L3Harris Technologies
Market Cap
US$39.9b
Last Updated
2021/01/20 00:23 UTC
Data Sources
Company Financials +
Executive Summary
L3Harris Technologies, Inc., an aerospace and defense technology company, provides mission-critical solutions for government and commercial customers worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet established dividend payer.
Similar Companies
Share Price & News
How has L3Harris Technologies's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LHX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: LHX's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
2.8%
LHX
1.8%
US Aerospace & Defense
-0.4%
US Market
1 Year Return
-13.8%
LHX
-28.5%
US Aerospace & Defense
19.5%
US Market
Return vs Industry: LHX exceeded the US Aerospace & Defense industry which returned -28.5% over the past year.
Return vs Market: LHX underperformed the US Market which returned 19.5% over the past year.
Shareholder returns
| LHX | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.8% | 1.8% | -0.4% |
| 30 Day | 1.5% | 0.9% | 2.3% |
| 90 Day | 11.9% | 9.7% | 12.7% |
| 1 Year | -12.2%-13.8% | -13.6%-28.5% | 22.3%19.5% |
| 3 Year | 40.2%33.5% | 3.4%-18.1% | 44.4%34.8% |
| 5 Year | 143.2%122.0% | 77.9%34.5% | 128.7%103.3% |
Long-Term Price Volatility Vs. Market
How volatile is L3Harris Technologies's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Is It Too Late To Consider Buying L3Harris Technologies, Inc. (NYSE:LHX)?2 weeks ago | Simply Wall St
Shareholders Of L3Harris Technologies (NYSE:LHX) Must Be Happy With Their 141% Total Return3 weeks ago | Simply Wall St
L3Harris Technologies's (NYSE:LHX) Earnings Are Growing But Is There More To The Story?Valuation
Is L3Harris Technologies undervalued compared to its fair value and its price relative to the market?
29.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LHX ($190.1) is trading below our estimate of fair value ($271.32)
Significantly Below Fair Value: LHX is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LHX is poor value based on its PE Ratio (31.4x) compared to the US Aerospace & Defense industry average (31.2x).
PE vs Market: LHX is poor value based on its PE Ratio (31.4x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: LHX is poor value based on its PEG Ratio (1.7x)
Price to Book Ratio
PB vs Industry: LHX is good value based on its PB Ratio (1.9x) compared to the US Aerospace & Defense industry average (3x).
Next Steps
Future Growth
How is L3Harris Technologies forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
19.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LHX's forecast earnings growth (19% per year) is above the savings rate (2%).
Earnings vs Market: LHX's earnings (19% per year) are forecast to grow slower than the US market (21.6% per year).
High Growth Earnings: LHX's earnings are forecast to grow, but not significantly.
Revenue vs Market: LHX's revenue (4.2% per year) is forecast to grow slower than the US market (10.3% per year).
High Growth Revenue: LHX's revenue (4.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LHX's Return on Equity is forecast to be low in 3 years time (12.5%).
Next Steps
Past Performance
How has L3Harris Technologies performed over the past 5 years?
29.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LHX has a large one-off loss of $1.0B impacting its October 2 2020 financial results.
Growing Profit Margin: LHX's current net profit margins (6.8%) are lower than last year (11.7%).
Past Earnings Growth Analysis
Earnings Trend: LHX's earnings have grown significantly by 29.3% per year over the past 5 years.
Accelerating Growth: LHX's earnings growth over the past year (36.7%) exceeds its 5-year average (29.3% per year).
Earnings vs Industry: LHX earnings growth over the past year (36.7%) exceeded the Aerospace & Defense industry -6.7%.
Return on Equity
High ROE: LHX's Return on Equity (7.6%) is considered low.
Next Steps
Financial Health
How is L3Harris Technologies's financial position?
Financial Position Analysis
Short Term Liabilities: LHX's short term assets ($6.4B) exceed its short term liabilities ($4.7B).
Long Term Liabilities: LHX's short term assets ($6.4B) do not cover its long term liabilities ($11.0B).
Debt to Equity History and Analysis
Debt Level: LHX's debt to equity ratio (31.7%) is considered satisfactory.
Reducing Debt: LHX's debt to equity ratio has reduced from 146.9% to 31.7% over the past 5 years.
Debt Coverage: LHX's debt is well covered by operating cash flow (46.7%).
Interest Coverage: LHX's interest payments on its debt are well covered by EBIT (10.7x coverage).
