Lockheed Martin Corporation (LMT) Financial Ratios
30 years of historical data (1996–2025) · Industrials · Aerospace & Defense
EV/EBITDA
↑
16.07
+17% vs avg
5yr avg: 13.75
30Y Low5.5·High15.6
P/FCF
↑
17.09
-5% vs avg
5yr avg: 18.06
30Y Low8.4·High49.0
P/B Ratio
↑
17.68
+19% vs avg
5yr avg: 14.92
30Y Low1.3·High51.8
ROE
↑
76.9%
↓+3% vs avg
5yr avg: 75.0%
30Y Low-15%·High402%
Debt/EBITDA
↑
2.57
↑+37% vs avg
5yr avg: 1.88
30Y Low0.6·High4.5
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
LMT Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Lockheed Martin Corporation trades at 23.8x earnings, 21% above its 5-year average of 19.8x, sitting at the 93rd percentile of its historical range. Compared to the Industrials sector median P/E of 25.5x, the stock trades at a discount of 7%. On a free-cash-flow basis, the stock trades at 17.1x P/FCF, 5% below the 5-year average of 18.1x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $118.1B | $112.2B | $116.2B | $113.9B | $128.7B | $98.6B | $99.8B | $110.5B | $75.1B | $93.3B | $75.8B |
| Enterprise Value | $135.7B | $129.7B | $134.0B | $129.9B | $141.7B | $106.7B | $108.8B | $121.6B | $88.4B | $104.7B | $88.2B |
| P/E Ratio → | 23.84 | 22.51 | 21.78 | 16.45 | 22.46 | 15.61 | 14.61 | 17.74 | 14.89 | 46.60 | 14.29 |
| P/S Ratio | 1.57 | 1.49 | 1.64 | 1.68 | 1.95 | 1.47 | 1.53 | 1.85 | 1.40 | 1.87 | 1.60 |
| P/B Ratio | 17.68 | 16.69 | 18.35 | 16.66 | 13.89 | 9.00 | 16.53 | 34.85 | 51.83 | — | 47.17 |
| P/FCF | 17.09 | 16.24 | 21.99 | 18.28 | 20.99 | 12.81 | 15.56 | 18.96 | 40.37 | 17.61 | 18.36 |
| P/OCF | 13.80 | 13.11 | 16.67 | 14.38 | 16.50 | 10.69 | 12.20 | 15.12 | 23.93 | 14.41 | 14.60 |
P/E links to full P/E history page with 30-year chart
LMT EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Lockheed Martin Corporation's enterprise value stands at 16.1x EBITDA, 17% above its 5-year average of 13.8x. The Industrials sector median is 13.8x, placing the stock at a 17% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.73 | 1.89 | 1.92 | 2.15 | 1.59 | 1.66 | 2.03 | 1.64 | 2.10 | 1.87 |
| EV / EBITDA | 16.07 | 15.36 | 15.63 | 13.07 | 14.53 | 10.17 | 10.96 | 12.50 | 10.41 | 13.19 | 12.42 |
| EV / EBIT | 17.55 | 18.43 | 18.47 | 14.41 | 19.41 | 13.14 | 12.33 | 15.41 | 13.59 | 17.75 | 16.28 |
| EV / FCF | — | 18.78 | 25.35 | 20.85 | 23.11 | 13.85 | 16.96 | 20.88 | 47.54 | 19.76 | 21.38 |
LMT Profitability
Margins and return-on-capital ratios measuring operating efficiency
Lockheed Martin Corporation earns an operating margin of 10.3%, above the Industrials sector average of 4.9%. Operating margins have compressed from 12.6% to 10.3% over the past 3 years, signaling potential cost pressures or competitive headwinds. Return on equity of 76.9% is exceptionally high — well above the sector median of 8.2%. ROIC of 23.9% represents excellent returns on invested capital versus a sector median of 6.3%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 10.2% | 10.2% | 9.8% | 12.5% | 12.6% | 13.5% | 13.2% | 14.0% | 13.7% | 12.8% | 11.4% |
