KLA Corporation (KLAC)vsLockheed Martin Corporation (LMT)
KLAC
KLA Corporation
$1,869.19
+6.01%
TECHNOLOGY · Cap: $230.33B
LMT
Lockheed Martin Corporation
$506.51
-1.15%
INDUSTRIALS · Cap: $116.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 473% more annual revenue ($75.11B vs $13.10B). KLAC leads profitability with a 35.7% profit margin vs 6.4%. LMT appears more attractively valued with a PEG of 1.09. KLAC earns a higher WallStSmart Score of 68/100 (B-).
KLAC
Strong Buy68
out of 100
Grade: B-
LMT
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for KLAC.
Margin of Safety
-37.1%
Fair Value
$458.56
Current Price
$506.51
$47.95 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 95 in profit
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 41.2%
Every $100 of equity generates 68 in profit
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 44.8x book value
Trading at 15.6x book value
0.3% revenue growth
6.4% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : KLAC
The strongest argument for KLAC centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 35.7% and operating margin at 41.2%. Revenue growth of 11.5% demonstrates continued momentum.
Bull Case : LMT
The strongest argument for LMT centers on Return on Equity, Market Cap. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bear Case : KLAC
The primary concerns for KLAC are PEG Ratio, Debt/Equity, P/E Ratio. A P/E of 50.0x leaves little room for execution misses.
Bear Case : LMT
The primary concerns for LMT are Price/Book, Revenue Growth, Profit Margin. Debt-to-equity of 3.23 is elevated, increasing financial risk.
Key Dynamics to Monitor
KLAC profiles as a mature stock while LMT is a value play — different risk/reward profiles.
KLAC carries more volatility with a beta of 1.50 — expect wider price swings.
KLAC is growing revenue faster at 11.5% — sustainability is the question.
KLAC generates stronger free cash flow (622M), providing more financial flexibility.
Bottom Line
KLAC scores higher overall (68/100 vs 55/100), backed by strong 35.7% margins and 11.5% revenue growth. Both earn "Strong 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.
KLA Corporation
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
KLA Corporation is a capital equipment company based in Milpitas, California. It supplies process control and yield management systems for the semiconductor industry and other related nanoelectronics industries. The company's products and services are intended for all phases of wafer, reticle, integrated circuit (IC) and packaging production, from research and development to final volume manufacturing.
Visit Website →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.
Visit Website →Compare with Other SEMICONDUCTOR EQUIPMENT & MATERIALS Stocks
Want to dig deeper into these stocks?