| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 64 | 19.3x | 17.8x | Around median | |
Growth | 62 | 7.2% | 7.1% | Around median | |
Quality | 78 | 27.7% | 4.5% | Top tier | |
Safety | 66 | 1.7x | 2.6x | Top tier | |
Capital Return | 61 | 2.60% | 2.12% | Around median | |
Momentum | 45 | 31.4% | 2.9% | Around median | |
Sentiment | 78 | 16 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Lockheed Martin Corporation operates in four defense and aerospace segments: Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space. The company generates revenue from the production and support of platforms and programs such as F-35, F-16, C-130, PAC-3, THAAD, and Aegis, alongside radar, missile defense, classified space, and security programs, and its forward outlook is underpinned by government and multiyear contracts with the United States and its allies. The backlog reached a record $230 billion in fiscal 2026 Q2, an increase of approximately $64 billion year over year, with quarterly bookings of $65 billion and a book-to-bill ratio of 3.2 times.
In fiscal 2026 Q2, revenue reached $20.1 billion, an increase of $1.9 billion, or 11%, year over year, while net income was $1.8 billion and earnings per share were $7.94. Gross profit was $2.4 billion, equivalent to a gross margin of approximately 11.9%, while segment operating profit reached $2.2 billion and segment operating margin was 10.8%. Free cash flow rose to $2.9 billion from negative $150 million in the comparable period, supported by the timing of customer collections and lower tax payments.
Growth in fiscal 2026 Q2 was broad-based across the portfolio, led by Missiles and Fire Control, where sales increased 19% and profit rose 24%, while Space sales increased 6% and profit rose 2%. Higher F-35 production supported the Aeronautics segment, while munitions, radar, and strategic missile defense programs contributed to the rest of the growth. On a trailing twelve-month basis in 2026 data, revenue reached $77.0 billion, gross profit was $9.1 billion, net income was $6.3 billion, and earnings per share were approximately $27.20.
The analyst consensus is “Buy,” with an average price target of $631.57, within a wide range of $575 to $700. The average is approximately 8.7% below the 52-week range high of $692, while the highest target slightly exceeds that high, and the breadth of the targets reflects differing estimates regarding the conversion of the backlog into profitable growth and margin and execution risks. No usable price-to-earnings ratio is available in the data, so the valuation is based on the target range and the 52-week range of $437.25–692 rather than an earnings multiple.
Figures in the text are as of 2026-09-02; the live price is shown at the top of the page.
Lockheed Martin’s revenue in fiscal 2026 Q2 reached approximately $20.1 billion, an increase of 11% year over year, or 7% after excluding the impact of adjustments in the comparable period. Munitions programs in the Missiles and Fire Control segment led growth, with contributions from F-35 production, radar, and strategic missile defense programs. Net income was $1.8 billion and earnings per share were $7.94, while free cash flow reached $2.9 billion.
The backlog reached a record $230 billion in fiscal 2026 Q2, an increase of approximately $64 billion from the comparable period. The company recorded $65 billion in orders during the quarter, raising the book-to-bill ratio to 3.2 times. Multiyear contracts in missiles, radar, and Space support revenue visibility, but they also impose significant requirements to increase production capacity and meet delivery schedules.
The company expects fiscal 2026 revenue of between $79.75 and $81.75 billion, equivalent to 8% growth at the midpoint compared with previous guidance of 5%. It raised its segment operating profit target to a range of $8.5–8.7 billion and earnings per share to $29.95–30.65. It also expects free cash flow of between $7.0 and $7.2 billion and capital expenditures of between $2.0 and $2.4 billion.
Automated analysis for informational purposes only — not investment advice.
PAC-3 supports the expansion of the Missiles and Fire Control segment, and the U.S. Army order for PAC-3 MSE missiles announced on August 11, 2026, reached approximately $53.9 billion. The company is also working on the lower-cost PAC-3 ACE to counter short-range ballistic missiles, cruise missiles, and drones. In Aeronautics, higher F-35 production and sustainment volumes increased the segment’s expectations, and the company also secured a $1.6 billion F-35 spare parts contract.
Segment operating margin was 10.8% in fiscal 2026 Q2, but the distribution of profitability among the segments remains uneven. Management expects slight pressure on the Aeronautics margin due to the F-35 ramp-up and F-16 and C-130 challenges, and it also expects dilution of between 20 and 30 basis points in Missiles and Fire Control margins during the initial expansion stages. In Space, profit guidance was lowered to $1.34–1.38 billion because of lower ULA earnings related to the investigation into the Vulcan launch anomaly.
The company developed the Sanctum counter-drone system using a Grizzly launcher, and the solution moved from concept to live-fire testing in less than 45 days. It also unveiled Morpheus, a drone equipped with high-power microwaves and designed to disable the electronics of hostile aircraft, in addition to the lower-cost PAC-3 ACE. The company also secured a contract to develop a 500-kilowatt mobile laser system, but management explained that opportunities from these solutions would be incremental to its expectations based on traditional programs.
