WallStSmart

Lockheed Martin Corporation (LMT)vsFreightcar America Inc (RAIL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lockheed Martin Corporation generates 14891% more annual revenue ($75.11B vs $500.99M). RAIL leads profitability with a 7.6% profit margin vs 6.4%. RAIL appears more attractively valued with a PEG of 0.64. LMT earns a higher WallStSmart Score of 55/100 (C-).

LMT

Buy

55

out of 100

Grade: C-

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

RAIL

Buy

53

out of 100

Grade: C-

Growth: 6.7Profit: 5.0Value: 9.3Quality: 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
RAILUndervalued (+80.0%)

Margin of Safety

+80.0%

Fair Value

$64.35

Current Price

$8.24

$56.11 discount

UndervaluedFair: $64.35Overvalued

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

RAIL3 strengths · Avg: 9.3/10
P/E RatioValuation
8.0x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
207.9%10/10

Earnings expanding 207.9% YoY

PEG RatioValuation
0.648/10

Growing faster than its price suggests

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

RAIL4 concerns · Avg: 2.5/10
Market CapQuality
$163.89M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

Return on EquityProfitability
-8.8%2/10

ROE of -8.8% — below average capital efficiency

Revenue GrowthGrowth
-8.8%2/10

Revenue declined 8.8%

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 : RAIL

The strongest argument for RAIL centers on P/E Ratio, EPS Growth, PEG Ratio. PEG of 0.64 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 : RAIL

The primary concerns for RAIL are Market Cap, Profit Margin, Return on Equity.

Key Dynamics to Monitor

RAIL carries more volatility with a beta of 1.71 — expect wider price swings.

LMT is growing revenue faster at 0.3% — sustainability is the question.

RAIL generates stronger free cash flow (9M), providing more financial flexibility.

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

Bottom Line

LMT scores higher overall (55/100 vs 53/100). RAIL offers better value entry with a 80.0% 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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Freightcar America Inc

INDUSTRIALS · RAILROADS · USA

FreightCar America, Inc. designs, manufactures, and sells railroad cars and railroad components for the transportation of bulk goods and containerized cargo products primarily in North America. The company is headquartered in Chicago, Illinois.

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