Lockheed Martin Corporation (LMT) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Lockheed Martin Corporation (LMT) trades at $589.15 with AI Score 75/100 (Grade A). Lockheed Martin Corporation is a global security and aerospace company focused on research, design, development, and manufacturing of advanced technology systems. Market cap: $136B, Sector: Industrials.
Price as of Aug 20, 2026 · Last analyzed: May 10, 2026LMT stock analysis for 2026: Analysts have set a consensus price target of $624.54 for Lockheed Martin Corporation, suggesting 6.0% upside from the current price of $589.15. The AI MoonshotScore is 75/100, indicating a strong bullish outlook. Key factors: analyst coverage, AI-driven quantitative scoring.
LMT: 2/3 scored disciplines lean bullish. Dominant signal: Ray Dalio bullish.
How is this calculated? →Why this analysis is different
- A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
- An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
- Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.
Lockheed Martin Corporation (LMT) Industrial Operations Profile
Lockheed Martin Corporation, a leading security and aerospace company, provides advanced technology systems, products, and services. With a strong focus on U.S. government contracts and foreign military sales, the company operates across Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space segments, maintaining a significant presence in the defense industry.
What Is the Investment Thesis for LMT?
Lockheed Martin presents a compelling investment case driven by its entrenched position in the defense industry and consistent revenue streams from government contracts. With a market capitalization of $136B and a dividend yield of 2.67%, LMT offers stability and income potential. Key value drivers include ongoing government defense spending and technological advancements in missile defense and space systems. Upcoming catalysts include potential contract renewals and expansion into new defense technologies. However, investors should be aware of potential risks such as government budget cuts and increased competition, which could impact future revenue and profitability. The company's P/E ratio of 24.3 reflects its premium valuation.
Based on FMP financials and quantitative analysis
LMT Key Highlights
Market Cap of $136B indicates strong investor confidence in Lockheed Martin's market position.
- P/E Ratio of 24.3 reflects a premium valuation compared to some industry peers, driven by stable government contracts.
- Profit Margin of 6.4% demonstrates solid profitability in the competitive aerospace and defense sector.
- Dividend Yield of 2.67% provides an attractive income stream for investors, supported by consistent cash flow.
- Beta of 0.24 suggests low volatility compared to the broader market, making it a relatively stable investment.
Who Are LMT's Competitors?
LMT is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BA The Boeing Company | $222.20 | -0.39% | $176B | 44 |
| DE Deere & Company | $620.94 | +6.94% | $168B | 54 |
| HON Honeywell International Inc. | $221.73 | -2.63% | $70.3B | 65 |
| TT Trane Technologies plc | $451.10 | -0.96% | $99.3B | 43 |
| GD General Dynamics Corporation | $386.83 | -1.40% | $105B | 82 |
| NOC Northrop Grumman Corporation | $581.28 | -0.27% | $82.6B | 65 |
| TDG TransDigm Group Incorporated | $1222.91 | -0.88% | $68.4B | 73 |
| RTX RTX Corporation | $220.35 | -2.28% | $297B | 74 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are LMT's Key Strengths?
Strong relationships with the U.S. government and defense agencies.
- Extensive portfolio of advanced technology systems and products.
- Significant investments in research and development.
- Proven track record of delivering reliable and high-performance solutions.
What Are LMT's Weaknesses?
Dependence on government contracts, making it vulnerable to budget cuts.
- Exposure to political and geopolitical risks.
- Complex supply chain and manufacturing processes.
- High level of regulation and compliance requirements.
What Could Drive LMT Stock Higher?
Continued geopolitical tensions driving demand for advanced defense systems.
- Potential contract awards for next-generation missile defense technologies.
- Increased government spending on space exploration and satellite programs.
- Development and deployment of new hypersonic weapon systems.
- Expansion of cybersecurity solutions for government and defense agencies.
What Are the Key Risks for LMT?
Government budget cuts impacting defense spending.
- Increased competition from other aerospace and defense companies.
- Technological obsolescence requiring continuous innovation.
- Geopolitical instability and conflicts disrupting operations.
- Supply chain disruptions affecting production and delivery schedules.
What Are the Growth Opportunities for LMT?
- Expansion in Hypersonic Weapons Development: Lockheed Martin has a significant opportunity to capitalize on the growing demand for hypersonic weapons systems. As global tensions rise, governments are investing heavily in this technology. Lockheed Martin's expertise in missile systems and aerospace engineering positions it to secure lucrative contracts.
