ScoreWhy is L3Harris Technologies, Inc. ?
1
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD 2,507 MM
- ROCE(HY) Highest at 8.9%
- INVENTORY TURNOVER RATIO(HY) Highest at 12.35 times
2
With ROCE of 7.12%, it has a fair valuation with a 1.86 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 26.65%, its profits have risen by 1.1% ; the PEG ratio of the company is 12.9
3
Market Beating Performance
- The stock has generated a return of 26.65% in the last 1 year, much higher than market (S&P 500) returns of 14.11%
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to L3Harris Technologies, Inc. should be less than 10%
- Overall Portfolio exposure to Aerospace & Defense should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Aerospace & Defense)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is L3Harris Technologies, Inc. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
L3Harris Technologies, Inc.
18.48%
1.40
22.15%
S&P 500
25.41%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.74%
EBIT Growth (5y)
3.18%
EBIT to Interest (avg)
5.77
Debt to EBITDA (avg)
2.84
Net Debt to Equity (avg)
0.61
Sales to Capital Employed (avg)
0.66
Tax Ratio
8.66%
Dividend Payout Ratio
56.31%
Pledged Shares
0
Institutional Holding
92.84%
ROCE (avg)
7.44%
ROE (avg)
9.66%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
37
Industry P/E
Price to Book Value
3.26
EV to EBIT
31.81
EV to EBITDA
20.87
EV to Capital Employed
2.49
EV to Sales
3.40
PEG Ratio
6.20
Dividend Yield
1.43%
ROCE (Latest)
7.83%
ROE (Latest)
8.76%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 3,053 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 54.71 %
INVENTORY TURNOVER RATIO(HY)
Highest at 14.07 times
DIVIDEND PER SHARE(HY)
Highest at USD 4.17
INTEREST COVERAGE RATIO(Q)
Highest at 716.18
NET SALES(Q)
Highest at USD 5,744 MM
OPERATING PROFIT(Q)
Highest at USD 974 MM
OPERATING PROFIT MARGIN(Q)
Highest at 16.96 %
PRE-TAX PROFIT(Q)
Highest at USD 619 MM
NET PROFIT(Q)
Highest at USD 538.08 MM
EPS(Q)
Highest at USD 2.72
-3What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)
Lowest at 45.92%
RAW MATERIAL COST(Y)
Grown by 5.58% (YoY
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.17 times
Here's what is working for L3Harris Technologies, Inc.
Operating Cash Flow
Highest at USD 3,053 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Interest Coverage Ratio
Highest at 716.18
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio
Lowest at 54.71 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 14.07 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Dividend per share
Highest at USD 4.17 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Net Sales
Highest at USD 5,744 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 974 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 16.96 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 619 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 538.08 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 2.72
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Here's what is not working for L3Harris Technologies, Inc.
Debtors Turnover Ratio
Lowest at 4.17 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Dividend Payout Ratio
Lowest at 45.92%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Grown by 5.58% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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