VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Thursday, January 8, 2026

Stock Comparison

Lockheed Martin Corporation vs Paychex, Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Lockheed Martin Corporation

LMT · New York Stock Exchange

Market cap (USD)$119.7B
Gross margin (TTM)8.2%
Operating margin (TTM)8.3%
Net margin (TTM)5.7%
SectorIndustrials
IndustryAerospace & Defense
CountryUS
Data as of2025-12-29
Moat score
81/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Lockheed Martin Corporation's moat claims, evidence, and risks.

View LMT analysis

Paychex, Inc.

PAYX · NASDAQ Global Select Market

Market cap (USD)$39.4B
Gross margin (TTM)73.4%
Operating margin (TTM)37.1%
Net margin (TTM)26.5%
SectorIndustrials
IndustryStaffing & Employment Services
CountryUS
Data as of2026-01-04
Moat score
66/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Paychex, Inc.'s moat claims, evidence, and risks.

View PAYX analysis

Comparison highlights

  • Moat score gap: Lockheed Martin Corporation leads (81 / 100 vs 66 / 100 for Paychex, Inc.).
  • Segment focus: Lockheed Martin Corporation has 4 segments (40.3% in Aeronautics); Paychex, Inc. has 3 segments (73% in Management Solutions).
  • Moat breadth: Lockheed Martin Corporation has 5 moat types across 3 domains; Paychex, Inc. has 7 across 4.

Primary market context

Lockheed Martin Corporation

Aeronautics

Market

Military fixed-wing aircraft (fighters and air mobility) plus sustainment and upgrades

Geography

Global (primarily U.S. and allied governments)

Customer

Defense ministries and armed services (direct and via foreign military sales)

Role

Prime contractor / OEM / systems integrator

Revenue share

40.3%

Paychex, Inc.

Management Solutions

Market

Payroll processing and integrated HCM solutions for SMB and mid-market employers

Geography

United States (primarily)

Customer

Employers (SMB and mid-market)

Role

HCM SaaS + outsourced payroll/HR service provider

Revenue share

73%

Side-by-side metrics

Lockheed Martin Corporation
Paychex, Inc.
Ticker / Exchange
LMT - New York Stock Exchange
PAYX - NASDAQ Global Select Market
Market cap (USD)
$119.7B
$39.4B
Gross margin (TTM)
8.2%
73.4%
Operating margin (TTM)
8.3%
37.1%
Net margin (TTM)
5.7%
26.5%
Sector
Industrials
Industrials
Industry
Aerospace & Defense
Staffing & Employment Services
HQ country
US
US
Primary segment
Aeronautics
Management Solutions
Market structure
Oligopoly
Oligopoly
Market share
n/a
n/a
HHI estimate
n/a
n/a
Pricing power
Moderate
Moderate
Moat score
81 / 100
66 / 100
Moat domains
Demand, Supply, Legal
Demand, Supply, Legal, Financial
Last update
2025-12-29
2026-01-04

Moat coverage

Shared moat types

Service Field NetworkCompliance Advantage

Lockheed Martin Corporation strengths

Design In QualificationGovernment Contracting RelationshipsCapacity Moat

Paychex, Inc. strengths

Data Workflow LockinSuite BundlingUnderwriting Risk PoolingSwitching Costs GeneralFloat Prepayment

Segment mix

Lockheed Martin Corporation segments

Full profile >

Aeronautics

Oligopoly

40.3%

Missiles and Fire Control

Oligopoly

17.9%

Rotary and Mission Systems

Oligopoly

24.3%

Space

Oligopoly

17.6%

Paychex, Inc. segments

Full profile >

Management Solutions

Oligopoly

73%

PEO and Insurance Solutions

Competitive

24.1%

Client funds float (interest on funds held for clients)

Oligopoly

2.9%

Want the full wide moat stocks list?

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Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.