What Is LMT Fair Value?
Lockheed Martin Corporation (LMT) fair value estimate using multiple valuation models, updated daily.
As of August 1, 2026, Lockheed Martin Corporation (LMT) has a composite fair value estimate of $779.84 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $582.74, suggesting the stock is undervalued by 33.8%.
Data as of August 1, 2026 (today)
Composite Fair Value
Undervalued4 of 4 models$779.84
vs. current price of $582.74(+33.8%)
How Is LMT Fair Value Calculated?
Four independent models estimate what LMT is worth. Each uses different inputs and assumptions. The composite blends them by weight.
LMT Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$1,243.13
+113.3%Undervalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$1,010.33
+73.4%Undervalued
Inputs used
LMT Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$161.52
-72.3%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$304.16
-47.8%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $582.74 is 113.3% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $5.97B | $5.69B |
| Year 2 | $6.42B | $5.82B |
| Year 3 | $6.89B | $5.96B |
| Year 4 | $7.40B | $6.10B |
| Year 5 | $7.95B | $6.24B |
| Year 6 | $8.54B | $6.39B |
| Year 7 | $9.17B | $6.53B |
| Year 8 | $9.85B | $6.69B |
| Year 9 | $10.58B | $6.84B |
| Year 10 | $11.37B | $7.00B |
| Terminal Value | $472.50B | $291.01B |
What Are LMT's Key Financial Metrics?
Earnings & Growth
Current Price
$582.74
EPS (TTM)
$27.10
Forward P/E
17.8
Profit Margin
8.2%
Cash & Balance Sheet
Free Cash Flow
5.6B
EBITDA
9.7B
Book Value
$38.12
Total Debt
20.5B
What Do Analysts Say About LMT?
Low
$503.00
Average
$628.21
High
$756.00
Upside
+7.8%
LMT Fair Value FAQ
What is the fair value of LMT?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), LMT's estimated fair value is $779.84. The stock is currently trading at $582.74, which makes it undervalued by our analysis.
How is LMT's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is LMT overvalued or undervalued?
Based on our analysis, LMT is undervalued. The current price of $582.74 is 33.8% below our estimated fair value of $779.84.
What do Wall Street analysts say about LMT?
19 analysts cover Lockheed Martin Corporation with a consensus rating of "Hold." The average price target is $628.21, ranging from $503.00 to $756.00. This implies 7.8% upside from the current price.