American Airlines Group (AAL)vsLockheed Martin Corporation (LMT)
AAL
American Airlines Group
$12.79
-4.19%
INDUSTRIALS · Cap: $8.46B
LMT
Lockheed Martin Corporation
$512.25
+1.13%
INDUSTRIALS · Cap: $116.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 34% more annual revenue ($75.11B vs $55.99B). LMT leads profitability with a 6.4% profit margin vs 0.4%. AAL appears more attractively valued with a PEG of 0.51. LMT earns a higher WallStSmart Score of 55/100 (C-).
AAL
Hold47
out of 100
Grade: D+
LMT
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.3%
Fair Value
$51.88
Current Price
$12.79
$39.09 discount
Margin of Safety
-37.0%
Fair Value
$459.03
Current Price
$512.25
$53.22 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Generating 3.4B in free cash flow
Every $100 of equity generates 68 in profit
Large-cap with strong market position
Areas to Watch
ROE of 0.0% — below average capital efficiency
0.4% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 15.7x book value
0.3% revenue growth
6.4% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : AAL
The strongest argument for AAL centers on PEG Ratio, Free Cash Flow. Revenue growth of 10.8% demonstrates continued momentum. PEG of 0.51 suggests the stock is reasonably priced for its growth.
Bull Case : LMT
The strongest argument for LMT centers on Return on Equity, Market Cap. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bear Case : AAL
The primary concerns for AAL are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 41.3x leaves little room for execution misses. Thin 0.4% margins leave little buffer for downturns.
Bear Case : LMT
The primary concerns for LMT are Price/Book, Revenue Growth, Profit Margin. Debt-to-equity of 3.23 is elevated, increasing financial risk.
Key Dynamics to Monitor
AAL carries more volatility with a beta of 1.28 — expect wider price swings.
AAL is growing revenue faster at 10.8% — sustainability is the question.
AAL generates stronger free cash flow (3.4B), providing more financial flexibility.
Monitor AIRLINES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LMT scores higher overall (55/100 vs 47/100). AAL offers better value entry with a 72.3% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Airlines Group
INDUSTRIALS · AIRLINES · USA
American Airlines Group Inc. is an American publicly traded airline holding company headquartered in Fort Worth, Texas.
Lockheed Martin Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Lockheed Martin Corporation is an American aerospace, defense, information security, and technology company with worldwide interests. It is headquartered in North Bethesda, Maryland, in the Washington, D.C., area.
Visit Website →Compare with Other AIRLINES Stocks
Want to dig deeper into these stocks?