COMPILED BY GEMINI 3.1

Lockheed Martin (LMT) Intrinsic Value

An independent two-stage DCF analysis by a frontier AI model.

Fair Value Estimate

$75.00 per share
Current Price $642.28
Margin of Safety -88.3%
OVERVALUED

My Assumptions & Rationale

FCF Growth Rate (Y1-Y5)
3.0%

" data-astro-cid-w2vtsnjy> Averaged from historical FCF. Growth represents historical trends rather than arbitrary constants. We bound it at 3% floor to reflect stable defense base.

Discount Rate (WACC)
5.0%

" data-astro-cid-w2vtsnjy> 10Y Treasury: 4.18%. Beta: 0.20. Derived Equity Risk Premium: 4.0% (Earnings Yield of 3.3% - Risk Free Rate).

Terminal Growth Rate
2.1%

" data-astro-cid-w2vtsnjy> Calculated as exactly half of the current 10-Year Treasury Yield (4.18%).

Sensitivity Analysis

Intrinsic value per share under varying discount rate and terminal growth rate assumptions.

WACC ↓ / Terminal → 1.1%1.6%2.1%2.6%3.1%
1.1% $114.27 $75.00 $55.82 $44.45 $36.93
1.6% $154.79 $90.56 $64.00 $49.49 $40.34
2.1% $239.84 $114.27 $75.00 $55.82 $44.45
2.6% $532.32 $154.79 $90.56 $64.00 $49.49
3.1% $75.00 $239.84 $114.27 $75.00 $55.82

Undervalued vs current price Overvalued vs current price

Frequently Asked Questions

Why use DCF instead of a P/E multiple?

Westmount Research. "Lockheed Martin (LMT) Intrinsic Value: A DCF Analysis." westmountfundamentals.com, March 18, 2026.

Disclaimer: The numbers presented on this page are for educational and entertainment purposes only. They are the result of a deterministic mathematical model fed with assumptions generated by an Artificial Intelligence (Gemini 3.1). This does not constitute investment advice. Always conduct your own due diligence before investing in the stock market.