Zacks Premium and Style Scores - Zacks Premium offers daily updates of Zacks Rank and Zacks Industry Rank, full access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens to help investors make informed decisions [1] - Zacks Style Scores are complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days, with ratings from A to F based on value, growth, and momentum characteristics [3] - The Style Scores are divided into four categories: Value Score, Growth Score, Momentum Score, and VGM Score, which combines all three styles [4][5][6][7] Zacks Rank and Style Scores Integration - Zacks Rank uses earnings estimate revisions to build a winning portfolio, with 1 (Strong Buy) stocks producing an average annual return of +25.41% since 1988, more than double the S&P 500 [8][9] - To maximize returns, investors should consider stocks with a Zacks Rank 1 or 2 and Style Scores of A or B, as these have the highest probability of success [10] - Stocks with a 3 (Hold) rank should also have Style Scores of A or B to ensure upside potential, while stocks with 4 (Sell) or 5 (Strong Sell) ratings, even with high Style Scores, are likely to decline due to downward-trending earnings forecasts [11][12] L3Harris Technologies (LHX) Analysis - L3Harris Technologies, Inc was formed in 2019 through the merger of L3 Technologies and Harris Corporation and operates in aerospace and defense, with four major business segments following the acquisition of Aerojet Rocketdyne in 2023 [13] - LHX has a Zacks Rank of 3 (Hold) and a VGM Score of B, with a Momentum Style Score of A and shares up 1% over the past four weeks [14] - For fiscal 2024, five analysts revised their earnings estimates upwards in the last 60 days, increasing the Zacks Consensus Estimate by $0.03 to $13.09 per share, with an average earnings surprise of 2.8% [14][15]

Company and Industry Overview * **Company**: L3Harris Technologies, Inc. (NYSE:LHX) * **Market Cap**: $50 billion * **Industry**: Aerospace & Defense * **Focus**: Trusted disruptor in the industry, delivering advanced capabilities for U.S. industry allies, leading industry operating margins, mid-teens and trending higher. Key Growth Drivers * **Space**: Significant growth with over 40 satellite contracts awarded by the Space Development Agency. * **Air**: Flattish industry growth, but focus on electronic warfare and components. * **Navy and Maritime**: Growth area with focus on autonomy, including autonomous surface and autonomous undersea vehicles. * **Land**: Networks, radios, and night vision goggles. * **Cyber**: $1 billion cyber business growing well over the last few years. * **Aerojet Rocketdyne**: Acquisition driving growth, with significant demand and investments in new facilities. Business Model and Strategy * **Commercial Business Model**: Selling to the government in a commercial-like manner, reducing regulations and streamlining the acquisition process. * **Agile and Responsive**: Positioning the company to rapidly respond to changing threats or budget dynamics. * **Innovation**: Investing in venture capital, strategic partnerships (e.g., Palantir), and technology development. Communications Systems * **Tactical Radios**: Significant growth opportunities with a $10 billion pipeline of opportunities. * **Software-Defined Radios**: Focus on software and network capabilities, with a new go-to-market approach. * **Interoperability**: High demand for interoperable hardware, particularly in Europe. Aerojet Rocketdyne * **Demand**: Significant demand for solid rocket motors, with high demand and investments in new facilities. * **Supply Chain**: Addressing supply chain challenges through long-term agreements and investments in new facilities. * **Employee Morale**: High employee satisfaction and retention rates. LHX NeXt * **Cost Savings**: Targeting $1 billion in run rate savings by 2026, with $600 million expected in 2024. * **Transformation**: Transforming the business function by function, investing in technology, and streamlining operations. * **Employee Engagement**: High employee engagement and motivation. Future Outlook * **Revenue**: Targeting $23 billion in sales by 2026. * **Margins**: Targeting at least 16% margins by 2026. * **Free Cash Flow**: Targeting $2.8 billion of free cash flow per share by 2026. * **Innovation**: Embracing new entrants and technology to disrupt the industry.

