L3Harris Technologies: Evaluating Valuation After VAMPIRE Upgrades and New U.S. Army Contract

L3Harris Technologies (LHX) is in the spotlight after revealing important upgrades to its VAMPIRE system. The system is now tailored for land, maritime, air, and electronic warfare missions. The company also landed a $24 million U.S. Army contract for next-generation communications devices.

See our latest analysis for L3Harris Technologies.

L3Harris Technologies’ steady drumbeat of new contracts and tech upgrades has caught the market’s attention, with the share price climbing 41% so far this year. While last week saw a brief pullback, the company’s momentum remains intact. Its 21% one-year total shareholder return underscores both investor confidence and ongoing execution.

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Yet with L3Harris Technologies’ strong run and rapid innovation, are investors looking at a bargain with further upside, or has the current share price already accounted for all the company’s future growth potential?

Most Popular Narrative: 5% Undervalued

L3Harris Technologies finished at $292.34, while the most widely tracked consensus narrative pegs its fair value at $309.11. There is a clear gap, and the reasoning behind it is drawing in attention from both bulls and skeptics.

Expanded mandatory defense funding and sustained international defense spending are seen as positive catalysts for an extended period of growth in the company’s addressable market. Improving budget trends and expectations for solid sector performance in upcoming reporting periods provide support for elevated valuation levels.

Read the complete narrative.

Curious about the dramatic assumptions fueling this price target? The full narrative uncovers critical projections on revenues, earnings power, and why profitability could climb higher than many expect. If you want to know what makes the numbers tick, do not miss out on the granular details only revealed in the complete story.

Result: Fair Value of $309.11 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent margin volatility and reliance on external contractors could quickly unwind the bullish momentum if key execution hurdles remain unresolved.

Find out about the key risks to this L3Harris Technologies narrative.

Build Your Own L3Harris Technologies Narrative

If you would rather chart your own course through the numbers, you can review the latest figures and assemble a narrative in just a few minutes. Do it your way.

A great starting point for your L3Harris Technologies research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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