| Operating Margin | 10.3% | 10.3% | 9.9% | 12.6% | 12.7% | 13.6% | 13.2% | 14.3% | 13.6% | 13.5% | 12.5% |
| Net Profit Margin | 6.7% | 6.7% | 7.5% | 10.2% | 8.7% | 9.4% | 10.4% | 10.4% | 9.4% | 4.0% | 11.2% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 76.9% | 76.9% | 81.0% | 86.0% | 56.7% | 74.3% | 148.4% | 269.7% | 1201.4% | 401.6% | 225.5% |
| ROA | 8.7% | 8.7% | 9.9% | 13.1% | 11.0% | 12.4% | 13.9% | 13.5% | 11.0% | 4.2% | 10.9% |
| ROIC | 23.9% | 23.9% | 22.4% | 28.3% | 30.3% | 40.2% | 44.2% | 44.1% | 43.0% | 40.7% | 28.2% |
| ROCE | 21.3% | 21.3% | 19.6% | 23.5% | 22.6% | 24.8% | 24.6% | 26.7% | 22.8% | 19.5% | 16.7% |
LMT Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Lockheed Martin Corporation carries a Debt/EBITDA ratio of 2.6x, which is moderately leveraged (20% below the sector average of 3.2x). Net debt stands at $17.6B ($21.7B total debt minus $4.1B cash). Interest coverage of 6.3x is adequate, though a cyclical earnings downturn could tighten the margin of safety.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 3.23 | 3.23 | 3.20 | 2.55 | 1.68 | 1.07 | 2.02 | 3.99 | 9.73 | — | 8.89 |
| Debt / EBITDA | 2.57 | 2.57 | 2.36 | 1.76 | 1.59 | 1.11 | 1.22 | 1.30 | 1.66 | 1.80 | 2.01 |
| Net Debt / Equity | — | 2.62 | 2.81 | 2.34 | 1.40 | 0.74 | 1.49 | 3.51 | 9.20 | — | 7.75 |
| Net Debt / EBITDA | 2.08 | 2.08 | 2.07 | 1.61 | 1.33 | 0.77 | 0.91 | 1.14 | 1.57 | 1.44 | 1.75 |
| Debt / FCF | — | 2.54 | 3.36 | 2.57 | 2.12 | 1.05 | 1.40 | 1.91 | 7.17 | 2.15 | 3.02 |
| Interest Coverage | 6.30 | 6.30 | 7.00 | 9.84 | 11.72 | 14.27 | 14.93 | 12.09 | 9.74 | 9.06 | 8.17 |
LMT Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.09x means Lockheed Martin Corporation can comfortably meet its short-term obligations, though there is limited excess liquidity. The current ratio has declined from 1.21x to 1.09x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.09 | 1.09 | 1.13 | 1.21 | 1.32 | 1.42 | 1.39 | 1.22 | 1.12 | 1.38 | 1.20 |
| Quick Ratio | 0.94 | 0.94 | 0.95 | 1.03 | 1.13 | 1.20 | 1.14 | 0.96 | 0.91 | 1.03 | 0.83 |
| Cash Ratio | 0.18 | 0.18 | 0.13 | 0.09 | 0.16 | 0.26 | 0.23 | 0.11 | 0.05 | 0.23 | 0.15 |
| Asset Turnover | — | 1.25 | 1.28 | 1.29 | 1.25 | 1.32 | 1.29 | 1.26 | 1.20 | 1.07 | 0.99 |
| Inventory Turnover | 19.13 | 19.13 | 18.46 | 18.87 | 18.68 | 19.45 | 16.01 | 14.22 | 15.48 | 9.71 | 8.97 |
| Days Sales Outstanding | — | 82.19 | 78.65 | 82.73 | 82.00 | 68.28 | 64.31 | 69.76 | 80.90 | 74.94 | 63.31 |
LMT Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Lockheed Martin Corporation returns 5.2% to shareholders annually — split between a 2.6% dividend yield and 2.5% buyback yield. A payout ratio of 62.4% is moderate and appears sustainable, balancing shareholder returns with reinvestment capacity. The earnings yield of 4.2% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.6% | 2.8% | 2.6% | 2.7% | 2.3% | 3.0% | 2.8% | 2.3% | 3.1% | 2.3% | 2.7% |
