L3Harris Technologies Inc (LHX) fair value: what the stock is really worth
As of Oct 22, 2026: fair value (intrinsic value) of L3Harris Technologies Inc stock $272, price $254, upside +7.1%, quality 62 out of 100. Rating: fairly valued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 22, 2026.
How to read this chart
60‑month range $152.25 – $373.85 · fair‑value band $204.22 – $362.18 · the $254.23 price screens below the $272.31 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 22, 2026.
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L3Harris Technologies, Inc. provides mission-critical solutions for government and commercial customers worldwide.
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It operates through three segments: Space & Mission Systems (SMS), Communications & Spectrum Dominance (CSD), and Missile Solutions (MSL). The SMS segment integrates satellite and payload capabilities, including missile warning and defense, with maritime, air special missions, and other global defense and civil government programs.
Its MSL segment unites propulsion, hypersonic, and other advanced missile technologies.
The CSD segment provides tactical radios, software, waveforms, satellite terminals, and end-to-end battlefield systems for the U.S. Department of Defense, international, federal, and state agency customers; broadband communications; integrated vision solutions, such as helmet-mounted integrated night vision goggles with image intensifier tubes and weapon-mounted sights, aiming lasers, and range finders; and public safety radios and system applications and equipment.
The company was formerly known as Harris Corporation and changed its name to L3Harris Technologies, Inc. in June 2019. L3Harris Technologies, Inc. was founded in 1895 and is headquartered in Melbourne, Florida.
Stock analysis
L3Harris Technologies Inc (LHX) currently trades at $254.23, while our model-based Fair Value estimate is $272.31, so the stock looks roughly fairly valued today (gap 6.6%).
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Valuation
Bull case: the DCF Models group reads highest at a median of $213.99 per share, and 3 of the 24 models we run sit above the $254.23 price.
Bear case: the Economic Profit group reads lowest at $70.77, and 21 of the 24 models stay below the price. Data coverage for this calculation is high.
Scenario range: $204.22 (bear) to $362.18 (bull), the price of $254.23 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 62/100 (solid quality), in the Industrials sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
L3Harris Technologies Inc reported revenue of $21.9B in FY2025 versus $17.8B in FY2021, a compound +5.3%/yr. Reported net income was $1.6B in FY2025, compounding −3.4%/yr from FY2021.
Key figures
Market cap $47.9B Large · P/E ratio 25.1 · P/S ratio 2.09 · EPS (TTM) $10.12 · Dividend yield 1.9% · Net margin 8.2% · Return on equity 9.3% · Return on assets (EBIT) 5.2%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 50 out of 100 (low confidence).
What moves the price
The share trades about 32% below its 52-week high and 9% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −26% fair-value upside, at 7%, LHX screens cheaper than that median.
Fair Value models
Bear$204.22Fair Value $272.31Bull$362.18
Price $254.23 · Upside +7.1%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($4.23 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.58/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+2.5%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+8.6%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+3.7%
Start year 2020 (pandemic). Over 10 years: +18.9% a year
Revenue growth 16 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+9.7%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: adjusted.
+20.5%
Earnings growth per share plus dividend.
Earnings per share, growth per year+18.6%
Dividend (yield on the price)1.9%
Per share before 2009divided by the spin-off factor 1.0584
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.10.5% vs 10.5%, steady
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.12% → 10%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes about as much growth as the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+6.4%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+6.6%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +4.0% a year for the price and +4.1% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (98 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
AI conclusion: The business draws strength from its THAAD contract and rising demand for rocket motors paired with new facility builds, yet thin public signals and moderate ROE leave limited visibility on sustained performance.
Main risk: Scaling production at the new facilities without delays or cost overruns risks hitting volumes and margins in the propulsion segment.
L3Harris is accelerating propulsion capacity through major facility builds in Arkansas and California alongside a multibillion-dollar THAAD contract to support missile defense and hypersonic programs. Demand for solid and liquid rocket motors is rising fast across defense customers, yet scaling production without delays or cost overruns will test execution. Will the expansions deliver higher volumes and margins or create integration hurdles that slow the business?
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Aerospace & Defense · 235 stocks
Beats the industry median on 10/14 measures
Overall it ranks above its industry peers.
