Lockheed Martin Corporation (LMT)
Financial leverage ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 55,617,000 | 55,520,000 | 55,076,000 | 54,963,000 | 52,456,000 | 56,666,000 | 56,978,000 | 54,622,000 | 52,880,000 | 52,030,000 | 51,758,000 | 51,510,000 | 50,873,000 | 51,843,000 | 52,099,000 | 51,437,000 | 50,710,000 | 50,773,000 | 49,603,000 | 49,248,000 |
| Total stockholders’ equity | US$ in thousands | 6,333,000 | 7,200,000 | 6,175,000 | 6,650,000 | 6,835,000 | 9,274,000 | 9,240,000 | 9,646,000 | 9,266,000 | 11,966,000 | 11,432,000 | 10,002,000 | 10,959,000 | 9,631,000 | 6,522,000 | 6,312,000 | 6,015,000 | 4,953,000 | 3,751,000 | 3,446,000 |
| Financial leverage ratio | 8.78 | 7.71 | 8.92 | 8.27 | 7.67 | 6.11 | 6.17 | 5.66 | 5.71 | 4.35 | 4.53 | 5.15 | 4.64 | 5.38 | 7.99 | 8.15 | 8.43 | 10.25 | 13.22 | 14.29 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $55,617,000K ÷ $6,333,000K
= 8.78
Lockheed Martin Corporation's financial leverage ratio has shown a decreasing trend over the past few years, indicating improved financial stability and lower reliance on debt financing. The ratio decreased from 14.29 as of March 31, 2020, to 8.78 as of December 31, 2024. This decline suggests that the company has been paying down its debt levels relative to its equity, which could be a positive sign for investors and creditors. However, it is important to note that a financial leverage ratio that is too low may indicate underutilization of debt to boost returns. Overall, Lockheed Martin Corporation's decreasing financial leverage ratio reflects a more conservative capital structure and improved financial health over the analyzed period.
See also:
Lockheed Martin Corporation Financial Leverage (Quarterly Data)