ScoreWhy is Lockheed Martin Corp. ?
1
High Management Efficiency with a high ROCE of 40.81%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.39 times
3
Negative results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at USD 5,071 MM
- DEBT-EQUITY RATIO (HY) Highest at 381.42 %
- INTEREST COVERAGE RATIO(Q) Lowest at 413.5
4
With ROCE of 29.17%, it has a fair valuation with a 5.22 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -13.58%, its profits have fallen by -19.1%
5
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -13.58% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Lockheed Martin Corp. should be less than 10%
- Overall Portfolio exposure to Aerospace & Defense should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Aerospace & Defense)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Lockheed Martin Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Lockheed Martin Corp.
-13.36%
-0.17
26.02%
S&P 500
13.22%
0.64
20.20%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.69%
EBIT Growth (5y)
-7.13%
EBIT to Interest (avg)
11.75
Debt to EBITDA (avg)
1.39
Net Debt to Equity (avg)
2.77
Sales to Capital Employed (avg)
2.65
Tax Ratio
14.30%
Dividend Payout Ratio
57.16%
Pledged Shares
0
Institutional Holding
75.91%
ROCE (avg)
40.81%
ROE (avg)
84.06%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
Price to Book Value
16.89
EV to EBIT
17.88
EV to EBITDA
14.67
EV to Capital Employed
5.22
EV to Sales
1.83
PEG Ratio
NA
Dividend Yield
2.91%
ROCE (Latest)
29.17%
ROE (Latest)
83.04%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at USD 4.1
INVENTORY TURNOVER RATIO(HY)
Highest at 19.42 times
-26What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 5,071 MM
DEBT-EQUITY RATIO
(HY)
Highest at 381.42 %
INTEREST COVERAGE RATIO(Q)
Lowest at 413.5
RAW MATERIAL COST(Y)
Grown by 72.93% (YoY
CASH AND EQV(HY)
Lowest at USD 3,096 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.1 times
OPERATING PROFIT(Q)
Lowest at USD 1,133 MM
PRE-TAX PROFIT(Q)
Lowest at USD 417 MM
NET PROFIT(Q)
Lowest at USD 342 MM
EPS(Q)
Lowest at USD 1.46
Here's what is working for Lockheed Martin Corp.
Dividend per share
Highest at USD 4.1 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Inventory Turnover Ratio
Highest at 19.42 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Lockheed Martin Corp.
Pre-Tax Profit
At USD 417 MM has Fallen at -79.51%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (USD MM)
Net Profit
At USD 342 MM has Fallen at -80.05%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (USD MM)
Interest Coverage Ratio
Lowest at 413.5
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at 381.42 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Operating Cash Flow
Lowest at USD 5,071 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Operating Profit
Lowest at USD 1,133 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (USD MM)
Pre-Tax Profit
Lowest at USD 417 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (USD MM)
Net Profit
Lowest at USD 342 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (USD MM)
EPS
Lowest at USD 1.46
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (USD)
Cash and Eqv
Lowest at USD 3,096 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 4.1 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 72.93% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
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