Valuation
Quality Score62 · Above median
Fair Value upside+7.1% · Top 25%
Profitability
Return on equity (12 months)9.3% · Below median
Return on assets3.9% · Below median
Net margin (12 months)8.2% · Above median
Operating margin (12 months)12.6% · Above median
Growth and dividend
Revenue growth (quarter YoY)8.4% · Below median
Dividend yield (12 months)1.9% · Top 25%
Balance sheet
Debt / equity0.53× · Highest 25%
Valuation Multiplesvs Aerospace & Defense median · lower = cheaper
P/E (12 months)25.1× · Cheaper than median
P/B2.44× · book value is mostly goodwill ⓘGoodwill and other intangible assets are larger than the equity. The book value mainly reflects prices paid for past acquisitions, so we do not rank this P/B against the peer group.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is L3Harris Technologies Inc (LHX) overvalued or undervalued?
As of Oct 22, 2026, our model estimates a fair value of $272.31 versus a price of $254.23, about +7% upside (fairly valued).
What is the fair value of LHX?
Our model-based fair value for L3Harris Technologies Inc is $272.31 (as of Oct 22, 2026), built from audited fundamentals. The current price: $254.23.
What is the quality score of LHX?
L3Harris Technologies Inc has a Quality Score of 62/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for L3Harris Technologies Inc (LHX)?
Our model-based price target is the fair value of $272.31 (as of Oct 22, 2026) from 24 valuation models. Cautious scenario $204.22, optimistic scenario $362.18. It is a calculation from audited fundamentals, not an analyst target.
What is the L3Harris Technologies Inc stock forecast for 2026?
Our models put fair value at $272.31, about +7% upside versus a price of $254.23 (fairly valued). Cautious scenario $204.22, optimistic scenario $362.18. The calculation is refreshed regularly with new filings.
What is the revenue of L3Harris Technologies Inc (LHX)?
L3Harris Technologies Inc reported trailing-twelve-month revenue of about $22.9B (latest available figure, as of Oct 22, 2026).
Does L3Harris Technologies Inc pay a dividend?
L3Harris Technologies Inc currently shows a dividend yield of 1.93% relative to its recent price (as of Oct 22, 2026).
What growth is priced into L3Harris Technologies Inc (LHX)?
For today's price to be fair in a discounted-cash-flow model, L3Harris Technologies Inc would have to grow free cash flow by +6.4 % per year for five years (discount rate 8.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +3.7 % per year. As of Oct 22, 2026.
What discount rate (WACC) does the fair value of LHX use?
Our models discount L3Harris Technologies Inc at 8.1 %: a base by market capitalisation (large), damped by beta 0.51, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For L3Harris Technologies Inc that is +6.4 % per year a year over ten years, using the same discount rate (8.1 %) and the same formula as our fair value.
How much growth has L3Harris Technologies Inc (LHX) delivered so far?
Over the past 5 years revenue at L3Harris Technologies Inc grew +3.7 % a year. The price currently implies +6.4 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of L3Harris Technologies Inc (LHX) growing?
The median revenue growth in the sector is +7.5 % a year. That is the yardstick for the growth priced into L3Harris Technologies Inc (+6.4 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of L3Harris Technologies Inc (LHX)?
The free-cash-flow yield on the price is 5.60 %: that much free cash flow L3Harris Technologies Inc produces per unit of market value. When it exceeds the discount rate of our models (8.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of L3Harris Technologies Inc (LHX)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For L3Harris Technologies Inc it is $272.31 per share (as of Oct 22, 2026), against a price of $254.23. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is L3Harris Technologies Inc stock overvalued or undervalued in 2026?
As of Oct 22, 2026, LHX trades below its calculated fair value: price $254.23, fair value $272.31, a gap of about +7% (fairly valued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of LHX?
No. The price is what the market pays today ($254.23); the fair value is what the company's own numbers justify ($272.31). For L3Harris Technologies Inc the two are $18.08 per share apart. That gap is exactly why we show both numbers side by side.
How much is L3Harris Technologies Inc worth?
The market values L3Harris Technologies Inc at about $47.9B (market capitalisation, as of Oct 22, 2026). Per share that is $254.23; our models calculate a fair value of $272.31 per share.
