Howmet Aerospace Inc (HWM)vsLockheed Martin Corporation (LMT)
HWM
Howmet Aerospace Inc
$232.94
-3.72%
INDUSTRIALS · Cap: $97.38B
LMT
Lockheed Martin Corporation
$642.28
+0.94%
INDUSTRIALS · Cap: $147.25B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 809% more annual revenue ($75.05B vs $8.25B). HWM leads profitability with a 18.3% profit margin vs 6.7%. HWM appears more attractively valued with a PEG of 0.80. HWM earns a higher WallStSmart Score of 69/100 (B-).
HWM
Strong Buy69
out of 100
Grade: B-
LMT
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.8%
Fair Value
$145.34
Current Price
$232.94
$87.60 premium
Margin of Safety
+36.6%
Fair Value
$991.69
Current Price
$642.28
$349.41 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 30 in profit
Large-cap with strong market position
Growing faster than its price suggests
Strong operational efficiency at 26.3%
Earnings expanding 20.3% YoY
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
Trading at 17.5x book value
Premium valuation, high expectations priced in
Premium valuation, high expectations priced in
6.7% margin — thin
Weak financial health signals
Trading at 21.9x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : HWM
The strongest argument for HWM centers on Return on Equity, Market Cap, PEG Ratio. Profitability is solid with margins at 18.3% and operating margin at 26.3%. Revenue growth of 14.6% demonstrates continued momentum.
Bull Case : LMT
The strongest argument for LMT centers on Return on Equity, EPS Growth, Market Cap. PEG of 1.38 suggests the stock is reasonably priced for its growth.
Bear Case : HWM
The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 65.4x leaves little room for execution misses.
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
HWM profiles as a mature stock while LMT is a value play — different risk/reward profiles.
HWM carries more volatility with a beta of 1.19 — expect wider price swings.
HWM is growing revenue faster at 14.6% — sustainability is the question.
LMT generates stronger free cash flow (2.8B), providing more financial flexibility.
Bottom Line
HWM scores higher overall (69/100 vs 65/100), backed by strong 18.3% margins and 14.6% revenue growth. LMT offers better value entry with a 36.6% margin of safety. Both earn "Strong 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.
Howmet Aerospace Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.
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.
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