L3Harris Technologies NYSE: LHX has many factors in its favor to provide ample tailwind for share prices, including Donald Trump. His defense policies were a boon to the defense industry during the first administration and will likely do so again. The opportunity for investors is that the stock outperformed in a bullish market and will likely do so again. The stock rose by 100% from November 2016 through November 2020 and is on track to set new highs in 2024 and 2025.  Get L3Harris Technologies alerts:L3Har ...

Group 1 - L3Harris Technologies, Inc. is highlighted as a high-conviction dividend investment, showcasing its strong qualities as a diversified defense contractor [1] - The article emphasizes the beneficial long position held by the analyst in L3Harris Technologies and RTX, indicating confidence in these stocks [1] Group 2 - The article does not provide specific financial metrics or performance data for L3Harris Technologies, focusing instead on qualitative aspects of the company [2]

L3Harris Technologies Inc LHX stock is trading higher after the company reported better-than-expected third-quarter financial results.On Thursday, L3Harris reported third-quarter revenue of $5.3 billion, up by 8%, topping the analyst consensus of $5.28 billion. The defense contractor reported adjusted EPS of $3.34, above consensus estimates of $3.26.Also Read: What’s Going On With Nvidia, AMD And Other Chip Stocks On Friday?L3Harris revised its full-year 2024 revenue guidance from $21 billion—$21.3 billion ...

Financial Data and Key Metrics Changes - The company achieved consolidated revenue growth of 8% in Q3 2024, with operating margins improving to 15.7%, a 70 basis point increase driven by program execution and operational performance [14][15]. - Non-GAAP EPS grew by 5%, and on a pension-adjusted basis, EPS increased by 8%, positioning the company to achieve the top end of its full-year guidance range of 9% to 11% pension-adjusted EPS growth [15][19]. - Free cash flow generated was over $700 million, with adjusted free cash flow of $728 million, primarily driven by increased operating income and effective working capital management [16]. Business Line Data and Key Metrics Changes - The Communications segment reported a revenue increase of 10%, supported by domestic and international demand for resilient communications equipment and higher volumes for night vision devices [16][18]. - The Integrated Mission Systems (IMS) segment saw a revenue increase of 7% year-over-year, driven by higher volumes of avionics products and advanced electronics for space and munitions programs [17]. - The Space and Airborne Systems (SAS) segment's revenue was flat due to the divestiture of the antenna business and lower F-35 related volumes, but classified program growth in Intel and cyber partially offset these declines [17]. Market Data and Key Metrics Changes - The company secured a $600 million Next Generation Jammer contract, establishing a long-term jamming franchise worth billions in high-margin production [9]. - A $1.2 billion IDIQ contract with the U.S. Navy for the P-8A Poseidon fleet was awarded, strengthening relationships within the ISR sector [10]. - International contracts for software-defined tactical radios by NATO allies totaled over $400 million, highlighting strong international demand [10][11]. Company Strategy and Development Direction - The company is focused on profitable growth, emphasizing a strategy that prioritizes returns and cash generation rather than growth for growth's sake [5][6]. - Key acquisitions, including Aerojet Rocketdyne, and divestitures of non-core assets have refined the company's portfolio to reinforce its national security focus [4]. - A strategic partnership with Palantir was announced to enhance capabilities in AI and data management, aligning with the White House's directive to increase AI usage in defense [5][31]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a 2026 framework of $23 billion in revenue, at least 16% segment operating margin, and $2.8 billion in free cash flow, with expectations for growth rates in 2026 to exceed those of 2025 [13]. - The company anticipates continued strong demand across all segments, with a record backlog of $34 billion and a book-to-bill ratio of 1.4 [14]. - Management highlighted the importance of agility and responsiveness in meeting customer needs in a complex global threat environment [20][21]. Other Important Information - The company is on track to exceed its 2024 run rate cost savings target of $400 million, now expecting to achieve at least $600 million by year-end [6][7]. - The LHX NeXt program is transforming operations, focusing on supply chain management and modernizing digital infrastructure [7][8]. - The company is committed to maintaining a disciplined approach to bidding and cost management to enhance margins across all segments [43][44]. Q&A Session Summary Question: What are the biggest drivers of the acceleration in organic growth from '24 to '26? - Management indicated that a record backlog and alignment with U.S. budget priorities will support growth, with significant opportunities in the Communications segment and international markets [22][23]. Question: Can you elaborate on the cost reduction efforts and their impact on margins? - Management confirmed that they are on track to achieve the $1 billion cost reduction target ahead of schedule, which is expected to positively impact margins in 2025 [24][26]. Question: What is the strategic rationale behind the partnership with Palantir? - The partnership aims to leverage complementary capabilities without upfront investment, enhancing operational efficiency and data-driven decision-making [30][31]. Question: How is the company positioned in the solid rocket motors market amid new entrants? - Management expressed confidence in maintaining and growing market share, citing strong demand and ongoing investments to increase production capacity [51][53]. Question: What is the outlook for the night vision goggles business? - Management is optimistic about the night vision goggles, noting that funding is now included in the budget, which is a positive change from previous years [39][40].

