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L3Harris Technologies, Inc. (LHX), headquartered in Melbourne, Florida, is a leading global aerospace and defense technology innovator. With a market cap of $39.8 billion, L3Harris provides advanced solutions that support mission-critical operations across air, land, sea, space, and cyber domains. Known for its focus on innovation, operational excellence, and sustainability, L3Harris is set to report its fourth-quarter earnings on Thursday, Jan. 23.
Ahead of the event, analysts expect L3Harris to report a profit of $3.45 per share, up 3% from $3.35 in the year-ago quarter. Moreover, the company has consistently surpassed Wall Street’s adjusted EPS projections in each of the past four quarters.
Its adjusted earnings of $3.34 per share for the last quarter surpassed the consensus estimate by 2.1%. L3Harris's earnings beat was driven by operational efficiencies and robust demand.
For fiscal 2024, analysts expect L3Harris to report an adjusted EPS of $13.09, up 5.9% from $12.36 in fiscal 2023. In fiscal 2025, its adjusted EPS is expected to grow 9.2% to $14.29.
Shares of L3Harris have dropped marginally over the past year, significantly lagging behind the S&P 500 Index’s ($SPX) 26.3% gains and the Industrial Select Sector SPDR Fund’s (XLI) 19.4% returns in the same timeframe.
LHX stock declined by over 3% on Nov. 25 amid reports of a potential cease-fire between Israel and Hezbollah, which put pressure on defense stocks.
Earlier, on Oct. 24, the stock climbed over 3.5% following its strong Q3 earnings results. The company experienced robust demand and achieved a 7.7% year-over-year increase in total revenues, reaching $5.3 billion, driven by strong organic growth. It also raised its 2024 revenue guidance from $21.1 billion to $21.3 billion.
The consensus opinion on LHX stock is moderately bullish, with an overall “Moderate Buy” rating. Out of the 20 analysts covering the stock, 13 recommend a “Strong Buy,” six advise a “Hold,” and one suggests a “Strong Sell.”
LHX's average analyst price target is $274.52, indicating a potential upside of 30.9% from the current levels.
