L3HARRIS TECHNOLOGIES INC (LHX) Stock Fundamental Analysis

NYSE:LHX • US5024311095

356.14 USD
-2.56 (-0.71%)
At close: Feb 20, 2026
356 USD
-0.14 (-0.04%)
After Hours: 2/20/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Overall LHX gets a fundamental rating of 5 out of 10. We evaluated LHX against 74 industry peers in the Aerospace & Defense industry. LHX has an average financial health and profitability rating. LHX has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year LHX was profitable.
  • LHX had a positive operating cash flow in the past year.
  • LHX had positive earnings in each of the past 5 years.
  • LHX had a positive operating cash flow in each of the past 5 years.
LHX Yearly Net Income VS EBIT VS OCF VS FCFLHX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • LHX has a Return On Assets of 3.90%. This is in the better half of the industry: LHX outperforms 61.64% of its industry peers.
  • With a decent Return On Equity value of 8.18%, LHX is doing good in the industry, outperforming 60.27% of the companies in the same industry.
  • LHX has a Return On Invested Capital (6.38%) which is comparable to the rest of the industry.
  • The Average Return On Invested Capital over the past 3 years for LHX is below the industry average of 8.97%.
  • The 3 year average ROIC (5.90%) for LHX is below the current ROIC(6.38%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 3.9%
ROE 8.18%
ROIC 6.38%
ROA(3y)3.47%
ROA(5y)3.78%
ROE(3y)7.47%
ROE(5y)7.55%
ROIC(3y)5.9%
ROIC(5y)6.18%
LHX Yearly ROA, ROE, ROICLHX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20 25

1.3 Margins

  • LHX has a better Profit Margin (7.35%) than 68.49% of its industry peers.
  • LHX's Profit Margin has improved in the last couple of years.
  • The Operating Margin of LHX (11.14%) is better than 76.71% of its industry peers.
  • In the last couple of years the Operating Margin of LHX has remained more or less at the same level.
  • LHX has a Gross Margin (25.73%) which is comparable to the rest of the industry.
  • LHX's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 11.14%
PM (TTM) 7.35%
GM 25.73%
OM growth 3Y-3.2%
OM growth 5Y0.16%
PM growth 3Y5.67%
PM growth 5Y3.61%
GM growth 3Y-3.78%
GM growth 5Y-2.48%
LHX Yearly Profit, Operating, Gross MarginsLHX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LHX is destroying value.
  • The number of shares outstanding for LHX has been reduced compared to 1 year ago.
  • The number of shares outstanding for LHX has been reduced compared to 5 years ago.
  • Compared to 1 year ago, LHX has an improved debt to assets ratio.
LHX Yearly Shares OutstandingLHX Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M 200M
LHX Yearly Total Debt VS Total AssetsLHX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

2.2 Solvency

  • LHX has a debt to FCF ratio of 3.89. This is a good value and a sign of high solvency as LHX would need 3.89 years to pay back of all of its debts.
  • LHX's Debt to FCF ratio of 3.89 is fine compared to the rest of the industry. LHX outperforms 76.71% of its industry peers.
  • LHX has a Debt/Equity ratio of 0.53. This is a neutral value indicating LHX is somewhat dependend on debt financing.
  • The Debt to Equity ratio of LHX (0.53) is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.53
Debt/FCF 3.89
Altman-Z N/A
ROIC/WACC0.65
WACC9.75%
LHX Yearly LT Debt VS Equity VS FCFLHX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.3 Liquidity

  • LHX has a Current Ratio of 1.19. This is a normal value and indicates that LHX is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 1.19, LHX is doing worse than 79.45% of the companies in the same industry.
  • A Quick Ratio of 1.02 indicates that LHX should not have too much problems paying its short term obligations.
  • LHX's Quick ratio of 1.02 is on the low side compared to the rest of the industry. LHX is outperformed by 71.23% of its industry peers.
Industry RankSector Rank
Current Ratio 1.19
Quick Ratio 1.02
LHX Yearly Current Assets VS Current LiabilitesLHX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • LHX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.00%.
  • Measured over the past years, LHX shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.53% on average per year.
  • The Revenue has been growing slightly by 2.53% in the past year.
  • Measured over the past years, LHX shows a small growth in Revenue. The Revenue has been growing by 3.74% on average per year.
EPS 1Y (TTM)-18%
EPS 3Y-5.85%
EPS 5Y-1.53%
EPS Q2Q%-17.58%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y8.62%
Revenue growth 5Y3.74%
Sales Q2Q%2.26%

