WallStSmart

Lockheed Martin Corporation (LMT)vsMercury Systems Inc (MRCY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lockheed Martin Corporation generates 7730% more annual revenue ($77.01B vs $983.62M). LMT leads profitability with a 8.2% profit margin vs -3.0%. LMT appears more attractively valued with a PEG of 1.01. LMT earns a higher WallStSmart Score of 69/100 (B-).

LMT

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 7.5Value: 4.7Quality: 4.5
Piotroski: 3/9Altman Z: 2.09

MRCY

Avoid

32

out of 100

Grade: F

Growth: 4.0Profit: 3.0Value: 3.0Quality: 7.0
Piotroski: 4/9Altman Z: 1.97
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LMTSignificantly Overvalued (-48.6%)

Margin of Safety

-48.6%

Fair Value

$352.84

Current Price

$529.48

$176.64 premium

UndervaluedFair: $352.84Overvalued
MRCYSignificantly Overvalued (-37.9%)

Margin of Safety

-37.9%

Fair Value

$58.26

Current Price

$80.61

$22.35 premium

UndervaluedFair: $58.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LMT4 strengths · Avg: 9.3/10
Return on EquityProfitability
71.7%10/10

Every $100 of equity generates 72 in profit

EPS GrowthGrowth
443.8%10/10

Earnings expanding 443.8% YoY

Market CapQuality
$120.98B9/10

Large-cap with strong market position

Free Cash FlowQuality
$2.92B8/10

Generating 2.9B in free cash flow

MRCY0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

LMT3 concerns · Avg: 2.7/10
Price/BookValuation
13.9x4/10

Trading at 13.9x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Debt/EquityHealth
2.341/10

Elevated debt levels

MRCY4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.974/10

Grey zone — moderate risk

Operating MarginProfitability
1.2%3/10

Operating margin of 1.2%

PEG RatioValuation
2.792/10

Expensive relative to growth rate

Return on EquityProfitability
-1.0%2/10

ROE of -1.0% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : LMT

The strongest argument for LMT centers on Return on Equity, EPS Growth, Market Cap. Revenue growth of 10.5% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bull Case : MRCY

MRCY has a balanced fundamental profile.

Bear Case : LMT

The primary concerns for LMT are Price/Book, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.34 is elevated, increasing financial risk.

Bear Case : MRCY

The primary concerns for MRCY are Altman Z-Score, Operating Margin, PEG Ratio.

Key Dynamics to Monitor

LMT profiles as a value stock while MRCY is a turnaround play — different risk/reward profiles.

MRCY carries more volatility with a beta of 0.98 — expect wider price swings.

LMT is growing revenue faster at 10.5% — sustainability is the question.

LMT generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

LMT scores higher overall (69/100 vs 32/100) and 10.5% revenue growth. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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.

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Mercury Systems Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Mercury Systems, Inc., a technology company, manufactures and sells components, modules, and subsystems in the United States, Europe, and Asia Pacific. The company is headquartered in Andover, Massachusetts.

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