| Payout Ratio | 62.4% | 62.4% | 57.3% | 44.2% | 52.6% | 46.6% | 40.5% | 41.0% | 46.5% | 108.0% | 38.6% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.2% | 4.4% | 4.6% | 6.1% | 4.5% | 6.4% | 6.8% | 5.6% | 6.7% | 2.1% | 7.0% |
| FCF Yield | 5.8% | 6.2% | 4.5% | 5.5% | 4.8% | 7.8% | 6.4% | 5.3% | 2.5% | 5.7% | 5.4% |
| Buyback Yield | 2.5% | 2.7% | 3.2% | 5.3% | 6.1% | 4.1% | 1.1% | 1.1% | 2.0% | 2.1% | 2.8% |
| Total Shareholder Yield | 5.2% | 5.5% | 5.8% | 8.0% | 8.5% | 7.1% | 3.9% | 3.4% | 5.1% | 4.5% | 5.5% |
| Shares Outstanding | — | $232M | $239M | $251M | $265M | $277M | $281M | $284M | $287M | $291M | $303M |
Peer Comparison
Compare LMT with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 LMTYou | $118B | 23.8 | 16.1 | 17.1 | 10.2% | 10.3% | 76.9% | 23.9% | 2.6 |
 RTX | $238B | 35.6 | 21.0 | 30.0 | 20.1% | 10.0% | 10.4% | 6.7% | 3.1 |
 NOC | $78B | 19.0 | 16.3 | 23.7 | 19.8% | 10.2% | 26.2% | 10.2% | 3.4 |
 GD | $94B | 22.5 | 16.8 | 23.7 | 15.1% | 10.2% | 17.7% | 12.5% | 1.6 |
 BA | $182B | 93.2 | — | — | 4.8% | -6.1% | 289.7% | -9.5% | — |
 LHX | $56B | 35.3 | 19.2 | 21.0 | 25.7% | 10.0% | 8.2% | 5.4% | 3.1 |
 HII | $12B | 20.4 | 15.8 | 15.6 | 12.7% | 4.9% | 12.4% | 6.2% | 3.4 |
 TDG | $70B | 38.7 | 21.5 | 38.6 | 60.1% | 47.2% | — | 20.9% | 6.6 |
 HEI | $24B | 59.1 | 21.7 | 28.3 | 39.8% | 22.7% | 17.1% | 12.6% | 1.8 |
 LDOS | $17B | 11.8 | 8.8 | 10.2 | 17.7% | 12.3% | 30.9% | 17.1% | 2.5 |
 BAH | $13B | 10.6 | 10.6 | 14.3 | 54.8% | 11.4% | 91.2% | 24.3% | 2.7 |
| Industrials Median | — | 25.5 | 13.8 | 20.7 | 32.7% | 4.9% | 8.2% | 6.3% | 3.2 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
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Full LMT Stock Analysis
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Start ComparisonLMT — Frequently Asked Questions
Quick answers to the most common questions about buying LMT stock.
What is Lockheed Martin Corporation's P/E ratio?
Lockheed Martin Corporation's current P/E ratio is 23.8x. The historical average is 18.5x. This places it at the 93th percentile of its historical range.
What is Lockheed Martin Corporation's EV/EBITDA?
Lockheed Martin Corporation's current EV/EBITDA is 16.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.2x.
What is Lockheed Martin Corporation's ROE?
Lockheed Martin Corporation's return on equity (ROE) is 76.9%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 80.1%.
Is LMT stock overvalued?
Based on historical data, Lockheed Martin Corporation is trading at a P/E of 23.8x. This is at the 93th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Lockheed Martin Corporation's dividend yield?
Lockheed Martin Corporation's current dividend yield is 2.63% with a payout ratio of 62.4%.
What are Lockheed Martin Corporation's profit margins?
Lockheed Martin Corporation has 10.2% gross margin and 10.3% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does Lockheed Martin Corporation have?
Lockheed Martin Corporation's Debt/EBITDA ratio is 2.6x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.