Lockheed Martin is a security and aerospace company, engaged in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services. It also provides management, engineering, technical, scientific, logistics, and information services. The company was founded in 1909 and is based in Bethesda, Maryland.
LMT Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Lockheed Martin Corp. To summarize, we found that Lockheed Martin Corp ranked in the 34th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 18.83%. As for the metrics that stood out in our discounted cash flow analysis of Lockheed Martin Corp, consider:
The company has produced more trailing twelve month cash flow than 97.8% of its sector Industrials.
The business' balance sheet reveals debt to be 12% of the company's capital (with equity being the remaining amount). Approximately only 22.47% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
LMT's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 46% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Lockheed Martin Corp? See INFO, CAT, CODI, NAT, and EMR.