Lockheed Martin Corporation, a security and aerospace company, engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services worldwide. It operates through four segments: Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space. The Aeronautics segment offers combat and air mobility aircraft, unmanned air vehicles, and related technologies. The Missiles and Fire Control segment provides air and missile defense systems; tactical missiles and air-to-ground precision strike weapon systems; logistics; fire control systems; mission operations support, readiness, engineering support, and integration services; manned and unmanned ground vehicles; and energy management solutions. The Rotary and Mission Systems segment offers military and commercial helicopters, surface ships, sea and land-based missile defense systems, radar systems, sea and air-based mission and combat systems, command and control mission solutions, cyber solutions, and simulation and training solutions. The Space segment offers satellites; space transportation systems; strategic, advanced strike, and defensive missile systems; and classified systems and services in support of national security systems. This segment also provides network-enabled situational awareness and integrates space and ground-based systems to help its customers gather, analyze, and securely distribute critical intelligence data. It serves primarily serves the U.S. government, as well as foreign military sales contracted through the U.S. government. Lockheed Martin Corporation was founded in 1912 and is headquartered in Bethesda, Maryland.

BUILD UP FREE CASH	2022-12-31 (A)	2023-12-31 (A)	2024-12-31 (A)	2025-12-31 (E)	2026-12-31 (E)	2027-12-31 (E)	2028-12-31 (E)	2029-12-31 (E)
Revenue	65,984	67,571	71,043	74,559.5	77,762.6	80,742.5	80,742.5	80,742.5
Revenue % Chg.	-1.6%	2.4%	5.1%
EBIT	7,469	9,058	7,181	7,667.4	9,320	9,657.9	9,657.9	9,657.9
EBIT Margin	11.3%	13.4%	10.1%
Tax Rate	14.2%	14.5%	14.2%
NOPAT	6,409	7,740.4	6,160.4	6,377.9	7,772.9	8,041.4	8,041.4	8,041.4
NOPAT Margin	9.7%	11.5%	8.7%	8.6%	10%	10%	10%	10%
D&A	1,151	1,167	1,213	1,637.7	1,644.1	1,724.1	1,724.1	1,724.1
D&A / Revenue	1.7%	1.7%	1.7%
Capex	-1,670	-1,691	-1,685	-1,882.9	-1,923.1	-1,953.6	-1,953.6	-1,953.6
Capex / Revenue	-2.5%	-2.5%	-2.4%
Chg. NWC	-585	184	-163	-209.7	-218.7	-227.1	-227.1	-227.1
Chg. NWC / Revenue	-0.9%	0.3%	-0.2%
Unlevered FCF (UFCF)	5,305	7,400.4	5,525.4	5,923	7,275.2	7,584.9	7,584.9	7,584.9
UFCF % Chg.	-15.3%	39.5%	-25.3%	7.2%	22.8%	4.3%	—	—
PV of UFCF	—	—	—	5,480	6,227.6	6,007	5,557.7	5,142.1
Sum of PV of UFCF	—	—	—	5,480	11,707.6	17,714.7	23,272.4	28,414.5

Cost of Debt
Tax Rate
After Tax Cost of Debt	4.6%
Risk Free Rate
Market Risk Premium
Beta	1
Cost of Equity	8.8%
Total Debt	21,418
Market Cap	108,280.3
Total Capital	129,698.3
Debt Weighting	16.5%
Equity Weighting	83.5%
WACC	8.1%

Exit Multiple EV/FCF
Terminal Value	126,999.3
PV of Terminal Value	79,657.7
Cumulative PV of UFCF	28,414.5
Net Debt	18,719
Equity Value	89,353.2
Shares Outstanding	231.4
Implied Share Price	386.1
Current Share Price	474.9
Implied Upside / (Downside)	-18.7%