- Increased Focus on Space Exploration and Satellite Technology: The resurgence of space exploration, driven by both government and private sector initiatives, presents a major growth opportunity for Lockheed Martin. The company's Space segment can benefit from increased demand for satellites, space transportation systems, and related services.
- Cybersecurity Solutions for Defense and Government Agencies: With increasing cyber threats targeting government and defense infrastructure, Lockheed Martin can leverage its expertise in cybersecurity to provide advanced solutions. The company's capabilities in network-enabled situational awareness and secure data distribution are highly valuable. The cybersecurity market is growing rapidly, offering substantial opportunities for Lockheed Martin to secure long-term contracts and expand its service offerings.
- Development of Advanced Missile Defense Systems: Rising geopolitical tensions and the proliferation of advanced missile technologies are driving demand for sophisticated missile defense systems. Lockheed Martin's Missiles and Fire Control segment is well-positioned to benefit from this trend. The company's expertise in air and missile defense systems, tactical missiles, and precision strike weapon systems provides a competitive advantage. The market for missile defense systems is expected to grow significantly in the coming years.
- Growth in Unmanned Aerial Vehicles (UAVs) and Autonomous Systems: The increasing use of UAVs and autonomous systems in military and commercial applications presents a significant growth opportunity for Lockheed Martin. The company's Aeronautics segment can capitalize on this trend by developing and manufacturing advanced unmanned air vehicles and related technologies. The market for UAVs is projected to grow substantially, driven by demand for surveillance, reconnaissance, and combat capabilities.
What Are LMT's Competitive Advantages?
- High barriers to entry due to technological complexity and regulatory requirements.
- Strong relationships with the U.S. government and defense agencies.
- Extensive intellectual property and proprietary technologies.
- Long-term contracts providing predictable revenue streams.
- Reputation for reliability and performance in critical defense systems.
What Does LMT Do?
Founded in 1912 and headquartered in Bethesda, Maryland, Lockheed Martin Corporation has evolved into a global leader in the security and aerospace industry. The company engages in the research, design, development, manufacture, integration, and sustainment of advanced technology systems, products, and services. Lockheed Martin operates through four primary segments: Aeronautics, which offers combat and air mobility aircraft and unmanned air vehicles; Missiles and Fire Control, providing air and missile defense systems and tactical missiles; Rotary and Mission Systems, which includes military and commercial helicopters and radar systems; and Space, offering satellites and space transportation systems. Lockheed Martin primarily serves the U.S. government, along with foreign military sales contracted through the U.S. government. Its diverse portfolio and long-standing relationships with key government entities solidify its position as a critical player in national security and technological advancement.
What Products and Services Does LMT Offer?
- Researches, designs, develops, and manufactures advanced technology systems.
- Integrates and sustains technology products and services.
- Offers combat and air mobility aircraft through its Aeronautics segment.
- Provides air and missile defense systems via the Missiles and Fire Control segment.
- Manufactures military and commercial helicopters within the Rotary and Mission Systems segment.
- Develops satellites and space transportation systems through its Space segment.
- Offers cyber solutions and command and control mission solutions.
- Provides network-enabled situational awareness and intelligence data distribution.
How Does LMT Make Money?
- Primarily generates revenue through contracts with the U.S. government.
- Secures foreign military sales contracted through the U.S. government.
- Operates through four segments: Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space.
- Focuses on long-term contracts for the development and sustainment of advanced technology systems.
What Industry Does LMT Operate In?
Lockheed Martin operates within the aerospace and defense industry, a sector characterized by high barriers to entry, significant government regulation, and long-term contracts. The industry is driven by geopolitical factors, technological innovation, and defense spending budgets. Lockheed Martin competes with companies like The Boeing Company (BA) and General Dynamics Corporation (GD). The market is experiencing growth in areas such as missile defense systems, space exploration, and cybersecurity, aligning with Lockheed Martin's core capabilities.
Who Are LMT's Key Customers?
- U.S. Government (primary customer)
- Foreign military entities (through U.S. government contracts)
- Commercial entities (in select segments like Rotary and Mission Systems)
- Defense agencies
Lockheed Martin Corporation Financial Trajectory
Lockheed Martin Corporation (LMT) reported $20.06B in revenue for Q2 2026, reflecting 11.3% growth compared to the prior quarter. The company recorded net income of $1.84B, with diluted EPS of $7.94. Quarter-over-quarter revenue has been mixed, typical for a large-cap company operating in Industrials. Across the four most recent quarters, LMT averaged $6.78 in diluted EPS.