Balance Sheet
Next Steps
Dividend
What is L3Harris Technologies's current dividend yield, its reliability and sustainability?
1.79%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LHX's dividend (1.79%) is higher than the bottom 25% of dividend payers in the US market (1.39%).
High Dividend: LHX's dividend (1.79%) is low compared to the top 25% of dividend payers in the US market (3.85%).
Stability and Growth of Payments
Stable Dividend: LHX's dividends per share have been stable in the past 10 years.
Growing Dividend: LHX's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (79.3%), LHX's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LHX's dividends in 3 years are forecast to be well covered by earnings (30.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.5yrs
Average management tenure
CEO
Bill Brown (57 yo)
9.17yrs
Tenure
US$16,498,515
Compensation
Mr. William M. Brown, also known as Bill, serves as Executive Chairman of L3Harris Technologies since April 25, 2014 and its Chief Executive Officer since November 1, 2011. Mr. Brown has been Director of L...
CEO Compensation Analysis
Compensation vs Market: Bill's total compensation ($USD16.50M) is above average for companies of similar size in the US market ($USD10.55M).
Compensation vs Earnings: Bill's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman & CEO | 9.17yrs | US$16.50m | 0.17% $ 69.9m | |
| Vice Chairman | 1.58yrs | US$15.93m | 0.038% $ 15.3m | |
| Senior VP & CFO | 1.5yrs | US$4.31m | 0.00056% $ 223.7k | |
| Senior VP | 10.25yrs | US$2.68m | 0.031% $ 12.3m | |
| President of Communication Systems | 5.5yrs | US$2.53m | 0.045% $ 17.8m | |
| President of Space & Airborne Systems | 5.5yrs | US$3.93m | 0.010% $ 4.0m | |
| President of Aviation Systems | 1.58yrs | US$5.82m | 0.0080% $ 3.2m | |
| VP & Principal Accounting Officer | 5.67yrs | no data | 0.0044% $ 1.7m | |
| VP & CTO | 3.42yrs | no data | no data | |
| VP & Chief Information Officer | no data | no data | no data | |
| Vice President of Investor Relations | no data | no data | no data | |
| Vice President of Internal Audit & Compliance | 13.83yrs | no data | no data |
5.5yrs
Average Tenure
57yo
Average Age
Experienced Management: LHX's management team is seasoned and experienced (5.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman & CEO | 9.17yrs | US$16.50m | 0.17% $ 69.9m | |
| Vice Chairman | 1.58yrs | US$15.93m | 0.038% $ 15.3m | |
| Independent Director | 19.42yrs | US$147.39k | 0.0016% $ 651.1k | |
| Independent Director | 2.75yrs | US$147.39k | 0.00077% $ 307.6k | |
| Independent Director | 1.58yrs | US$167.39k | 0.0054% $ 2.2m | |
| Lead Independent Director | 1.58yrs | US$164.89k | 0.11% $ 42.7m | |
| Independent Director | 18.92yrs | US$157.39k | 0.0073% $ 2.9m | |
| Independent Director | 4.25yrs | US$157.39k | 0.00063% $ 251.6k | |
| Independent Director | 1.58yrs | US$148.39k | 0.0098% $ 3.9m | |
| Independent Director | 1.58yrs | US$162.39k | 0.0065% $ 2.6m | |
| Independent Director | 1.58yrs | US$157.39k | 0.0011% $ 423.4k | |
| Independent Director | 8.42yrs | US$157.39k | 0.00067% $ 267.6k |
2.2yrs
Average Tenure
68yo
Average Age
Experienced Board: LHX's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
L3Harris Technologies, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: L3Harris Technologies, Inc.
- Ticker: LHX
- Exchange: NYSE
- Founded: 1895
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: US$39.942b
- Shares outstanding: 210.11m
- Website: https://www.l3harris.com
Number of Employees
Location
- L3Harris Technologies, Inc.
- 1025 West NASA Boulevard
- Melbourne
- Florida
- 32919
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| LHX | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| HRS | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| 0L3H | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| LHXT | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| L1HX34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 4 REPR 1 COM | BR | BRL | Jan 2020 |
Biography
L3Harris Technologies, Inc., an aerospace and defense technology company, provides mission-critical solutions for government and commercial customers worldwide. The company’s Integrated Mission Systems seg...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/20 00:23 |
| End of Day Share Price | 2021/01/19 00:00 |
| Earnings | 2020/10/02 |
| Annual Earnings | 2020/01/03 |
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.