Kratos Defense & Security Solutions (KTOS)vsLockheed Martin Corporation (LMT)
KTOS
Kratos Defense & Security Solutions
$46.69
-0.62%
INDUSTRIALS · Cap: $9.05B
LMT
Lockheed Martin Corporation
$524.19
-1.12%
INDUSTRIALS · Cap: $120.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 4958% more annual revenue ($77.01B vs $1.52B). LMT leads profitability with a 8.2% profit margin vs 2.0%. LMT appears more attractively valued with a PEG of 1.01. LMT earns a higher WallStSmart Score of 69/100 (B-).
KTOS
Hold44
out of 100
Grade: D
LMT
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for KTOS.
Margin of Safety
-48.6%
Fair Value
$352.84
Current Price
$524.19
$171.35 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 30.5% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Every $100 of equity generates 72 in profit
Earnings expanding 443.8% YoY
Large-cap with strong market position
Generating 2.9B in free cash flow
Areas to Watch
ROE of 0.9% — below average capital efficiency
2.0% margin — thin
Weak financial health signals
Expensive relative to growth rate
Trading at 13.8x book value
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : KTOS
The strongest argument for KTOS centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 30.5% demonstrates continued momentum.
Bull Case : LMT
The strongest argument for LMT centers on Return on Equity, EPS Growth, Market Cap. Revenue growth of 10.5% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.
Bear Case : KTOS
The primary concerns for KTOS are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 283.5x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.
Bear Case : LMT
The primary concerns for LMT are Price/Book, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.34 is elevated, increasing financial risk.
Key Dynamics to Monitor
KTOS profiles as a hypergrowth stock while LMT is a value play — different risk/reward profiles.
KTOS carries more volatility with a beta of 1.11 — expect wider price swings.
KTOS is growing revenue faster at 30.5% — sustainability is the question.
LMT generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
LMT scores higher overall (69/100 vs 44/100) and 10.5% revenue growth. Both earn "Strong 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.
Kratos Defense & Security Solutions
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Kratos Defense & Security Solutions, Inc. is a government contractor for the US Department of Defense. The company is headquartered in San Diego, California.
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
Want to dig deeper into these stocks?