3 models fit L3Harris Technologies Inc. Common Stock and they disagree: 1 of 3 land within 15% of the average.
Two or more of our models back this value.
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Valued as a growth company: Discounted cash flow, P/E comparison, and EV/EBITDA comparison.
ACCE opinionL3Harris Technologies Inc. Common Stock (LHX)
Fair value (3 models)
$210
ACCE price target
$245
Rating
Overvalued
Horizon
12 months
Fair value published on 18 Oct 2026, 17:04 CEST; previously $244 since 15 Oct 2026, 00:00 CEST.
ACCE price target published on 3 Oct 2026, 00:00 CEST.
Rating published on 18 Oct 2026, 17:04 CEST.
Price used: $254 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow, P/E comparison, and EV/EBITDA comparison.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
21.2% above
-17.5% to fair value
ACCE score
55
out of 100
Analysts
60% buy
20 covering
P/E
24.9x
forward 17.9x
1-year return
-13.4%
Dividend yield
1.98%
L3Harris Technologies Inc. Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
L3Harris makes tactical radios, electronic warfare and space sensing payloads, and missile seeker components, selling most of it to the US Department of Defense and its allies. Its edge is incumbency: the Harris communications franchise sits in soldier-carried and vehicle radio networks that are expensive and slow to replace, which supports the 8.4% revenue growth it posted. The near-term driver is demand for resilient battlefield communications and space-based missile tracking, where the company's sensor and payload work is positioned for multi-year government programs. At 17.9 times forward earnings against 24.2 times trailing, the market is pricing in a meaningful earnings step-up, so the case rests on margin delivery: a 12.6% operating margin and 9.3% return on equity are solid for a prime but leave little room for execution slips on fixed-price contracts. The composite score of 53 out of 100 says this is a name that earns a deeper look on the program backlog and margin trajectory, not a conclusion.
The ACCE Defense & Aerospace index NAV sits at 993.22 with GD, LHX, NOC, RTX, and LMT each holding 15-17% weight. Here's what the structure signals for 2026.
ACCE Defense & Aerospace index sits at NAV 982.02 with GD, HII, NOC, LHX, LMT, and RTX each holding 14-17% weights. Here's what drives the construction.
The six defense primes behind 94% of our Defense and Aerospace index, including LMT, RTX, NOC and GD, ranked on fundamentals as the FY2026 budget tops $900B.