LASR vs LMT: Which Is the Better Buy in 2026?

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: LMT is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. LASR and LMT share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined LASR and LMT exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

nLIGHT, Inc. (Nasdaq: LASR) designs and manufactures high-power semiconductor and fiber lasers for three broad markets: aerospace and defense (directed-energy weapons, optical sensing), advanced manufacturing (industrial cutting, welding, additive), and microfabrication. Historically the company leaned on commercial industrial-laser sales, a competitive and cyclical business, but the growth engine has decisively shifted to defense, where nLIGHT supplies high-energy laser systems and beam-control technology to US Army and Navy programs. The company is based in Vancouver, Washington and books a large share of revenue from US government and prime-contractor programs.

Full LASR guide

Lockheed Martin is the largest defense contractor in the world, generating the vast majority of its revenue from the US government and allied militaries. It is organized into four segments: Aeronautics (home of the F-35 Lightning II, F-22, and C-130, the largest segment), Rotary and Mission Systems (Sikorsky helicopters, combat systems, radar, and sensors), Missiles and Fire Control (precision missiles, HIMARS, PAC-3 interceptors, and hypersonics), and Space (satellites, missile-defense systems, and strategic and hypersonic programs). Lockheed designs, builds, and sustains some of the most advanced and mission-critical weapons systems in the world, including the F-35, its single largest program, which generates long-tail revenue from production, upgrades, and decades of sustainment. The company makes money under long-term government contracts, with a large multi-year backlog that provides revenue visibility. It pursues hypersonics, missile defense, and space as growth areas. As a flagship defense name, Lockheed is a steady cash generator that returns substantial capital to shareholders. Headquartered in Bethesda, Maryland.

Full LMT guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• LASR drivers: Directed-energy defense demand; Product scaling and new platforms.
• LMT drivers: The F-35 franchise; Rising defense budgets and munitions demand.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Valuation is the dominant risk: at a price-to-sales multiple many times the hardware-industry average, the stock is priced for sustained rapid growth, so any deceleration in defense orders could compress the multiple sharply. For LMT, lockheed depends overwhelmingly on US and allied defense budgets, so spending cuts, continuing resolutions, shutdowns, or shifting priorities directly threaten revenue.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick LASR if you believe its drivers more; LMT if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the LASR and LMT guides.

LASR. As of May 2026, nLIGHT is priced as a defense-growth story: a modest revenue base of roughly ~$290 million trailing supports a market cap near ~$3.6 billion, a price-to-sales multiple many times typical laser-hardware peers. The company turned a small quarterly profit in Q1 2026 after a full-year 2025 net loss, so the premium rests on expectations of continued directed-energy revenue growth rather than current earnings.

LMT. Lockheed trades at a defense-sector multiple supported by an enormous backlog, predictable government revenue, and reliable free cash flow that funds a growing dividend and large buybacks. The valuation reflects the durability of defense spending and the F-35 annuity, offset by program-concentration risk and occasional charges on fixed-price contracts. As a defensive cash compounder, Lockheed is often valued on free cash flow and backlog visibility as much as headline earnings.

Headline figures (approximate, MAY 2026): LASR shows revenue (ttm) ~$290M, fy2025 revenue ~$261M (up ~32%), q1 2026 revenue ~$80M (up ~55% YoY), market cap ~$3.6B; LMT shows revenue (ttm) ~$72 billion, operating margin ~11-12%, net income (ttm) ~$5-6 billion, p/e (ttm) ~17x.

LASR and LMT are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined LASR and LMT exposure against your real portfolio. It is not an investment adviser.