WallStSmart

Lockheed Martin Corporation (LMT)vsMcGrath RentCorp (MGRC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lockheed Martin Corporation generates 7854% more annual revenue ($75.11B vs $944.24M). MGRC leads profitability with a 16.6% profit margin vs 6.4%. LMT appears more attractively valued with a PEG of 1.08. MGRC earns a higher WallStSmart Score of 69/100 (B-).

LMT

Buy

55

out of 100

Grade: C-

Growth: 3.3Profit: 6.5Value: 4.7Quality: 4.5
Piotroski: 3/9Altman Z: 2.09

MGRC

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LMTSignificantly Overvalued (-37.4%)

Margin of Safety

-37.4%

Fair Value

$457.50

Current Price

$517.97

$60.47 premium

UndervaluedFair: $457.50Overvalued
MGRCSignificantly Overvalued (-26.4%)

Margin of Safety

-26.4%

Fair Value

$91.46

Current Price

$109.38

$17.92 premium

UndervaluedFair: $91.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LMT2 strengths · Avg: 9.5/10
Return on EquityProfitability
67.6%10/10

Every $100 of equity generates 68 in profit

Market CapQuality
$119.43B9/10

Large-cap with strong market position

MGRC3 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.9%8/10

Strong operational efficiency at 28.9%

EPS GrowthGrowth
28.1%8/10

Earnings expanding 28.1% YoY

Areas to Watch

LMT4 concerns · Avg: 3.8/10
P/E RatioValuation
25.1x4/10

Moderate valuation

Price/BookValuation
15.9x4/10

Trading at 15.9x book value

Revenue GrowthGrowth
0.3%4/10

0.3% revenue growth

Profit MarginProfitability
6.4%3/10

6.4% margin — thin

MGRC0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : LMT

The strongest argument for LMT centers on Return on Equity, Market Cap. PEG of 1.08 suggests the stock is reasonably priced for its growth.

Bull Case : MGRC

The strongest argument for MGRC centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 16.6% and operating margin at 28.9%. PEG of 1.18 suggests the stock is reasonably priced for its growth.

Bear Case : LMT

The primary concerns for LMT are P/E Ratio, Price/Book, Revenue Growth. Debt-to-equity of 3.23 is elevated, increasing financial risk.

Bear Case : MGRC

No major red flags identified for MGRC, but monitor valuation.

Key Dynamics to Monitor

LMT profiles as a value stock while MGRC is a mature play — different risk/reward profiles.

MGRC carries more volatility with a beta of 0.48 — expect wider price swings.

MGRC is growing revenue faster at 5.3% — sustainability is the question.

MGRC generates stronger free cash flow (34M), providing more financial flexibility.

Bottom Line

MGRC scores higher overall (69/100 vs 55/100), backed by strong 16.6% margins. 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.

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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McGrath RentCorp

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

McGrath RentCorp is a business-to-business rental company in the United States and internationally. The company is headquartered in Livermore, California.

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