L3Harris Technologies, Inc.

DB:HRS Stock Report

Market Cap: €38.9b

L3Harris Technologies Valuation

Is HRS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HRS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HRS (€203) is trading below our estimate of fair value (€436.28)

Significantly Below Fair Value: HRS is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HRS?

Key metric: As HRS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HRS. This is calculated by dividing HRS's market cap by their current earnings.
What is HRS's PE Ratio?
PE Ratio33x
EarningsUS$1.21b
Market CapUS$39.88b

Price to Earnings Ratio vs Peers

How does HRS's PE Ratio compare to its peers?

The above table shows the PE ratio for HRS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average27.5x
RHM Rheinmetall
38.3x29.9%€26.2b
MTX MTU Aero Engines
24.4x11.5%€17.3b
OHB OHB
13.2xn/a€919.3m
ENR Siemens Energy
33.9x22.1%€40.2b
HRS L3Harris Technologies
33x20.3%€39.9b

Price-To-Earnings vs Peers: HRS is expensive based on its Price-To-Earnings Ratio (33x) compared to the peer average (27.5x).

Price to Earnings Ratio vs Industry

How does HRS's PE Ratio compare vs other companies in the European Aerospace & Defense Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
HRS 33.0xIndustry Avg. 24.4xNo. of Companies7PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HRS is expensive based on its Price-To-Earnings Ratio (33x) compared to the European Aerospace & Defense industry average (24.6x).

Price to Earnings Ratio vs Fair Ratio

What is HRS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HRS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio33x
Fair PE Ratio25.2x

Price-To-Earnings vs Fair Ratio: HRS is expensive based on its Price-To-Earnings Ratio (33x) compared to the estimated Fair Price-To-Earnings Ratio (25.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HRS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€203.00
€269.53
+32.8%
9.5%€315.90€200.85n/a23
Dec ’25€232.10
€266.75
+14.9%
8.7%€308.71€196.28n/a23
Nov ’25€228.90
€254.40
+11.1%
9.1%€297.89€189.40n/a23
Oct ’25€216.20
€230.21
+6.5%
9.6%€292.70€167.13n/a22
Sep ’25€210.10
€231.76
+10.3%
9.5%€294.13€167.94n/a22
Aug ’25€209.00
€237.35
+13.6%
9.7%€299.70€171.13n/a21
Jul ’25€207.10
€233.06
+12.5%
9.5%€301.74€172.29n/a22
Jun ’25€201.60
€230.53
+14.3%
9.5%€299.99€171.29n/a22
May ’25€201.10
€230.65
+14.7%
9.8%€303.04€173.03n/a23
Apr ’25€196.70
€225.44
+14.6%
10.3%€298.99€169.80n/a22
Mar ’25€193.65
€226.03
+16.7%
11.2%€311.91€169.80n/a22
Feb ’25€191.90
€225.70
+17.6%
11.6%€312.82€170.29n/a22
Jan ’25€188.70
€215.69
+14.3%
13.5%€310.05€148.60€202.5023
Dec ’24€173.05
€203.16
+17.4%
14.9%€307.68€147.47€232.1023
Nov ’24€169.85
€210.07
+23.7%
15.3%€319.38€153.07€228.9022
Oct ’24€162.80
€217.99
+33.9%
15.3%€321.74€156.11€216.2020
Sep ’24€162.70
€214.91
+32.1%
15.0%€311.53€151.16€210.1018
Aug ’24€170.90
€213.91
+25.2%
15.2%€307.75€147.50€209.0017
Jul ’24€178.60
€217.15
+21.6%
14.5%€308.97€154.48€207.1018
Jun ’24€164.35
€222.28
+35.2%
14.5%€316.27€158.13€201.6018
May ’24€179.00
€221.00
+23.5%
14.2%€306.74€153.37€201.1017
Apr ’24€179.16
€227.39
+26.9%
13.7%€309.91€154.96€196.7019
Mar ’24€196.86
€233.75
+18.7%
13.3%€314.85€157.42€193.6518
Feb ’24€195.58
€233.04
+19.2%
12.9%€310.93€155.46€191.9018
Jan ’24€191.72
€247.17
+28.9%
10.6%€315.66€179.31€188.7018

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 10:21
End of Day Share Price 2025/01/02 00:00
Earnings2024/09/27
Annual Earnings2023/12/29

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

L3Harris Technologies, Inc. is covered by 49 analysts. 22 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
John StaszakArgus Research Company
Peter ArmentBaird
Ishan MajumdarBaptista Research