## LMT PE Stream Chart Analysis **Current Valuation (Latest Data Point):** As of the most recent data point (mid-March 2026), LMT's monthly average price stands at approximately **$642.28**, which places it squarely at the upper boundary of the **Warning** zone — essentially testing the **29.7x** PE boundary (priced at ~$642.27). This means the stock is trading at or just above the highest PE multiple tracked in this chart, indicating a state of **severe overvaluation** relative to its historical earnings-based valuation bands. To provide context, the **Overvalued** boundary sits at **22.6x** (~$487.00) and the **Warning** threshold begins at **29.7x** (~$642.27) — the current price has decisively broken through the **26.1x** (~$564.52) level and is now pressing against the absolute ceiling of the PE river framework. **Historical Valuation Trend:** Over the observed period beginning in early 2021, LMT's stock price has undergone a significant and multi-phase valuation journey. In early 2021, the stock traded in the **Fair** to **Watch** zone, oscillating between the **11.8x** (~$287–$301) and **15.4x** (~$375–$394) PE boundaries, reflecting modest but stable earnings expectations. Through 2022, the price surged into the **Watch** to **Overvalued** interval, briefly approaching the **18.9x** (~$431) boundary amid defense sector tailwinds, before pulling back. From 2023 through mid-2024, the stock largely consolidated within the **Fair** to **Watch** zone (between **15.4x** and **18.9x**), suggesting a period of valuation stability and earnings digestion. A pivotal inflection occurred in mid-to-late 2024, when the price broke decisively above the **18.9x** boundary (~$528) and accelerated sharply upward — reaching into the **Overvalued** zone and beyond. By early 2026, the stock has surged through the **22.6x**, **26.1x**, and now the **29.7x** PE boundaries in rapid succession, representing a dramatic valuation expansion. The PE river bands themselves have shown notable volatility — particularly the step-down adjustments visible in late 2024 and mid-2025, reflecting earnings revisions — yet the stock price has continued to outpace these adjustments. This sustained upward trajectory suggests strong market optimism, but investors should exercise caution as the current positioning at the **Warning** level historically signals limited upside potential and elevated downside risk.