What do the bullish and bearish scenarios say about LHX?
Our models span a range for L3Harris Technologies Inc: cautious scenario $204.22, base $272.31, optimistic $362.18 per share (as of Oct 22, 2026, price $254.23). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of LHX?
L3Harris Technologies Inc trades at a price-to-earnings ratio of 25.1 (as of Oct 22, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $272.31 is built from several models across several years. Excluding one-off items of fiscal year 2025 it is 25.4 (reported for FY2025: 29.8). Other multiples: PEG 1.2, P/B 2.4, P/S 2.1, EV/EBITDA 13.8.
What is the PEG ratio of LHX?
The PEG ratio of L3Harris Technologies Inc is 1.19 (P/E divided by earnings growth, as of Oct 22, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of L3Harris Technologies Inc (LHX)?
Balance-sheet figures for L3Harris Technologies Inc (as of Oct 22, 2026): return on equity 9.3%, debt of 0.53 per unit of equity. They feed the Quality Score of 62/100, which measures business quality independently of the share price.
How far is LHX from its 52-week high?
L3Harris Technologies Inc trades at $254.23, about 32% below its 52-week high of $373.85 and 9% above the low of $233.63 (as of Oct 22, 2026). Distance from the high says nothing about value: that is what the fair value of $272.31 is for.
Which stocks are comparable to L3Harris Technologies Inc?
From the same area (Industrials) we also value General Electric Company, RTX Corporation, Lockheed Martin Corporation, General Dynamics Corporation, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is L3Harris Technologies Inc stock attractive at the current price?
The data as of Oct 22, 2026: price $254.23, calculated fair value $272.31 (+7%), Quality Score 62/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of LHX calculated?
We run L3Harris Technologies Inc through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $272.31, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.2 % above its aggregate fair value. L3Harris Technologies Inc currently trades 7 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of L3Harris Technologies Inc (LHX)?
The closing price on Oct 22, 2026 was $254.23. Our model-based fair value is $272.31, about +7% upside (fairly valued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with L3Harris Technologies Inc right now?
The price sits close to our fair value, market and models broadly agree here, little valuation tension. The price sits in the lower half of our model range, the side with the larger margin of safety. The data supports the verdict: every model runs on fully documented inputs.
Where does the earnings growth of L3Harris Technologies Inc (LHX) come from?
Earnings per share at L3Harris Technologies Inc grew +8.9 % a year from 2014 to 2025. Broken into its drivers: revenue per share +10.7 %, EBIT margin −6.4 %, tax rate +3.8 %, residual (interest, one-offs) +1.3 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of L3Harris Technologies Inc
How large is the market capitalisation of L3Harris Technologies Inc (LHX)?
The market capitalisation of L3Harris Technologies Inc is $47.9B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of L3Harris Technologies Inc (LHX)?
The price-to-sales ratio of L3Harris Technologies Inc is 2.09 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of L3Harris Technologies Inc (LHX)?
Earnings per share at L3Harris Technologies Inc are $10.12 (price ÷ EPS = P/E 25.1). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of L3Harris Technologies Inc (LHX)?
The dividend yield of L3Harris Technologies Inc is 1.9% (payout 41.2%, on adjusted earnings, reported 48.4%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of L3Harris Technologies Inc (LHX)?
The net margin of L3Harris Technologies Inc is 8.2% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of L3Harris Technologies Inc (LHX)?
The return on equity (ROE) of L3Harris Technologies Inc is 9.3% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of L3Harris Technologies Inc (LHX)?
On an EBIT basis the return on assets of L3Harris Technologies Inc is 5.2% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of L3Harris Technologies Inc (LHX)?
The operating margin of L3Harris Technologies Inc is 12.6% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at L3Harris Technologies Inc (LHX)?
Revenue at L3Harris Technologies Inc is growing +8.4% versus a year earlier (3y avg +8.6%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at L3Harris Technologies Inc (LHX)?
Earnings per share at L3Harris Technologies Inc are growing +28.3% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does L3Harris Technologies Inc (LHX) carry?
The net debt of L3Harris Technologies Inc is $9.4B (fiscal year 2025, ≈ 3.5 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Oct 22, 2026