L3Harris Technologies, Inc. (LHX) AI Stock Analysis

L3Harris Technologies, Inc. is an aerospace and defense technology company supporting government and commercial clients worldwide. Headquartered in Melbourne, Florida, it operates through several key segments. Integrated Mission Systems provides intelligence, surveillance, and reconnaissance systems, communication tools, fleet management, and maritime mission systems. Space and Airborne Systems offers space payloads, sensors, classified intelligence, and cyber defense solutions. Communication Systems supplies tactical radios, secure mobile networked communications, SATCOM equipment, public safety systems, and night vision solutions. Aviation Systems delivers defense aviation products, commercial pilot training, and air traffic management mission networks.

Between FY2020 and FY2025, revenue achieved a 5-year CAGR of 3.7%. Annual revenue rose from $17.81B in FY2021 to $21.86B in FY2025, though gross margin contracted from 30.2% to 25.7% and operating margin moved from 11.8% to 9.8% over the same span. Net income was $1.61B in FY2025, up from $1.50B in FY2024 but below the $1.85B reported in FY2021. In the latest quarter ended June 30, 2026, revenue increased 8.4% year-over-year while quarterly earnings grew 28.3%. Trailing twelve month revenue reached $22.93B, with net profit margin at 8.2% and diluted EPS of $9.92.

As of June 30, 2026, L3Harris held $1.52B in cash and short-term investments against $11.00B in total debt, resulting in net debt of $9.48B. Shareholders' equity was $20.85B, reflecting a debt-to-equity ratio of 0.53 and a current ratio of 1.18. In FY2025, operating cash flow stood at $3.11B and free cash flow reached $2.68B. Capital expenditures were $424.0M, while capital returns included $1.15B in share buybacks and $903.0M in dividends paid.

At its last close of $248.51, L3Harris held a market capitalization of $46.28B and an enterprise value of $54.99B. LHX trades at a trailing P/E of 25.1x and a forward P/E of 17.9x, below the median of its S&P 500 Industrials peers of 28.5x and 20.7x, respectively. Its price-to-sales multiple of 2.0x is also below the peer median of 3.3x, while its EV/EBITDA of 17.7x sits slightly above the peer median of 17.2x. Over the past year, the stock fell 11.1%, compared to a 16.8% gain for the S&P 500.

L3Harris pays a quarterly dividend totaling an annual forward dividend of $5.00 per share, representing a 2.01% dividend yield. The company has paid consecutive dividends for 45 years and has grown its dividend at an annualized 5-year rate of 7.1%. Its payout ratio is 42.7%, and the last ex-dividend date was September 4, 2026.

Wall Street coverage includes 11 Strong Buy, 1 Buy, and 8 Hold ratings, with zero Sell ratings. The mean price target is $316.65, representing a 27.4% premium over the last close of $248.51. Analysts estimate FY2026 revenue of $23.56B and EPS of $12.09, followed by FY2027 estimates of $25.30B in revenue and $13.52 in EPS. The company beat EPS estimates in each of the last 4 quarters, and its next earnings date is October 29, 2026.

This page is an AI-written research summary of L3Harris Technologies, Inc. (LHX). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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