WallStSmart

Lockheed Martin Corporation (LMT)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lockheed Martin Corporation generates 149% more annual revenue ($75.11B vs $30.18B). SO leads profitability with a 14.5% profit margin vs 6.4%. LMT appears more attractively valued with a PEG of 1.09. SO earns a higher WallStSmart Score of 56/100 (C).

LMT

Buy

55

out of 100

Grade: C-

Growth: 3.3Profit: 6.5Value: 4.7Quality: 4.5
Piotroski: 3/9Altman Z: 2.09

SO

Buy

56

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 3.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LMTSignificantly Overvalued (-37.1%)

Margin of Safety

-37.1%

Fair Value

$458.56

Current Price

$506.51

$47.95 premium

UndervaluedFair: $458.56Overvalued
SOSignificantly Overvalued (-26.1%)

Margin of Safety

-26.1%

Fair Value

$73.33

Current Price

$91.80

$18.47 premium

UndervaluedFair: $73.33Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LMT2 strengths · Avg: 9.5/10
Return on EquityProfitability
67.6%10/10

Every $100 of equity generates 68 in profit

Market CapQuality
$116.78B9/10

Large-cap with strong market position

SO3 strengths · Avg: 8.3/10
Market CapQuality
$103.49B9/10

Large-cap with strong market position

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.8%8/10

Strong operational efficiency at 25.8%

Areas to Watch

LMT4 concerns · Avg: 3.5/10
Price/BookValuation
15.6x4/10

Trading at 15.6x book value

Revenue GrowthGrowth
0.3%4/10

0.3% revenue growth

Profit MarginProfitability
6.4%3/10

6.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

SO3 concerns · Avg: 2.0/10
PEG RatioValuation
2.662/10

Expensive relative to growth rate

EPS GrowthGrowth
-0.8%2/10

Earnings declined 0.8%

Free Cash FlowQuality
$-1.72B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : SO

The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin.

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.

Bear Case : SO

The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.

Key Dynamics to Monitor

SO carries more volatility with a beta of 0.36 — expect wider price swings.

SO is growing revenue faster at 8.0% — sustainability is the question.

LMT generates stronger free cash flow (-291M), providing more financial flexibility.

Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SO scores higher overall (56/100 vs 55/100). Both earn "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.

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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Southern Company

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Southern Company is an American gas and electric utility holding company based in the southern United States. It is headquartered in Atlanta, Georgia, with executive offices also located in Birmingham, Alabama.

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