Company Profile
Lockheed Martin Corporation operates in the Aerospace & Defense industry within the Industrials sector. It is headquartered in Bethesda, US. The company is led by CEO James D. Taiclet Jr.. LMT has traded publicly since 1977.
How Lockheed Martin Corporation Is Valued
Lockheed Martin Corporation carries a market capitalization of $136B, placing it in the large-cap category. Relative to its peer group, LMT's quantitative score of 75/100 is above the peer average of 58/100.
Key Financial Metrics
Return on equity for Lockheed Martin Corporation stands at 86.2%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 10.1%, showing how much profit it generates from its asset base. LMT trades at a trailing price-to-earnings ratio of 24.32, below the Industrials sector average of ~32x. Its free cash flow yield is 6.2%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.19 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 4.5%, the inverse of the P/E and a quick read on earnings relative to price.
Financial Health
Lockheed Martin Corporation's Piotroski F-Score is 8/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 3.69 places it in the safe zone, indicating low near-term bankruptcy risk.
Earnings Track Record
Lockheed Martin Corporation has beaten Wall Street's EPS estimate in 4 of its last 8 reported quarters — more hits than misses. Reported results have landed about 16.0% below estimates on average.
Forward Outlook
Wall Street analysts project Lockheed Martin Corporation revenue of about $80.81B for fiscal 2026, with EPS near $30.36. The estimate reflects 14 contributing analysts.
Insider Activity
Over the past six months, Lockheed Martin Corporation insiders filed 12 SEC Form 4 transactions — 7 sales and 5 purchases. On net that is roughly 3K shares disposed (about $118K), a signal worth weighing alongside the fundamentals.
LMT Financials
LMT earnings history & estimates →
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Defense spending is likely to remain robust given geopolitical tensions, providing a stable revenue stream for LMT.
- Recent insider buying activity suggests confidence among company leadership in LMT's long-term prospects.
- Community sentiment indicates a belief in LMT's ability to secure future government contracts.
- Market perception views LMT as a safe haven during times of uncertainty, similar to how gold is perceived during economic downturns.
Bear Case
- Shifting political priorities could lead to budget cuts affecting LMT's future contracts, similar to defense industry adjustments post-Cold War.
- Community discussions reveal concerns about LMT's reliance on government contracts making it vulnerable to policy changes.
- Negative market perception arises from potential delays in program execution, impacting revenue recognition.
- Recent insider selling, though possibly for personal reasons, may signal a lack of immediate upside potential.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · April 2026
From the Earnings Call
“We recorded sales of $20.1 billion, a $1.9 billion, 11% increase over the same period last year. This growth was primarily driven by accelerating munition programs in MFC and further supported by all other segments, including strong performance in F-35 production and Aeronautics, the MIC 2 portfolio in RMS and the strategic and missile defense programs in space. ...”
— Evan Scott, CFO
“I'm pleased to report that we are raising our outlook across every key metric. Building on the momentum we generated in Q2, we now expect total sales of $79.75 billion to $ 81.75 billion, representing an 8% year-over-year increase at the midpoint, up from the prior 5% guidance.”
— Evan Scott, CFO
LMT Q2 FY2026 earnings call transcript · 2026-07-23
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $20.06B | $1.84B | $7.94 |
| Q1 2026 | $18.02B | $1.49B | $6.44 |
| Q4 2025 | $20.33B | $1.34B | $5.80 |
| Q3 2025 | $18.61B | $1.62B | $6.95 |
Based on FMP financials and quantitative analysis
LMT Latest News
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Rocket Lab CEO Says $8 Billion Iridium Deal Won’t Take on Elon Musk’s Starlink — Don’t Intend to 'Directly Compete,’ But Plans Something That 'Hasn’t Been Seen Before’
benzinga · Aug 20, 2026
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Should Lockheed’s AI Sensing and Space Partnerships Shift the Core Investment Case for LMT?
Simply Wall St. · Aug 20, 2026
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Stock-Split Watch: Is Lockheed Martin Next?