Core Viewpoint - L3Harris Technologies, Inc. reported strong third-quarter 2024 results with adjusted earnings per share of $3.34, exceeding estimates and showing year-over-year growth, driven by solid revenue and operating income growth [1][2]. Financial Performance - Adjusted earnings per share of $3.34 beat the Zacks Consensus Estimate of $3.27 by 2.1% and increased 4.7% from $3.19 in the same quarter last year [1] - Total revenues reached $5.29 billion, slightly missing the consensus estimate by 0.5%, but reflecting a 7.7% increase from $4.92 billion year-over-year [2] - GAAP earnings were reported at $2.10 per share, up from $2.02 in the prior-year period [1] Revenue Drivers - The revenue increase was attributed to the acquisition of Aerojet Rocketdyne and organic growth of 5%, primarily from resilient communication products and night vision devices [2] - Integrated Mission Systems segment revenues grew 6.6% to $1.67 billion, driven by higher aircraft missionization volumes and advanced electronics demand [3] - Communication Systems segment revenues increased 10.1% to $1.38 billion, supported by strong demand for communication equipment and night vision devices [4] Segment Performance - Space and Airborne Systems segment revenues were nearly flat at $1.68 billion, impacted by the divestiture of the antenna business [3] - Aerojet Rocketdyne segment reported a 31% revenue increase to $596 million, with operating income rising to $75 million from $56 million [4] Financial Position - As of September 27, 2024, L3Harris had $539 million in cash and cash equivalents, down from $560 million at the end of 2023 [5] - Long-term debt decreased to $11.09 billion from $11.16 billion [6] - Net cash flow from operating activities was $1.43 billion for the first nine months of 2024, compared to $1.31 billion in the prior-year period [6] Guidance - L3Harris updated its 2024 revenue guidance to a range of $21.10-$21.30 billion, with adjusted earnings expected between $12.95-$13.15 per share [7] - The adjusted segment operating margin is now expected to be 15.5%, an increase from the previous guidance [7] Market Position - L3Harris currently holds a Zacks Rank 3 (Hold), indicating a stable outlook in the market [8]

L3Harris (LHX) reported $5.29 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 7.7%. EPS of $3.34 for the same period compares to $3.19 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $5.32 billion, representing a surprise of -0.45%. The company delivered an EPS surprise of +2.14%, with the consensus EPS estimate being $3.27.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Stree ...

L3Harris (LHX) came out with quarterly earnings of $3.34 per share, beating the Zacks Consensus Estimate of $3.27 per share. This compares to earnings of $3.19 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 2.14%. A quarter ago, it was expected that this technology and communications company would post earnings of $3.18 per share when it actually produced earnings of $3.24, delivering a surprise of 1.89%.Over the last four qu ...

Exhibit 99.1 Earnings Release L3Harris Technologies Reports Strong Third Quarter 2024 Results, Increases 2024 Guidance Highlights* • Orders of $7.2 billion; book-to-bill of 1.4x • Revenue of $5.3 billion, up 8%, and 5% organically • Operating margin of 9.4%; adjusted segment operating margin of 15.7% • Diluted earnings per share (EPS) of $2.10; non-GAAP diluted EPS of $3.34 • 2024 revenue guidance range increased to $21.1B - $21.3B • 2024 adjusted segment operating margin guidance increased to ~15.5% • 2024 ...