L3Harris Technologies, Inc. (LHX) Stock Analysis — Fair Value, Risk & Moat Rating
NYQ · Industrials · Aerospace & Defense
Is L3Harris Technologies, Inc. a safe investment right now?
L3Harris Technologies, Inc.'s Altman Z-Score of 2.64 places it in the gray zone. Our fair value estimate is $323.72 (Fairly Valued). Moat rating: 2.3/5 stars.
Could L3Harris Technologies, Inc. go bankrupt? Altman Z-Score analysis
Z-Score of 2.64 places the company in the gray zone (1.8-3.0), warranting closer scrutiny.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives LHX's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.0332 | 1.2 | 0.04 |
| B · Retained Earnings / Total Assets | RE / TA | 0.1022 | 1.4 | 0.14 |
| C · EBIT / Total Assets | EBIT / TA | 0.0614 | 3.3 | 0.2 |
| D · Market Cap / Total Liabilities | MCap / TL | 2.8733 | 0.6 | 1.72 |
| E · Revenue / Total Assets | Rev / TA | 0.5308 | 1.0 | 0.53 |
How has LHX's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 3.31 | Safe |
| 2023 | 2.34 | Gray |
| 2024 | 2.49 | Gray |
| 2025 | 2.64 | Gray |
Source: Calculated from LHX's latest 10-K filing on SEC EDGAR.
What is L3Harris Technologies, Inc. actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $9.78 | Proprietary blend of reported actuals + analyst consensus, weighted by α |
| Last Year EPS | $8.53 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $11.65 | 19 analysts consensus |
| Trailing P/E | 38.9x | Current market pricing |
| Fair P/E (β discount) | 33.1x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $392.16 (19 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does L3Harris Technologies, Inc. have a durable competitive advantage?
Moat rating: 2.3/5.
What makes up LHX's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 2/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 2/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is LHX's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | 6.1% | — |
| 2023 | 5.5% | Stable |
| 2024 | 7.2% | Rising |
| 2025 | 8.2% | Rising |
Source: ROIC calculated from SEC EDGAR filings.
Is L3Harris Technologies, Inc.'s dividend safe?
Can L3Harris Technologies, Inc. afford its dividend?
Payout ratio is 56.3%. FCF covers the dividend 2.2x. 45 consecutive years of payments.
L3Harris Technologies, Inc.'s key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $21.9B | $21.3B | $17.1B | Rising |
| Net Income | $1.6B | $1.5B | $1.1B | Rising |
| Free Cash Flow | $2.7B | $2.2B | $1.9B | Rising |
| Gross Margin | 25.7% | 25.9% | 28.9% | Declining |
Recent events that affect our LHX analysis
LHX earnings report scheduled
Upcoming report. Consensus EPS estimate: $2.57. Revenue estimate: $5.41B. Our current Fair Value: $323.72 — a significant beat or miss could shift this estimate.
LHX analyst consensus: 71% bullish (15 of 21 analysts)
2 Strong Buy, 13 Buy, 6 Hold, 0 Sell, 0 Strong Sell. Consensus target: $392.16 (18.2% upside). Compare with our independent Fair Value: $323.72.
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX paid $1.2500/share dividend
Dividend Safety Grade: A. Payout ratio: 56.3%.
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX beat EPS estimates by 3.6%
Reported EPS: $2.86 vs estimate $2.76. Earnings strength supports our Fair Value of $323.72 (2.4% below current price).
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX paid $1.2000/share dividend
Dividend Safety Grade: A. Payout ratio: 56.3%.
LHX beat EPS estimates by 5.1%
Reported EPS: $2.70 vs estimate $2.57. Earnings strength supports our Fair Value of $323.72 (2.4% below current price).
LHX filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX paid $1.2000/share dividend
Dividend Safety Grade: A. Payout ratio: 56.3%.
LHX beat EPS estimates by 11.3%
Reported EPS: $2.78 vs estimate $2.50. Earnings strength supports our Fair Value of $323.72 (2.4% below current price).
LHX filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX paid $1.2000/share dividend
Dividend Safety Grade: A. Payout ratio: 56.3%.
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX beat EPS estimates by 4.0%
Reported EPS: $2.41 vs estimate $2.32. Earnings strength supports our Fair Value of $323.72 (2.4% below current price).
