Independent equity research
Is Lockheed Martin (LMT) a Buy, Hold or Sell?
Lockheed Martin — our independent, AI-built valuation and rating, in brief.
BUY (accumulate)
12-mo fair value
$675.00
To fair value
+29%
By · report dated 2026-08-14 · fair value derived independently of the market price.
The thesis, in brief
The market discounts Lockheed's cash flows for 2.4% perpetual revenue growth just as two multiyear procurements - $58.6bn PAC-3 and $35bn THAAD - lift backlog past 3.4x sales; if segment margin holds near 10.7% while sales compound 5-6%, the equity is worth $675
How we value it
We value Lockheed Martin using 10-yr DCF on unlevered FCF, WACC 7.7%, g 2.5% (65%) + 20x FY27E EPS (35%). The 12-month fair value is set from that intrinsic estimate first, then compared to the market to read the upside or downside — never anchored to the current price.
What the full report covers
- Business & moat + industry cycle
- Earnings quality & normalized EPS
- Returns on capital (ROIC vs WACC)
- Balance-sheet safety
- Two independent valuations (DCF + multiples)
- Bear / base / bull fair values
- Earnings-call analysis
- Insider activity & positioning
- Technicals (RSI / ADX)
- A falsifiable thesis
Read the full Lockheed Martin report
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