AAR Corp (AIR)vsLockheed Martin Corporation (LMT)
AIR
AAR Corp
$101.33
-7.22%
INDUSTRIALS · Cap: $4.01B
LMT
Lockheed Martin Corporation
$627.43
-1.58%
INDUSTRIALS · Cap: $145.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 2429% more annual revenue ($75.05B vs $2.97B). LMT leads profitability with a 6.7% profit margin vs 3.2%. LMT appears more attractively valued with a PEG of 1.34. LMT earns a higher WallStSmart Score of 65/100 (C+).
AIR
Buy57
out of 100
Grade: C
LMT
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+5.2%
Fair Value
$119.81
Current Price
$101.33
$18.48 discount
Margin of Safety
+37.6%
Fair Value
$1007.14
Current Price
$627.43
$379.71 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 92.0% YoY
Reasonable price relative to book value
15.9% revenue growth
Every $100 of equity generates 77 in profit
Earnings expanding 161.0% YoY
Large-cap with strong market position
Generating 2.8B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
ROE of 6.9% — below average capital efficiency
3.2% margin — thin
Moderate valuation
6.7% margin — thin
Weak financial health signals
Trading at 21.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : AIR
The strongest argument for AIR centers on EPS Growth, Price/Book, Revenue Growth. Revenue growth of 15.9% demonstrates continued momentum.
Bull Case : LMT
The strongest argument for LMT centers on Return on Equity, EPS Growth, Market Cap. PEG of 1.34 suggests the stock is reasonably priced for its growth.
Bear Case : AIR
The primary concerns for AIR are PEG Ratio, P/E Ratio, Return on Equity. Thin 3.2% margins leave little buffer for downturns.
Bear Case : LMT
The primary concerns for LMT are P/E Ratio, Profit Margin, Piotroski F-Score. Debt-to-equity of 3.23 is elevated, increasing financial risk.
Key Dynamics to Monitor
AIR profiles as a growth stock while LMT is a value play — different risk/reward profiles.
AIR carries more volatility with a beta of 1.20 — expect wider price swings.
AIR is growing revenue faster at 15.9% — sustainability is the question.
LMT generates stronger free cash flow (2.8B), providing more financial flexibility.
Bottom Line
LMT scores higher overall (65/100 vs 57/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
AAR Corp
INDUSTRIALS · AEROSPACE & DEFENSE · USA
AAR Corp. The company is headquartered in Wood Dale, Illinois.
Visit Website →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 AEROSPACE & DEFENSE Stocks
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