3.2 Future

  • LHX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.77% yearly.
  • Based on estimates for the next years, LHX will show a small growth in Revenue. The Revenue will grow by 6.06% on average per year.
EPS Next Y11.64%
EPS Next 2Y14.25%
EPS Next 3Y14.27%
EPS Next 5Y9.77%
Revenue Next Year6.38%
Revenue Next 2Y6.74%
Revenue Next 3Y6.59%
Revenue Next 5Y6.06%

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 accelerating.
LHX Yearly Revenue VS EstimatesLHX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B 20B 25B
LHX Yearly EPS VS EstimatesLHX Yearly EPS VS EstimatesYearly EPS VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5 10 15

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4

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 33.13, the valuation of LHX can be described as expensive.
  • LHX's Price/Earnings ratio is a bit cheaper when compared to the industry. LHX is cheaper than 79.45% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.99, LHX is valued a bit more expensive.
  • LHX is valuated quite expensively with a Price/Forward Earnings ratio of 29.68.
  • LHX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LHX is cheaper than 75.34% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 28.06. LHX is around the same levels.
Industry RankSector Rank
PE 33.13
Fwd PE 29.68
LHX Price Earnings VS Forward Price EarningsLHX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LHX indicates a somewhat cheap valuation: LHX is cheaper than 73.97% of the companies listed in the same industry.
  • LHX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LHX is cheaper than 90.41% of the companies in the same industry.
Industry RankSector Rank
P/FCF 24.84
EV/EBITDA 20.89
LHX Per share dataLHX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LHX does not grow enough to justify the current Price/Earnings ratio.
  • The decent profitability rating of LHX may justify a higher PE ratio.
  • A more expensive valuation may be justified as LHX's earnings are expected to grow with 14.27% in the coming years.
PEG (NY)2.85
PEG (5Y)N/A
EPS Next 2Y14.25%
EPS Next 3Y14.27%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • LHX has a Yearly Dividend Yield of 1.39%. Purely for dividend investing, there may be better candidates out there.
  • LHX's Dividend Yield is rather good when compared to the industry average which is at 0.34. LHX pays more dividend than 94.52% of the companies in the same industry.
  • Compared to the average S&P500 Dividend Yield of 1.81, LHX is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.39%

5.2 History

  • On average, the dividend of LHX grows each year by 15.97%, which is quite nice.
  • LHX has paid a dividend for at least 10 years, which is a reliable track record.
  • LHX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.97%
Div Incr Years21
Div Non Decr Years24
LHX Yearly Dividends per shareLHX Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3 4

5.3 Sustainability

  • LHX pays out 56.23% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • LHX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP56.23%
EPS Next 2Y14.25%
EPS Next 3Y14.27%
LHX Yearly Income VS Free CF VS DividendLHX Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B
LHX Dividend Payout.LHX Dividend Payout, showing the Payout Ratio.LHX Dividend Payout.PayoutRetained Earnings

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L3HARRIS TECHNOLOGIES INC

NYSE:LHX (2/20/2026, 8:04:00 PM)

After market: 356 -0.14 (-0.04%)

