The Boeing Company (BA) vs Lockheed Martin Corporation (LMT)

The Boeing Company and Lockheed Martin Corporation are both Aerospace & Defense companies. The Boeing Company and Lockheed Martin Corporation are of similar size ($136.7B and $133.1B). The Boeing Company trades at the lower P/E: 17.9× against 20.0×. The Boeing Company grew revenue faster over the last twelve months: 17.5% against 7.86%. Lockheed Martin Corporation has the higher net margin (8.23% vs 7.70%) and the higher return on invested capital (23.7% vs 19.2%). Across the 22 metrics below, Lockheed Martin Corporation leads on 14 and The Boeing Company on 8.

Valuation

Metric BA LMT Aerospace & Defense median
P/E 17.91 20.01 29.42
P/S 1.45 1.65 3.05
P/B 20.93 12.96 2.91
Price to free cash flow 1,306.75 15.56 29.52
EV/EBITDA 13.51 13.19 17.23
EV/Sales 1.71 1.83 3.25
Earnings yield 5.58% 5.00% 0.95%
Free cash flow yield 0.08% 6.43% 0.00%

Profitability

Metric BA LMT Aerospace & Defense median
Gross margin 9.42% 11.73% 26.41%
Operating margin 10.26% 11.78% 3.69%
Net margin 7.70% 8.23% 2.74%
Free cash flow margin 0.12% 10.59% 0.73%
Return on equity (858.49%) 80.19% 5.39%
Return on assets 4.56% 10.44% 2.18%
Return on invested capital 19.15% 23.67% 0.64%

Growth

Metric BA LMT Aerospace & Defense median
Revenue growth (TTM) 17.53% 7.86% 18.03%
EPS growth (last fiscal year) 113.51% (3.68%) 24.80%
Revenue growth, 5-year CAGR 9.00% 2.79% 9.73%
Net income growth, 5-year CAGR 0.00% (5.99%) 0.00%

Health

Metric BA LMT Aerospace & Defense median
Debt to equity 7.00 2.04 0.18
Current ratio 1.13 1.26 2.85
Net debt to EBITDA 3.96 1.87 1.29

Dividend

Metric BA LMT Aerospace & Defense median
Dividend yield — 2.44% 0.89%
Payout ratio — 0.49 0.30

Size

Metric BA LMT Aerospace & Defense median
Market cap 136.70b 133.10b 1.52b

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