L3HARRIS TECHNOLOGIES INC (1LHX.MI) Stock Fundamental Analysis
Europe - BIT:1LHX - US5024311095 - Common Stock
257 EUR
+16 (+6.64%)
Overall 1LHX gets a fundamental rating of 4 out of 10. We evaluated 1LHX against 46 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of 1LHX while its profitability can be described as average. 1LHX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1LHX was profitable.
In the past year 1LHX had a positive cash flow from operations.
In the past 5 years 1LHX has always been profitable.
Each year in the past 5 years 1LHX had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.11%, 1LHX is in line with its industry, outperforming 57.14% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.80%, 1LHX is in line with its industry, outperforming 40.82% of the companies in the same industry.
1LHX has a worse Return On Invested Capital (5.23%) than 71.43% of its industry peers.
1LHX had an Average Return On Invested Capital over the past 3 years of 5.07%. This is below the industry average of 9.34%.
The 3 year average ROIC (5.07%) for 1LHX is below the current ROIC(5.23%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.11% | ||
| ROE | 8.8% | ||
| ROIC | 5.23% |
ROA(3y)3.23%
ROA(5y)3.61%
ROE(3y)6.66%
ROE(5y)7%
ROIC(3y)5.07%
ROIC(5y)5.06%
1.3 Margins
Looking at the Profit Margin, with a value of 7.94%, 1LHX is in the better half of the industry, outperforming 73.47% of the companies in the same industry.
In the last couple of years the Profit Margin of 1LHX has declined.
1LHX has a better Operating Margin (11.38%) than 71.43% of its industry peers.
In the last couple of years the Operating Margin of 1LHX has declined.
With a Gross Margin value of 25.74%, 1LHX perfoms like the industry average, outperforming 40.82% of the companies in the same industry.
1LHX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.38% | ||
| PM (TTM) | 7.94% | ||
| GM | 25.74% |
OM growth 3Y-4.16%
OM growth 5Y-7.3%
PM growth 3Y-12.08%
PM growth 5Y-12.74%
GM growth 3Y-4.96%
GM growth 5Y-5.47%
2. Health
2.1 Basic Checks
1LHX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
1LHX has about the same amout of shares outstanding than it did 1 year ago.
1LHX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1LHX has an improved debt to assets ratio.
2.2 Solvency
1LHX has an Altman-Z score of 2.39. This is not the best score and indicates that 1LHX is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of 1LHX (2.39) is comparable to the rest of the industry.
1LHX has a debt to FCF ratio of 5.59. This is a neutral value as 1LHX would need 5.59 years to pay back of all of its debts.
1LHX's Debt to FCF ratio of 5.59 is in line compared to the rest of the industry. 1LHX outperforms 57.14% of its industry peers.
1LHX has a Debt/Equity ratio of 0.62. This is a neutral value indicating 1LHX is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.62, 1LHX perfoms like the industry average, outperforming 44.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 5.59 | ||
| Altman-Z | 2.39 |
ROIC/WACC0.56
WACC9.34%
2.3 Liquidity
1LHX has a Current Ratio of 1.04. This is a normal value and indicates that 1LHX is financially healthy and should not expect problems in meeting its short term obligations.
1LHX's Current ratio of 1.04 is on the low side compared to the rest of the industry. 1LHX is outperformed by 69.39% of its industry peers.
1LHX has a Quick Ratio of 1.04. This is a bad value and indicates that 1LHX is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.87, 1LHX is doing good in the industry, outperforming 63.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The earnings per share for 1LHX have decreased by -6.54% in the last year.
The Earnings Per Share has been growing slightly by 0.14% on average over the past years.
The Revenue has been growing slightly by 2.93% in the past year.
The Revenue has been growing by 25.68% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-6.54%
EPS 3Y0.41%
EPS 5Y0.14%
EPS Q2Q%-14.2%
Revenue 1Y (TTM)2.93%
Revenue growth 3Y6.18%
Revenue growth 5Y25.68%
Sales Q2Q%2.4%
3.2 Future
The Earnings Per Share is expected to grow by 8.12% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.75% on average over the next years.
EPS Next Y-18.9%
EPS Next 2Y-2.55%
EPS Next 3Y2.59%
EPS Next 5Y8.12%
Revenue Next Year2.2%
Revenue Next 2Y4.01%
Revenue Next 3Y4.52%
Revenue Next 5Y4.75%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
1LHX is valuated quite expensively with a Price/Earnings ratio of 25.02.
Based on the Price/Earnings ratio, 1LHX is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
1LHX's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.91.
Based on the Price/Forward Earnings ratio of 24.11, the valuation of 1LHX can be described as rather expensive.
Based on the Price/Forward Earnings ratio, 1LHX is valued a bit cheaper than 63.27% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.57. 1LHX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.02 | ||
| Fwd PE | 24.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1LHX is valued a bit cheaper than the industry average as 69.39% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, 1LHX is valued a bit cheaper than 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.95 | ||
| EV/EBITDA | 18.12 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)174.29
EPS Next 2Y-2.55%
EPS Next 3Y2.59%
5. Dividend
5.1 Amount
1LHX has a Yearly Dividend Yield of 1.69%. Purely for dividend investing, there may be better candidates out there.
1LHX's Dividend Yield is rather good when compared to the industry average which is at 1.14. 1LHX pays more dividend than 85.71% of the companies in the same industry.
1LHX's Dividend Yield is slightly below the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.69% |
5.2 History
The dividend of 1LHX is nicely growing with an annual growth rate of 16.34%!
