LMT vs. IWM
LMT (Lockheed Martin Corporation) is a stock, while IWM (iShares Russell 2000 ETF) is Small Cap Blend Equities fund tracking the Russell 2000 Index. Over the past 10 years, LMT returned 10.91%/yr vs 10.78%/yr for IWM. At a 0.36 correlation, their price movements are largely independent.
Performance
LMT vs. IWM - Performance Comparison
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Returns By Period
In the year-to-date period, LMT achieves a 8.80% return, which is significantly lower than IWM's 15.62% return. Both investments have delivered pretty close results over the past 10 years, with LMT having a 10.91% annualized return and IWM not far behind at 10.78%.
LMT
- 1D
- -0.70%
- 1M
- 3.35%
- YTD
- 8.80%
- 6M
- 13.08%
- 1Y
- 10.88%
- 3Y*
- 6.80%
- 5Y*
- 9.00%
- 10Y*
- 10.91%
IWM
- 1D
- 0.87%
- 1M
- -0.02%
- YTD
- 15.62%
- 6M
- 13.83%
- 1Y
- 35.52%
- 3Y*
- 16.64%
- 5Y*
- 5.48%
- 10Y*
- 10.78%
LMT vs. IWM - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
LMT Lockheed Martin Corporation | 8.80% | 2.47% | 10.02% | -4.31% | 40.48% | 3.15% | -6.49% | 52.55% | -16.35% | 31.77% |
IWM iShares Russell 2000 ETF | 15.62% | 12.66% | 11.38% | 16.83% | -20.48% | 14.54% | 20.03% | 25.39% | -11.12% | 14.58% |
Correlation
The correlation between LMT and IWM is 0.15, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.15 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.13 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.19 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.29 |
Correlation (All Time) Calculated using the full available price history since May 30, 2000 | 0.36 |
Over the past year, the correlation between LMT and IWM has dropped to 0.15 - well below their long-term average of 0.36, suggesting their price drivers have been diverging.
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Return for Risk
LMT vs. IWM — Risk / Return Rank
LMT
IWM
LMT vs. IWM - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Lockheed Martin Corporation (LMT) and iShares Russell 2000 ETF (IWM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
| LMT | IWM | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.42 | ||
| Sortino ratioReturn per unit of downside risk | -1.84 | ||
| Omega ratioGain probability vs. loss probability | 1.10 | 1.30 | -0.21 |
| Calmar ratioReturn relative to maximum drawdown | 0.43 | 3.24 | -2.80 |
| Martin ratioReturn relative to average drawdown | 1.04 | 11.44 | -10.40 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| LMT | IWM | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 0.41 | 1.83 | -1.42 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.40 | 0.24 | +0.15 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.46 | 0.47 | -0.01 |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.38 | 0.36 | +0.01 |
Drawdowns
LMT vs. IWM - Drawdown Comparison
The maximum LMT drawdown since its inception was -79.29%, which is greater than IWM's maximum drawdown of -59.05%. Use the drawdown chart below to compare losses from any high point for LMT and IWM.
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Drawdown Indicators
| LMT | IWM | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -79.29% | -59.05% | -20.24% |
Max Drawdown (1Y)Largest decline over 1 year | -25.15% | -11.03% | -14.12% |
Max Drawdown (3Y)Largest decline over 3 years | -31.79% | -27.50% | -4.29% |
Max Drawdown (5Y)Largest decline over 5 years | -31.79% | -31.91% | +0.12% |
Max Drawdown (10Y)Largest decline over 10 years | -36.67% | -41.13% | +4.46% |
Current DrawdownCurrent decline from peak | -22.64% | -2.71% | -19.93% |
Average DrawdownAverage peak-to-trough decline | -26.84% | -10.76% | -16.08% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 10.51% | 3.11% | +7.40% |
Volatility
LMT vs. IWM - Volatility Comparison
The current volatility for Lockheed Martin Corporation (LMT) is 5.31%, while iShares Russell 2000 ETF (IWM) has a volatility of 6.52%. This indicates that LMT experiences smaller price fluctuations and is considered to be less risky than IWM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| LMT | IWM | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 5.31% | 6.52% | -1.21% |
Volatility (6M)Calculated over the trailing 6-month period | 19.60% | 14.00% | +5.60% |
Volatility (1Y)Calculated over the trailing 1-year period | 26.62% | 19.53% | +7.09% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 22.88% | 22.58% | +0.30% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 23.72% | 23.07% | +0.65% |
Dividends
LMT vs. IWM - Dividend Comparison
LMT's dividend yield for the trailing twelve months is around 2.62%, more than IWM's 0.89% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IWM iShares Russell 2000 ETF | 0.89% | 1.04% | 1.15% | 1.35% | 1.48% | 0.94% | 1.04% | 1.26% | 1.40% | 1.26% | 1.38% | 1.54% |
LMT Lockheed Martin Corporation | 2.62% | 2.76% | 2.62% | 2.68% | 2.34% | 2.98% | 2.76% | 2.31% | 3.13% | 2.32% | 2.71% | 2.83% |
Frequently Asked Questions
LMT and IWM have a correlation of 0.15, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
IWM has higher volatility (6.52%) compared to LMT (5.31%). In terms of maximum drawdown, LMT dropped -79.29% vs IWM's -59.05%.
IWM currently has the higher Sharpe Ratio (1.83 vs 0.41), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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