WallStSmart

Lockheed Martin Corporation (LMT)vsNorthrop Grumman Corporation (NOC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lockheed Martin Corporation generates 79% more annual revenue ($75.05B vs $41.95B). NOC leads profitability with a 10.0% profit margin vs 6.7%. LMT appears more attractively valued with a PEG of 1.38. LMT earns a higher WallStSmart Score of 65/100 (C+).

LMT

Buy

65

out of 100

Grade: C+

Growth: 6.7Profit: 6.5Value: 10.0Quality: 4.5
Piotroski: 3/9Altman Z: 2.09

NOC

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 7.5Value: 6.7Quality: 6.0
Piotroski: 3/9Altman Z: 1.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LMTUndervalued (+36.6%)

Margin of Safety

+36.6%

Fair Value

$991.69

Current Price

$642.28

$349.41 discount

UndervaluedFair: $991.69Overvalued
NOCUndervalued (+25.0%)

Margin of Safety

+25.0%

Fair Value

$904.66

Current Price

$724.84

$179.82 discount

UndervaluedFair: $904.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LMT4 strengths · Avg: 9.3/10
Return on EquityProfitability
76.9%10/10

Every $100 of equity generates 77 in profit

EPS GrowthGrowth
161.0%10/10

Earnings expanding 161.0% YoY

Market CapQuality
$147.25B9/10

Large-cap with strong market position

Free Cash FlowQuality
$2.76B8/10

Generating 2.8B in free cash flow

NOC3 strengths · Avg: 8.7/10
Market CapQuality
$105.04B9/10

Large-cap with strong market position

Return on EquityProfitability
26.2%9/10

Every $100 of equity generates 26 in profit

Free Cash FlowQuality
$3.23B8/10

Generating 3.2B in free cash flow

Areas to Watch

LMT4 concerns · Avg: 3.0/10
P/E RatioValuation
30.0x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
21.9x2/10

Trading at 21.9x book value

NOC4 concerns · Avg: 3.5/10
P/E RatioValuation
25.3x4/10

Moderate valuation

Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Debt/EquityHealth
1.183/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : NOC

The strongest argument for NOC centers on Market Cap, Return on Equity, Free Cash Flow.

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.

Bear Case : NOC

The primary concerns for NOC are P/E Ratio, Altman Z-Score, Debt/Equity.

Key Dynamics to Monitor

LMT carries more volatility with a beta of 0.20 — expect wider price swings.

NOC is growing revenue faster at 9.6% — sustainability is the question.

NOC generates stronger free cash flow (3.2B), providing more financial flexibility.

Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

LMT scores higher overall (65/100 vs 56/100). NOC offers better value entry with a 25.0% margin of safety. 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.

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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Northrop Grumman Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Northrop Grumman Corporation (NYSE: NOC) is an American multinational aerospace and defense technology company.

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