its customers gather, analyze, and securely distribute critical intelligence data. It primarily serves the U.S. government and international customers, as well as foreign military sales contracted through the U.S. government. The company was formerly known as The Lockheed Corporation and changed its name to Lockheed Martin Corporation in March 1995. Lockheed Martin Corporation was founded in 1912 and is based in Bethesda, Maryland.
Price vs. Intrinsic Value Corridor
Overvalued vs DCF ($398.66)Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.
2-Stage Discounted Cash Flow (DCF) Workbench
Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.
| Year | Yr 1 | Yr 2 | Yr 3 | Yr 4 | Yr 5 | Yr 6 | Yr 7 | Yr 8 | Yr 9 | Yr 10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Projected FCF ($M) | $5,897 | $6,251 | $6,626 | $7,023 | $7,445 | $7,780 | $8,130 | $8,495 | $8,878 | $9,277 |
| Present Value (PV) | $5,410 | $5,261 | $5,116 | $4,975 | $4,838 | $4,639 | $4,447 | $4,264 | $4,088 | $3,919 |
Benjamin Graham & Buffett Value Models
Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.
Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.
Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.
True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.
Reverse DCF: Market Growth Expectation
MODEST BARRIERAt the current price of $524.19, the market is assuming the business will compound Free Cash Flow at 6.8% per year for the next decade with a 9% hurdle rate.
Surveil LMT with Mathematical Margin of Safety Rules
Set non-negotiable floor rules for Lockheed Martin Corporation. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.
ROIC > 15% • Margin > 15% • D/E < 0.5x
Current Margin 12% • Floor > 10%
Altman-Z > 2.6 • Current Ratio > 1.5x
Frequently Asked Questions: Lockheed Martin Corporation (LMT) Intrinsic Valuation
Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Lockheed Martin Corporation.
Related Industrials Value Stocks & Sector Peers
Compare Lockheed Martin Corporation with audited intrinsic valuation models across the Industrials sector.
GE Aerospace
Aerospace & Defense
Caterpillar Inc.
Farm & Heavy Construction Machinery
Union Pacific Corporation
Railroads
RTX Corporation
Aerospace & Defense
Honeywell International Inc.
Conglomerates
The Boeing Company
Aerospace & Defense