Motley Fool · Aug 19, 2026
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Market Chatter: Boeing-Lockheed Venture ULA Triples Private Bond Deal to $1.5 Billion
MT Newswires · Aug 19, 2026
LMT Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for LMT.
Price Targets
Consensus target: $624.54
LMT MoonshotScore
What does this score mean?
The MoonshotScore rates LMT 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Latest News
Rocket Lab CEO Says $8 Billion Iridium Deal Won’t Take on Elon Musk’s Starlink — Don’t Intend to 'Directly Compete,’ But Plans Something That 'Hasn’t Been Seen Before’
Should Lockheed’s AI Sensing and Space Partnerships Shift the Core Investment Case for LMT?
Stock-Split Watch: Is Lockheed Martin Next?
Market Chatter: Boeing-Lockheed Venture ULA Triples Private Bond Deal to $1.5 Billion
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Leadership: James D. Taiclet Jr.
Chairman, President and Chief Executive Officer
James D. Taiclet Jr. has served as the Chairman, President, and CEO of Lockheed Martin since June 2020. Prior to joining Lockheed Martin, he was the Chairman, President, and CEO of American Tower Corporation. Taiclet is a graduate of the United States Air Force Academy with degrees in engineering and international relations. He also holds an MBA from Harvard Business School. He served as a pilot in the U.S. Air Force.
Track Record: Since becoming CEO of Lockheed Martin in 2020, James Taiclet has focused on driving innovation and growth through strategic investments in key technologies. He has overseen the company's efforts to expand its presence in areas such as hypersonic weapons, space exploration, and cybersecurity. Under his leadership, Lockheed Martin has continued to secure major government contracts and maintain its position as a leading defense contractor.
Lockheed Martin Corporation Industrials Stock: Key Questions Answered
What does the AI Score mean for LMT?
LMT holds an AI Score of 75/100 (Grade: A). This is an educational research signal, not a buy or sell recommendation. Lockheed Martin Corporation is a global security and aerospace company focused on research, design, development, and manufacturing of advanced technology systems. It operates through four segments …
What does Lockheed Martin Corporation do?
Lockheed Martin Corporation is a global security and aerospace company engaged in the research, design, development, manufacture, integration, and sustainment of advanced technology systems, products, and services. It operates through four segments: Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space. The company primarily serves the U.S. government and foreign military sales contracted through the U.S. government, providing critical defense and aerospace solutions.
What do analysts say about LMT stock?
Analysts generally view Lockheed Martin as a stable investment due to its strong government contracts and consistent revenue streams. Key valuation metrics include its P/E ratio of 24.3 and dividend yield of 2.67%. Growth considerations involve the company's ability to secure new contracts, innovate in key technology areas, and manage potential risks such as government budget cuts and increased competition.
What are the main risks for LMT?
The main risks for Lockheed Martin include its dependence on government contracts, which makes it vulnerable to budget cuts and changes in defense spending priorities. Increased competition from other aerospace and defense companies also poses a threat. Additionally, technological obsolescence requires continuous innovation to maintain a competitive edge. Geopolitical instability and conflicts could disrupt operations, and supply chain disruptions could affect production and delivery schedules.
How does Lockheed Martin Corporation compare to competitors in its industry?
Lockheed Martin distinguishes itself through its extensive portfolio of advanced technology systems and strong relationships with the U.S. government. Compared to competitors like The Boeing Company (BA) and General Dynamics Corporation (GD), Lockheed Martin has a greater focus on advanced missile systems and space technologies.
What are the key financial metrics investors watch for LMT?
Investors closely monitor Lockheed Martin's revenue growth, profit margins, and cash flow generation. Given its reliance on government contracts, backlog and contract wins are critical indicators of future revenue. The company's dividend yield of 2.67% is also a key metric for income-seeking investors.
What are the key factors to evaluate for LMT?
Lockheed Martin Corporation (LMT) holds an AI score of 75/100 (high). P/E: 24.3x vs the S&P 500's ~20-25x. Analysts target $624.54 (+6%). Not financial advice.
How frequently does LMT data refresh on this page?
LMT's price was last updated on Aug 20, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven LMT's recent stock price performance?
Lockheed Martin Corporation (LMT) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Strong relationships with the U.S. government and defense agencies. See the News tab for the latest drivers. Past performance does not predict future results.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on publicly available sources and may be subject to change.
- Financial data is as of 2026-05-10.