L3Harris Technologies is a top defense contractor. So one would expect it's doing well amid the continuing war in Ukraine and an increasingly embattled Israel.
L3Harris continues putting up steady though not spectacular sales and profit growth numbers. Its stock is approaching a 2-1/2-year high, earning it a significant IBD rating upgrade Monday. L3Harris stock's Relative Strength Rating climbed to 82, topping a key benchmark in the process.
The upgraded 82 score shows that L3Harris ranks in the top 18% of all stocks for price performance this past year. It's notable because market research shows that top-performing stocks often have an RS Rating above 80 in the early stages of their moves.
L3Harris Is A Prolific Aerospace/Defense Systems Maker
Melbourne, Fla.-based L3Harris Technologies makes a wide variety of aerospace/defense products including aircraft surveillance systems, cockpit voice and data recorders, displays and navigation systems. Also, space-based missile warning systems, engines for NASA's next-generation heavy-lift launch vehicle, its Space Launch System (SLS) and many more.
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Among its other ratings L3Harris has a decent 71 EPS Rating and a strong 88 Composite Rating, putting it in the top 12% of all stocks overall. Still, investors who use The IBD Methodology prefer stocks with a 90 or higher Composite. Bullishly, it has a B+ Accumulation/Distribution Rating, showing that big funds are fairly heavy buyers of its stock.
L3Harris stock is still inside a buy range after climbing above a 245.59 entry in a flat base on Oct. 1. Monday afternoon L3Harris stock traded at about 250, down more than 1% for the day but up about 55% in the past year, according to MarketSurge data.
Steady, Though Not Spectacular, Growth
Last Friday, the aerospace/defense company reported 5% third quarter EPS growth to $3.34 per share, while sales grew 8% to $5.29 billion. The prior three stanzas its EPS grew 2%, 7% and 9% on revenue growth of 17%, 17% and 13%.
The company earns the No. 17 rank among its peers in the 72-stock Aerospace/Defense industry group. Heico, M-tron Industries and Howmet Aerospace are among the top five highly rated stocks in the group.
IBD's proprietary Relative Strength Rating tracks price performance with a 1 (worst) to 99 (best) score. The grade shows how a stock's price performance over the last 52 weeks holds up against all the other stocks in our database.
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