LHX filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX paid $1.2000/share dividend
Dividend Safety Grade: A. Payout ratio: 56.3%.
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
LHX beat EPS estimates by 1.5%
Reported EPS: $3.47 vs estimate $3.42. Earnings strength supports our Fair Value of $323.72 (2.4% below current price).
LHX filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
Common questions about L3Harris Technologies, Inc.
What is L3Harris Technologies, Inc. stock price today?
L3Harris Technologies, Inc. (LHX) stock price is $331.66 as of the latest market close, traded on the NYSE exchange.
What does L3Harris Technologies, Inc. do?
L3Harris Technologies, Inc. provides mission-critical solutions for government and commercial customers worldwide. It operates through three segments: Space & Mission Systems (SMS), Communications & Spectrum Dominance (CSD), and Missile Solutions (MSL).
What is L3Harris Technologies, Inc. market cap?
L3Harris Technologies, Inc. has a market capitalization of $61.95B, classifying it as a large-cap stock in the Industrials sector.
What sector and industry is LHX in?
L3Harris Technologies, Inc. operates in the Industrials sector, specifically within the Aerospace & Defense industry. It trades on the NYSE under the ticker symbol LHX.
Is LHX stock overvalued or undervalued?
Based on our valuation model, L3Harris Technologies, Inc. trades 2.5% above our fair value estimate — potentially overvalued.
- FairValueLabs Fair Value: $323.72
- Current Price: $331.66
- Valuation Zone: Fairly Valued
What is LHX stock forecast and analyst target price?
Based on 19 Wall Street analysts, the consensus price target for L3Harris Technologies, Inc. is $392.16, implying upside of 18.2% from the current price.
- Analyst High Target: $443.00
- Analyst Low Target: $326.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is L3Harris Technologies, Inc. revenue and earnings growing?
Here are the analyst consensus growth estimates for L3Harris Technologies, Inc.:
- Revenue growth (current year est.): 7.2%
- EPS growth (current year est.): 8.5%
- Revenue growth (next year est.): 7.9%
- EPS growth (next year est.): 16.1%
What are L3Harris Technologies, Inc.'s key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $21.9B | Rising |
| Net Income | $1.6B | Rising |
| Free Cash Flow | $2.7B | Rising |
| Gross Margin | 25.7% | Declining |
What is LHX's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 38.9x
- Forward P/E (next 12 months est.): 24.5x
- FairValueLabs Fair P/E: 33.1x
How volatile is LHX stock?
L3Harris Technologies, Inc. has a beta of 0.75, meaning it is less volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does L3Harris Technologies, Inc. have?
L3Harris Technologies, Inc.'s balance sheet shows:
- Total Cash: $1.00B
- Total Debt: $7.93B
- Net Cash Position: $-6.93B
A positive net cash position means the company holds more cash than debt, reducing financial risk.
Does L3Harris Technologies, Inc. pay a dividend, and is it safe?
Yes, L3Harris Technologies, Inc. pays a regular dividend. Here are the key metrics:
- Dividend Yield: 0.8%
- Payout Ratio: 56.3%
- Consecutive Years Paid: 45
- 5-Year Dividend Growth: -21.1%
- FairValueLabs Safety Grade: A
Is L3Harris Technologies, Inc. at risk of going bankrupt?
L3Harris Technologies, Inc.'s Altman Z-Score is 2.64, placing it in the gray zone (1.8–3.0) — some financial uncertainty. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does L3Harris Technologies, Inc. have a durable competitive advantage?
L3Harris Technologies, Inc. scores 2.3/5 stars (Weak moat) in our moat analysis:
- ROIC Stability: 2/5
- Gross Margin Trend: 2/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
How do I buy LHX stock?
LHX shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol LHX
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is LHX a value stock or speculative?
FairValueLabs classifies L3Harris Technologies, Inc. as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
Who is the CEO of L3Harris Technologies, Inc.?
The current CEO of L3Harris Technologies, Inc. is Mr. Christopher E. Kubasik CPA.
What is LHX's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $8.52
- Forward EPS (next 12 months est.): $13.52
- Analyst consensus EPS (this year): $11.65
- Analyst consensus EPS (next year): $13.52
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FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
LHX analysis methodology: How we calculate fair value, Z-Scores, and moat ratings