Lockheed MartinLIM:LMT 73 ROA % is 10.00% as of Mar. 2026, which is 9% below its 10-year median of 11.04. GuruFocus rates LIM:LMT with a GF Score™ of 73/100 and a GF Value™ of $587.42 (Fairly Valued). The stock has 3 warning signs investors should review. Among 356 Aerospace & Defense companies, Lockheed Martin ranks better than 82.02% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lockheed Martin's annualizedNet Income for the quarter that ended in Mar. 2026 was $5,952 Mil.
Lockheed Martin's average Total Assets over the quarter that ended in Mar. 2026 was $59,539 Mil. Therefore, Lockheed Martin's annualized ROA % for the quarter that ended in Mar. 2026 was 10.00%.
The historical rank and industry rank for Lockheed Martin's ROA % or its related term are showing as below:
LIM:LMT'
s ROA % Range Over the Past 10 Years
Min: 4.16 Med: 11.04 Max: 13.91
Current: 8.13
During the past 13 years, Lockheed Martin's highest ROA % was 13.91%. The lowest was 4.16%. And the median was 11.04%.
LIM:LMT's ROA % is ranked better than 82.02% of 356
companies
in the Aerospace & Defense industry
Industry Median: 2.5
vs LIM:LMT: 8.13
Lockheed Martin (LIM:LMT) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Lockheed Martin ROA % Related Terms
Lockheed Martin ROA % Historical Data
* Premium members only.
The historical data trend for Lockheed Martin's ROA % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Aerospace & Defense subindustry, Lockheed Martin's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lockheed Martin ROA % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Lockheed Martin's ROA % distribution charts can be found below:
* The bar in red indicates where Lockheed Martin's ROA % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Lockheed Martin (LIM:LMT) has a ROA % of 10.00% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Lockheed Martin and its competitors. This is near median its historical median of 11.04. Over the past decade, Lockheed Martin's ROA % has ranged from 4.16 to 13.91. According to the industry distribution chart, Lockheed Martin ranks #64 out of 356 companies in the Aerospace & Defense industry, placing it in the top 18%.
Is Lockheed Martin's ROA % too high?
Lockheed Martin's current ROA % of 10.00% is near median its 10-year median of 11.04. Over the past 10 years, this metric has ranged from a low of 4.16 to a high of 13.91. The Aerospace & Defense industry median ROA % is 2.50. Lockheed Martin's value of 10.00% is 300% above this industry median. Based on the distribution chart, Lockheed Martin ranks #64 out of 356 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Lockheed Martin has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Lockheed Martin's ROA % compare to HWM and GD?
According to the Aerospace & Defense industry distribution chart, Lockheed Martin ranks #64 out of 356 companies for ROA %. This places Lockheed Martin in the top 18% of its industry — outperforming the majority of peers. The industry median ROA % is 2.50. Lockheed Martin's value of 10.00% is 300% above this benchmark. Historically, Lockheed Martin's own ROA % has ranged from 4.16 to 13.91 over the past decade. While the company's 10-year median is 11.04 vs. the industry median of 2.50, Lockheed Martin has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for an Aerospace & Defense company?
The median ROA % among Aerospace & Defense companies is 2.50, based on 356 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lockheed Martin's current ROA % of 10.00% is 300% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Lockheed Martin and its competitors. For the Aerospace & Defense industry, the median ROA % is 2.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lockheed Martin's current ROA % is 10.00%, which is near median its own 10-year median of 11.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lockheed Martin stock overvalued right now?
Based on GuruFocus' analysis, Lockheed Martin (LIM:LMT) is currently considered Fairly Valued. The stock's GF Value™ is $587.42, compared to a current price of $541.22 — trading 7.9% below its estimated fair value. The current ROA % is 10.00%, which is near median its 10-year median of 11.04 and 300% above the Aerospace & Defense industry median of 2.50. Lockheed Martin's overall GF Score™ is 73/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Lockheed Martin (LIM:LMT), the current ROA % is 10.00% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lockheed Martin (LIM:LMT) Overvalued in 2026?
Based on GuruFocus' analysis, Lockheed Martin stock appears to be undervalued.
The current stock price of $541.22 is trading 7.9% below its estimated GF Value™ of $587.42.
GuruFocus considers Lockheed Martin to be Fairly Valued.
Key valuation signals for LIM:LMT:
ROA %: 10.00% (near median its 10-year median of 11.04)
GF Value™: $587.42 vs. price of $541.22 (7.9% below fair value)
Industry Position: 300% above the Aerospace & Defense median (#64 of 356)
No single metric tells the full story. See the LIM:LMT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lockheed Martin is the world's largest defense contractor and has dominated the Western market for high-end fighter aircraft since it won the F-35 Joint Strike Fighter program in 2001. Aeronautics is Lockheed's largest segment, which derives upward of two-thirds of its revenue from the F-35. Lockheed's remaining segments are rotary and mission systems, mainly encompassing the Sikorsky helicopter business; missiles and fire control, which creates missiles and missile defense systems; and space systems, which produces satellites and receives equity income from the United Launch Alliance joint venture.
73GF Score
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