Dividend Growth(5Y)16.34%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1LHX pays out 52.68% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of 1LHX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP52.68%
EPS Next 2Y-2.55%
EPS Next 3Y2.59%
BIT:1LHX (10/6/2025, 7:00:00 PM)
257
+16 (+6.64%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners90.23%
Inst Owner ChangeN/A
Ins Owners0.32%
Ins Owner ChangeN/A
Market Cap48.08B
Revenue(TTM)21.37B
Net Income(TTM)1.70B
Analysts79.23
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.69% |
Yearly Dividend3.9
Dividend Growth(5Y)16.34%
DP52.68%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.63%
Min EPS beat(2)2.95%
Max EPS beat(2)10.32%
EPS beat(4)4
Avg EPS beat(4)3.83%
Min EPS beat(4)0.54%
Max EPS beat(4)10.32%
EPS beat(8)8
Avg EPS beat(8)3.13%
EPS beat(12)8
Avg EPS beat(12)1.57%
EPS beat(16)11
Avg EPS beat(16)1.3%
Revenue beat(2)1
Avg Revenue beat(2)-0.83%
Min Revenue beat(2)-2.6%
Max Revenue beat(2)0.95%
Revenue beat(4)1
Avg Revenue beat(4)-0.76%
Min Revenue beat(4)-2.6%
Max Revenue beat(4)0.95%
Revenue beat(8)3
Avg Revenue beat(8)-0.1%
Revenue beat(12)6
Avg Revenue beat(12)0.78%
Revenue beat(16)6
Avg Revenue beat(16)-0.43%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)-0.07%
EPS NQ rev (3m)-4.85%
EPS NY rev (1m)0.32%
EPS NY rev (3m)0.32%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)0.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.02 | ||
| Fwd PE | 24.11 | ||
| P/S | 2.63 | ||
| P/FCF | 25.95 | ||
| P/OCF | 22.4 | ||
| P/B | 2.91 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.12 |
EPS(TTM)10.27
EY4%
EPS(NY)10.66
Fwd EY4.15%
FCF(TTM)9.9
FCFY3.85%
OCF(TTM)11.47
OCFY4.46%
SpS97.8
BVpS88.21
TBVpS-38.23
PEG (NY)N/A
PEG (5Y)174.29
Graham Number142.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.11% | ||
| ROE | 8.8% | ||
| ROCE | 7.17% | ||
| ROIC | 5.23% | ||
| ROICexc | 5.3% | ||
| ROICexgc | 26.88% | ||
| OM | 11.38% | ||
| PM (TTM) | 7.94% | ||
| GM | 25.74% | ||
| FCFM | 10.12% |
ROA(3y)3.23%
ROA(5y)3.61%
ROE(3y)6.66%
ROE(5y)7%
ROIC(3y)5.07%
ROIC(5y)5.06%
ROICexc(3y)5.19%
ROICexc(5y)5.21%
ROICexgc(3y)32.42%
ROICexgc(5y)33.48%
ROCE(3y)6.89%
ROCE(5y)6.83%
ROICexgc growth 3Y-9.8%
ROICexgc growth 5Y-16.22%
ROICexc growth 3Y-3.5%
ROICexc growth 5Y-14.2%
OM growth 3Y-4.16%
OM growth 5Y-7.3%
PM growth 3Y-12.08%
PM growth 5Y-12.74%
GM growth 3Y-4.96%
GM growth 5Y-5.47%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 5.59 | ||
| Debt/EBITDA | 3.24 | ||
| Cap/Depr | 27.35% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68% | ||
| Profit Quality | 127.52% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2.39 |
F-Score7
WACC9.34%
ROIC/WACC0.56
Cap/Depr(3y)32.34%
Cap/Depr(5y)33.61%
Cap/Sales(3y)1.9%
Cap/Sales(5y)1.93%
Profit Quality(3y)152.3%
Profit Quality(5y)160.08%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.54%
EPS 3Y0.41%
EPS 5Y0.14%
EPS Q2Q%-14.2%
EPS Next Y-18.9%
EPS Next 2Y-2.55%
EPS Next 3Y2.59%
EPS Next 5Y8.12%
Revenue 1Y (TTM)2.93%
Revenue growth 3Y6.18%
Revenue growth 5Y25.68%
Sales Q2Q%2.4%
Revenue Next Year2.2%
Revenue Next 2Y4.01%
Revenue Next 3Y4.52%
Revenue Next 5Y4.75%
EBIT growth 1Y5.78%
EBIT growth 3Y1.77%
EBIT growth 5Y16.51%
EBIT Next Year27.22%
EBIT Next 3Y13.21%
EBIT Next 5Y4.79%
FCF growth 1Y17.93%
FCF growth 3Y-2.84%
FCF growth 5Y16%
OCF growth 1Y17.48%
OCF growth 3Y-1.61%
OCF growth 5Y16.65%
L3HARRIS TECHNOLOGIES INC / 1LHX.MI FAQ
What is the ChartMill fundamental rating of L3HARRIS TECHNOLOGIES INC (1LHX.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1LHX.MI.
Can you provide the valuation status for L3HARRIS TECHNOLOGIES INC?
ChartMill assigns a valuation rating of 4 / 10 to L3HARRIS TECHNOLOGIES INC (1LHX.MI). This can be considered as Fairly Valued.
How profitable is L3HARRIS TECHNOLOGIES INC (1LHX.MI) stock?
L3HARRIS TECHNOLOGIES INC (1LHX.MI) has a profitability rating of 4 / 10.
What are the PE and PB ratios of L3HARRIS TECHNOLOGIES INC (1LHX.MI) stock?
The Price/Earnings (PE) ratio for L3HARRIS TECHNOLOGIES INC (1LHX.MI) is 25.02 and the Price/Book (PB) ratio is 2.91.
Can you provide the expected EPS growth for 1LHX stock?
The Earnings per Share (EPS) of L3HARRIS TECHNOLOGIES INC (1LHX.MI) is expected to decline by -18.9% in the next year.