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L3harris Technologies, Inc.
LHX
Search, Detection, Navigation, Guidance, Aeronautical Sys
Mkt Cap
$41.57BPE
36.34Debt
$13.71BCash
$477MEV
$54.8BFCF
$1.149BP/E Ratio
36.34Debt
$13.71BCash
$477MEV
$54.8BFCF
$1.149BCharts data: {"Earnings":[{"time":"2014-06-26","value":534200000},{"time":"2015-07-02","value":334000000},{"time":"2016-06-30","value":324000000},{"time":"2017-06-29","value":553000000},{"time":"2018-06-28","value":718000000},{"time":"2020-12-31","value":1086000000},{"time":"2021-12-30","value":1842000000},{"time":"2022-12-29","value":1061000000},{"time":"2023-12-28","value":1198000000}],"Sales":[{"time":"2014-06-26","value":5012000000},{"time":"2015-07-02","value":5083000000},{"time":"2016-06-30","value":5992000000},{"time":"2017-06-29","value":5900000000},{"time":"2018-06-28","value":6182000000},{"time":"2020-12-31","value":18194000000},{"time":"2021-12-30","value":17814000000},{"time":"2022-12-29","value":17062000000},{"time":"2023-12-28","value":19419000000}],"Net Margins":[{"time":"2014-06-26","value":0.10658419792498004},{"time":"2015-07-02","value":0.06570922683454652},{"time":"2016-06-30","value":0.0540720961281709},{"time":"2017-06-29","value":0.09372881355932203},{"time":"2018-06-28","value":0.11614364283403429},{"time":"2020-12-31","value":0.059690007694844456},{"time":"2021-12-30","value":0.1034018187942068},{"time":"2022-12-29","value":0.06218497245340523},{"time":"2023-12-28","value":0.061692157165662495}],"Assets":[{"time":"2014-06-26","value":4931200000},{"time":"2015-07-02","value":13129000000},{"time":"2016-06-30","value":11996000000},{"time":"2017-06-29","value":10090000000},{"time":"2018-06-28","value":9839000000},{"time":"2020-12-31","value":36960000000},{"time":"2021-12-30","value":34709000000},{"time":"2022-12-29","value":33524000000},{"time":"2023-12-28","value":41687000000}],"Stockholders Equity":[{"time":"2014-06-26","value":1826000000},{"time":"2015-07-02","value":3402000000},{"time":"2016-06-30","value":3057000000},{"time":"2017-06-29","value":2928000000},{"time":"2018-06-28","value":3322000000},{"time":"2020-12-31","value":20841000000},{"time":"2021-12-30","value":19319000000},{"time":"2022-12-29","value":18624000000},{"time":"2023-12-28","value":18829000000}],"ROE":[{"time":"2014-06-26","value":0.292552026286966},{"time":"2015-07-02","value":0.09817754262198707},{"time":"2016-06-30","value":0.10598626104023552},{"time":"2017-06-29","value":0.18886612021857924},{"time":"2018-06-28","value":0.21613485851896447},{"time":"2020-12-31","value":0.05210882395278538},{"time":"2021-12-30","value":0.09534655002846938},{"time":"2022-12-29","value":0.05696950171821306},{"time":"2023-12-28","value":0.06362525890912954}],"ROA":[{"time":"2014-06-26","value":0.18028066190785205},{"time":"2015-07-02","value":0.046233528829309166},{"time":"2016-06-30","value":0.087945981993998},{"time":"2017-06-29","value":0.10673934588701685},{"time":"2018-06-28","value":0.11403597926618558},{"time":"2020-12-31","value":0.07267316017316017},{"time":"2021-12-30","value":0.09628626581002045},{"time":"2022-12-29","value":0.054468440520224315},{"time":"2023-12-28","value":0.03420730683426488}]}
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 segment provides multi-mission intelligence, surveillance, and reconnaissance (ISR) systems; and communication systems, as well as fleet management support, sensor development, modification, and periodic depot maintenance services for ISR and airborne missions. It also manufactures and integrates mission systems for maritime platforms, such as signals intelligence and multi-intelligence platforms; unmanned surface and undersea autonomous solutions; and power and platform control systems and other electronic and electrical products and systems. In addition, this segment offers advanced electro-optical and infrared solutions. Its Space and Airborne Systems segment offers space payloads, sensors, and full-mission solutions; classified intelligence and cyber defense solutions; mission avionics; and electronic warfare systems. The company's Communication Systems segment provides broadband communications; tactical radios, software-defined radios for key DoD network modernization programs and satellite communication terminals, and battlefield management networks for U.S. and international defense customers; integrated vision solutions, including helmet-mounted integrated night vision goggles; heads up displays along with Clip-on Weapon Sights, and weapon-mounted 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.
DCF
Discounted Cash Flow Valuation of L3harris Technologies, Inc.
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $1.149B | $1.357B | $1.583B | $1.823B | $2.073B | $2.327B | $2.579B | $2.821B | $3.044B | $3.24B | $3.402B | $34.02B |
| DCF | $1.18B | $1.197B | $1.199B | $1.185B | $1.157B | $1.115B | $1.06B | $995M | $921.1M | $841M | $8.41B | |
| Value | $19.26B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 24%
Earnings Stability 55%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 06-2014 | 07-2015 | 06-2016 | 06-2017 | 06-2018 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 11% | 6.6% | 5.4% | 9.4% | 12% | 6% | 10% | 6.2% | 6.2% | 5.7% |
| ROA | 18% | 4.6% | 8.8% | 11% | 11% | 7.3% | 9.6% | 5.4% | 3.4% | 3.4% |
| ROE | 29% | 9.8% | 11% | 19% | 22% | 5.2% | 9.5% | 5.7% | 6.4% | 6.1% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +8.28%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is -0.8%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +7.97%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is -1.48%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +11.22%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is -3.03%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 06-2014 | 07-2015 | 06-2016 | 06-2017 | 06-2018 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | - | 7.50 | 6.33 | 10.00 | 6.58 | 2.86 | 3.01 | 4.12 | 7.97 | 11.93 |
| Debt Equity | 0.90 | 1.56 | 1.60 | 1.54 | 1.22 | 0.33 | 0.37 | 0.42 | 0.70 | 0.73 |
| MIN | ||||||||||
| Graham Stability | - | - | - | 100% | 100% | 100% | 100% | 87% | 90% | 87% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 11.93.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -0.50.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.87.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 07-2015 | 06-2017 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 21% | 27% | 2.2% | 14% | 2% |
| Net Income | 20% | 17% | 3.3% | 13% | 2.1% |
| Stockholders Equity | 28% | 45% | -3.3% | 1.1% | -0.7% |
| FCF | 13% | 30% | -12% | -14% | 0.78% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +26.9%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +1.95%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +16.72%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is +2.07%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +45.09%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is -0.7%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +29.63%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +0.78%.