WallStSmart

Lockheed Martin Corporation (LMT)vsStanley Black & Decker Inc (SWK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lockheed Martin Corporation generates 396% more annual revenue ($75.11B vs $15.13B). LMT leads profitability with a 6.4% profit margin vs 2.7%. LMT appears more attractively valued with a PEG of 1.08. 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

SWK

Buy

52

out of 100

Grade: C-

Growth: 2.0Profit: 5.0Value: 6.7Quality: 5.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LMTSignificantly Overvalued (-37.4%)

Margin of Safety

-37.4%

Fair Value

$457.50

Current Price

$509.81

$52.31 premium

UndervaluedFair: $457.50Overvalued
SWKUndervalued (+34.1%)

Margin of Safety

+34.1%

Fair Value

$137.37

Current Price

$75.89

$61.48 discount

UndervaluedFair: $137.37Overvalued

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

SWK1 strengths · Avg: 10.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Areas to Watch

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

Moderate valuation

Price/BookValuation
15.7x4/10

Trading at 15.7x book value

Revenue GrowthGrowth
0.3%4/10

0.3% revenue growth

Profit MarginProfitability
6.4%3/10

6.4% margin — thin

SWK4 concerns · Avg: 3.0/10
P/E RatioValuation
31.1x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
4.5%3/10

ROE of 4.5% — below average capital efficiency

Profit MarginProfitability
2.7%3/10

2.7% margin — thin

Revenue GrowthGrowth
-1.0%2/10

Revenue declined 1.0%

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 : SWK

The strongest argument for SWK centers on Price/Book. PEG of 1.39 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 : SWK

The primary concerns for SWK are P/E Ratio, Return on Equity, Profit Margin. Thin 2.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

SWK carries more volatility with a beta of 1.20 — expect wider price swings.

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

SWK generates stronger free cash flow (883M), providing more financial flexibility.

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

Bottom Line

LMT scores higher overall (55/100 vs 52/100). SWK offers better value entry with a 34.1% 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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Stanley Black & Decker Inc

INDUSTRIALS · TOOLS & ACCESSORIES · USA

Stanley Black & Decker, Inc., formerly known as The Stanley Works, is a Fortune 500 American manufacturer of industrial tools and household hardware and provider of security products. Headquartered in the greater Hartford city of New Britain, Connecticut, Stanley Black & Decker is the result of the merger of Stanley Works and Black & Decker on March 12, 2010.

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