356.14

-2.56 (-0.71%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)01-29
Earnings (Next)04-22
Inst Owners89.22%
Inst Owner Change0.09%
Ins Owners0.32%
Ins Owner Change0.43%
Market Cap66.62B
Revenue(TTM)21.86B
Net Income(TTM)1.61B
Analysts80.8
Price Target383.96 (7.81%)
Short Float %1.43%
Short Ratio1.91
Dividend
Industry RankSector Rank
Dividend Yield 1.39%
Yearly Dividend4.8
Dividend Growth(5Y)15.97%
DP56.23%
Div Incr Years21
Div Non Decr Years24
Ex-Date03-06
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.11%
Min EPS beat(2)2.44%
Max EPS beat(2)3.77%
EPS beat(4)4
Avg EPS beat(4)4.87%
Min EPS beat(4)2.44%
Max EPS beat(4)10.32%
EPS beat(8)8
Avg EPS beat(8)3.37%
EPS beat(12)10
Avg EPS beat(12)2.54%
EPS beat(16)12
Avg EPS beat(16)1.69%
Revenue beat(2)1
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-3.2%
Max Revenue beat(2)1.52%
Revenue beat(4)2
Avg Revenue beat(4)-0.83%
Min Revenue beat(4)-3.2%
Max Revenue beat(4)1.52%
Revenue beat(8)3
Avg Revenue beat(8)-0.58%
Revenue beat(12)6
Avg Revenue beat(12)0.66%
Revenue beat(16)7
Avg Revenue beat(16)0.18%
PT rev (1m)11.55%
PT rev (3m)16.65%
EPS NQ rev (1m)-5.98%
EPS NQ rev (3m)-5.94%
EPS NY rev (1m)-4.28%
EPS NY rev (3m)-4.07%
Revenue NQ rev (1m)-0.92%
Revenue NQ rev (3m)-0.84%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)0.73%
Valuation
Industry RankSector Rank
PE 33.13
Fwd PE 29.68
P/S 3.05
P/FCF 24.84
P/OCF 21.45
P/B 3.39
P/tB N/A
EV/EBITDA 20.89
EPS(TTM)10.75
EY3.02%
EPS(NY)12
Fwd EY3.37%
FCF(TTM)14.34
FCFY4.03%
OCF(TTM)16.61
OCFY4.66%
SpS116.89
BVpS104.97
TBVpS-36.8
PEG (NY)2.85
PEG (5Y)N/A
Graham Number159.34
Profitability
Industry RankSector Rank
ROA 3.9%
ROE 8.18%
ROCE 7.17%
ROIC 6.38%
ROICexc 6.58%
ROICexgc 33.94%
OM 11.14%
PM (TTM) 7.35%
GM 25.73%
FCFM 12.27%
ROA(3y)3.47%
ROA(5y)3.78%
ROE(3y)7.47%
ROE(5y)7.55%
ROIC(3y)5.9%
ROIC(5y)6.18%
ROICexc(3y)6.03%
ROICexc(5y)6.35%
ROICexgc(3y)32.47%
ROICexgc(5y)38.81%
ROCE(3y)6.76%
ROCE(5y)7.03%
ROICexgc growth 3Y-13.23%
ROICexgc growth 5Y-2.41%
ROICexc growth 3Y-1.72%
ROICexc growth 5Y2.97%
OM growth 3Y-3.2%
OM growth 5Y0.16%
PM growth 3Y5.67%
PM growth 5Y3.61%
GM growth 3Y-3.78%
GM growth 5Y-2.48%
F-Score8
Asset Turnover0.53
Health
Industry RankSector Rank
Debt/Equity 0.53
Debt/FCF 3.89
Debt/EBITDA 2.85
Cap/Depr 34.64%
Cap/Sales 1.94%
Interest Coverage 250
Cash Conversion 84.86%
Profit Quality 167%
Current Ratio 1.19
Quick Ratio 1.02
Altman-Z N/A
F-Score8
WACC9.75%
ROIC/WACC0.65
Cap/Depr(3y)34.93%
Cap/Depr(5y)33.41%
Cap/Sales(3y)2.05%
Cap/Sales(5y)1.91%
Profit Quality(3y)148.15%
Profit Quality(5y)150.19%
High Growth Momentum
Growth
EPS 1Y (TTM)-18%
EPS 3Y-5.85%
EPS 5Y-1.53%
EPS Q2Q%-17.58%
EPS Next Y11.64%
EPS Next 2Y14.25%
EPS Next 3Y14.27%
EPS Next 5Y9.77%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y8.62%
Revenue growth 5Y3.74%
Sales Q2Q%2.26%
Revenue Next Year6.38%
Revenue Next 2Y6.74%
Revenue Next 3Y6.59%
Revenue Next 5Y6.06%
EBIT growth 1Y3.92%
EBIT growth 3Y5.14%
EBIT growth 5Y3.91%
EBIT Next Year25.66%
EBIT Next 3Y4.12%
EBIT Next 5Y9.3%
FCF growth 1Y24.69%
FCF growth 3Y12.06%
FCF growth 5Y2.06%
OCF growth 1Y21.38%
OCF growth 3Y12.91%
OCF growth 5Y2.17%

L3HARRIS TECHNOLOGIES INC / LHX FAQ

What is the ChartMill fundamental rating of L3HARRIS TECHNOLOGIES INC (LHX) stock?

ChartMill assigns a fundamental rating of 5 / 10 to LHX.


Can you provide the valuation status for L3HARRIS TECHNOLOGIES INC?

ChartMill assigns a valuation rating of 4 / 10 to L3HARRIS TECHNOLOGIES INC (LHX). This can be considered as Fairly Valued.


How profitable is L3HARRIS TECHNOLOGIES INC (LHX) stock?

L3HARRIS TECHNOLOGIES INC (LHX) has a profitability rating of 6 / 10.


Can you provide the PE and PB ratios for LHX stock?

The Price/Earnings (PE) ratio for L3HARRIS TECHNOLOGIES INC (LHX) is 33.13 and the Price/Book (PB) ratio is 3.39.


Is the dividend of L3HARRIS TECHNOLOGIES INC sustainable?

The dividend rating of L3HARRIS TECHNOLOGIES INC (LHX) is 6 / 10 and the dividend payout ratio is 56.23%.