Lockheed Martin management check

LMT · Industrials · Aerospace & Defense · CEO Taiclet

Filings as of

73
Management score, ranked 130th of 487Strongest: stable leadership. Weakest: owner returns. See the best and worst run in Industrials →

4 good · 1 to watch · 1 flagged, across the seven questions below.

  • Flag

    Have owners done well?

    Trailed its chosen peers

    $100 invested at the start of fiscal 2021 grew to $156, against $230 for the peer group the company picked itself.

  • Watch

    Does pay follow performance?

    Pay only loosely tracked returns

    Over 5 years, the CEO's pay actually paid (equity valued at the share price) had a correlation of 0.17 with shareholder return. 1 means pay moved in step; below 0, the opposite way.

  • Good

    What does the CEO cost owners?

    0.5% of net income

    $23.5m of reported pay in fiscal 2025, against $5.0bn of net income.

  • n/a

    Do they own the stock?

    No recent CEO filing

    Light activity: no buys, $118k sold in six months.

  • Good

    Are owners being diluted?

    Share count shrinking

    Diluted shares changed -3.6% a year over the last three fiscal years. Stock-based pay was 0.4% of revenue in the latest year.

  • Good

    Is leadership stable?

    5 leadership filings in 3 years

    CEO in the pay table: Taiclet. 5 filings under 8-K item 5.02 (officers or directors leaving or joining, or new pay arrangements) in the last 3 years.

  • Good

    Are the books clean?

    No red flags on file

    No restatements, auditor changes or late filings since 2021.

Against the S&P 500

Each check's score (0–100) and how it compares: the share of ranked S&P 500 companies it matches or beats, and the median in Industrials.

CheckScoreAt or aboveSector median
Owner returns1023%55
Pay for performance5818%86
CEO cost7778%48
Skin in the game——55
Dilution9583%62
Stable leadership100100%75
Clean books100100%100

Closest peers

Others in Aerospace & Defense, by management score. Lockheed Martin is 20th of 81 in its sector.

  1. 21GEGE Aerospace85
  2. 44RTXRTX Corporation82
  3. 98HWMHowmet Aerospace76
  4. 113NOCNorthrop Grumman75
  5. 130LMTLockheed Martin73
  6. 154GDGeneral Dynamics72
  7. 206TXTTextron68
  8. 217TDGTransDigm Group67
  9. 310LHXL3Harris61
  10. 382HIIHuntington Ingalls Industries55

Pay versus performance

From the proxy statement filed March 26, 2026. "Actually paid" values stock awards at the share price, so it rises and falls with the stock.

CEO pay by fiscal yearAs reported Actually paid
$0$22.6m$45.2m20212022202320242025
What $100 becameCompany Peer group
$10020212022202320242025$156
Fiscal yearCEOCEO payActually paidOther executives (avg)$100 becamePeersNet income
2025Taiclet$23.5m$19.1m$7.4m$156$230$5.0bn
2024—$23.8m$25.6m$7.8m$143$136$5.3bn
2023—$22.8m$14.1m$7.7m$130$119$6.9bn
2022—$24.8m$45.2m$7.9m$136$112$5.7bn
2021—$18.1m$18.7m$6.3m$97$95$6.3bn

The board says pay is tied most to Free Cash Flow. Its other key measures: Relative TSR, ROIC, Sales, Segment Operating Profit.

Insiders and the CEO's stake

Light activity: no buys, $118k sold in six months.

  • SoldRobert M Jr LightfootPresident Space$118kAug 12, 2026
  • SoldJohn DonovanDirector$0Aug 13, 2026

Leadership and governance on file

Latest shareholder vote results: May 13, 2026, including the say-on-pay vote.

Where the money went

Over 2021–2025: $39.9bn returned to owners in buybacks and dividends, 136% of net income, and $1.3bn of pay in stock.

Fiscal year20212022202320242025
Revenue$67.0bn$66.0bn$67.6bn$71.0bn$75.0bn
Net income$6.3bn$5.7bn$6.9bn$5.3bn$5.0bn
Stock-based pay$227.0m$238.0m$265.0m$277.0m$304.0m
Buybacks$4.1bn$7.9bn$6.0bn$3.7bn$3.0bn
Dividends$2.9bn$3.0bn$3.1bn$3.1bn$3.1bn
Diluted shares277m265m251m239m234m

Educational only, not investment advice. Figures are as filed with the SEC: pay from the proxy's pay-versus-performance table, capital allocation from 10-K XBRL data, insider trades from Form 4s over the last six months, events from the last 5 years of filings. The peer group is the one the company chose. See the method.