Based on the latest data from August 2025, Lockheed Martin (LMT) is trading at $455.63, positioning the stock in the undervalued zone below the 12.0x PE multiple boundary of $214.63. This represents a significant undervaluation relative to all PE stream boundaries, with the stock trading well below the value zone (12.0x-14.9x PE), fair zone (14.9x-17.7x PE), watch zone (17.7x-20.6x PE), overvalued zone (20.6x-23.5x PE), and warning zone (above 23.5x PE). The current price suggests the stock is trading at approximately 21.2x PE based on its position relative to the stream boundaries. Historically, LMT has experienced significant valuation fluctuations throughout the analyzed period. The stock began 2020 trading above the fair valuation zone around $364, then dropped into undervalued territory during the March 2020 market crash at $294. From mid-2020 through 2021, the stock generally traded within the fair to watch zones, ranging between $298-$345. A notable valuation expansion occurred in 2022, with the stock reaching peak valuations around $453 in December 2022, approaching the warning zone boundaries. The period from 2023 to mid-2024 showed the stock trading primarily in the overvalued to warning zones, with prices consistently above $400 and reaching as high as $578 in October 2024. The recent decline to current levels represents a significant valuation contraction, bringing the stock back to fundamentally attractive levels not seen since the early pandemic period.