Lockheed MartinXSWX:LMT +0.97%77 ROC (Joel Greenblatt) % is 80.65% as of Mar. 2026, which is 22% below its 10-year median of 103.60. GuruFocus rates XSWX:LMT with a GF Score™ of 77/100 and a GF Value™ of CHF437.26. The stock has 3 warning signs investors should review. Among 354 Aerospace & Defense companies, Lockheed Martin ranks better than 90.4% on this metric.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. Lockheed Martin's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 80.65%.
The historical rank and industry rank for Lockheed Martin's ROC (Joel Greenblatt) % or its related term are showing as below:
XSWX:LMT'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 73.27 Med: 103.6 Max: 127.88
Current: 73.27
During the past 13 years, Lockheed Martin's highest ROC (Joel Greenblatt) % was 127.88%. The lowest was 73.27%. And the median was 103.60%.
XSWX:LMT's ROC (Joel Greenblatt) % is ranked better than 90.4% of 354
companies
in the Aerospace & Defense industry
Industry Median: 10.77
vs XSWX:LMT: 73.27
Lockheed Martin's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -8.10% per year.
Lockheed Martin (XSWX:LMT) ROC (Joel Greenblatt) % Explanation
The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.
Lockheed Martin ROC (Joel Greenblatt) % Related Terms
Lockheed Martin ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Lockheed Martin's ROC (Joel Greenblatt) % 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.
XSWX:LMT vs HWM, GD, TDG: ROC (Joel Greenblatt) % Comparison
For the Aerospace & Defense subindustry, Lockheed Martin's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % 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 ROC (Joel Greenblatt) % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Lockheed Martin's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Lockheed Martin's ROC (Joel Greenblatt) % falls into.
Lockheed Martin ROC (Joel Greenblatt) % Calculation
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:
EBIT stands for Earnings Before Interest and Taxes.
Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.
GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.
Note:
The EBIT data used here is four times the quarterly (Mar. 2026) EBIT 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.
What does a ROC (Joel Greenblatt) % of 80.65% mean?
Lockheed Martin (XSWX:LMT) has a ROC (Joel Greenblatt) % of 80.65% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Lockheed Martin and its competitors. This is 22% below median its historical median of 103.60. Over the past decade, Lockheed Martin's ROC (Joel Greenblatt) % has ranged from 73.27 to 127.88. According to the industry distribution chart, Lockheed Martin ranks #34 out of 354 companies in the Aerospace & Defense industry, placing it in the top 9.6%.
Is Lockheed Martin's ROC (Joel Greenblatt) % too high?
Lockheed Martin's current ROC (Joel Greenblatt) % of 80.65% is 22% below median its 10-year median of 103.60. Over the past 10 years, this metric has ranged from a low of 73.27 to a high of 127.88. The Aerospace & Defense industry median ROC (Joel Greenblatt) % is 10.77. Lockheed Martin's value of 80.65% is 648.8% above this industry median. Based on the distribution chart, Lockheed Martin ranks #34 out of 354 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 77/100, reflecting its overall financial health beyond just this single metric.
How does Lockheed Martin's ROC (Joel Greenblatt) % compare to HWM and GD?
According to the Aerospace & Defense industry distribution chart, Lockheed Martin ranks #34 out of 354 companies for ROC (Joel Greenblatt) %. This places Lockheed Martin in the top 10% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 10.77. Lockheed Martin's value of 80.65% is 648.8% above this benchmark. Historically, Lockheed Martin's own ROC (Joel Greenblatt) % has ranged from 73.27 to 127.88 over the past decade. While the company's 10-year median is 103.60 vs. the industry median of 10.77, 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 ROC (Joel Greenblatt) % for an Aerospace & Defense company?
The median ROC (Joel Greenblatt) % among Aerospace & Defense companies is 10.77, based on 354 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lockheed Martin's current ROC (Joel Greenblatt) % of 80.65% is 648.8% 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 ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Lockheed Martin and its competitors. For the Aerospace & Defense industry, the median ROC (Joel Greenblatt) % is 10.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lockheed Martin's current ROC (Joel Greenblatt) % is 80.65%, which is 22% below median its own 10-year median of 103.60. 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?
Lockheed Martin (XSWX:LMT) has a current ROC (Joel Greenblatt) % of 80.65%. The stock's GF Value™ is CHF437.26, compared to a current price of CHF435.70 — trading 0.4% below its estimated fair value. The current ROC (Joel Greenblatt) % is 80.65%, which is 22% below median its 10-year median of 103.60 and 648.8% above the Aerospace & Defense industry median of 10.77. Lockheed Martin's overall GF Score™ is 77/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For Lockheed Martin (XSWX:LMT), the current ROC (Joel Greenblatt) % is 80.65% 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 (XSWX:LMT) Overvalued in 2026?
Based on GuruFocus' analysis, Lockheed Martin stock appears to be undervalued.
The current stock price of CHF435.70 is trading 0.4% below its estimated GF Value™ of CHF437.26.
Key valuation signals for XSWX:LMT:
ROC (Joel Greenblatt) %: 80.65% (22% below median its 10-year median of 103.60)
GF Value™: CHF437.26 vs. price of CHF435.70 (0.4% below fair value)
Industry Position: 648.8% above the Aerospace & Defense median (#34 of 354)
No single metric tells the full story. See the XSWX: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.
77GF Score
Get the complete analysis for XSWX:LMT
ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
XSWX:LMT has been successfully added to your 
