What Is LMT Fair Value?
Lockheed Martin Corporation (LMT) fair value estimate using multiple valuation models, updated daily.
As of September 15, 2026, Lockheed Martin Corporation (LMT) has a composite fair value estimate of $796.09 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $533.46, suggesting the stock is undervalued by 49.2%.
Data as of September 15, 2026 (today)
Composite Fair Value
Undervalued4 of 4 models$796.09
vs. current price of $533.46(+49.2%)
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 →
$1,271.57
+138.4%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 →
$1,039.21
+94.8%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 →
$161.69
-69.7%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.
$304.81
-42.9%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 $533.46 is 138.4% 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 | $5.83B |
| Year 3 | $6.89B | $5.97B |
| Year 4 | $7.40B | $6.11B |
| Year 5 | $7.95B | $6.25B |
| Year 6 | $8.53B | $6.40B |
| Year 7 | $9.16B | $6.55B |
| Year 8 | $9.84B | $6.71B |
| Year 9 | $10.57B | $6.86B |
| Year 10 | $11.35B | $7.03B |
| Terminal Value | $482.32B | $298.61B |
What Are LMT's Key Financial Metrics?
Earnings & Growth
Current Price
$533.46
EPS (TTM)
$27.10
Forward P/E
16.3
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
$637.84
High
$756.00
Upside
+19.6%
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 $796.09. The stock is currently trading at $533.46, 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 $533.46 is 49.2% below our estimated fair value of $796.09.
What do Wall Street analysts say about LMT?
19 analysts cover Lockheed Martin Corporation with a consensus rating of "Buy." The average price target is $637.84, ranging from $503.00 to $756.00. This implies 19.6% upside from the current price.