L3Harris stock target raised to $273 by Bernstein SocGen

On Monday, L3Harris Technologies (NYSE:LHX) saw its price target increased by Bernstein SocGen Group from the previous $267.00 to $273.00, while the Outperform rating was maintained. The revision follows the company’s first-quarter earnings report released on April 24, 2025. As a prominent player in the Aerospace & Defense industry, L3Harris has demonstrated consistent financial strength, maintaining dividend payments for 55 consecutive years and achieving a 5.4% revenue growth in the last twelve months. InvestingPro analysis reveals several additional positive indicators for the company, with more insights available to subscribers. Despite an initial drop in share prices at the market open, attributed to lower-than-expected revenues and a downward revision in guidance due to the CAS divestiture, the stock quickly rebounded.

Bernstein SocGen’s analyst Douglas Harned expressed a positive outlook beyond the initial market reaction. In his view, the first-quarter performance of L3Harris Technologies was strong, considering the circumstances. Harned’s comments suggest that the underlying fundamentals of the company remain robust, despite the divestiture’s impact on the financial results.

The company’s quick recovery in share price on the same day as the earnings announcement indicates that investors may have looked past the immediate revenue miss and guidance adjustment. The market’s ability to shrug off the initial negative response points to a deeper confidence in the company’s long-term prospects.

L3Harris Technologies’ performance in the first quarter, as noted by Bernstein SocGen, shows resilience in the face of strategic changes. The CAS divestiture, while affecting the quarter’s financials, does not seem to have altered the firm’s positive stance on the company’s stock.

Investors and market watchers will likely continue to monitor L3Harris Technologies’ financial health and market performance closely, especially in light of the updated price target and the maintained Outperform rating by Bernstein SocGen.

In other recent news, L3Harris Technologies Inc. reported its financial results for the first quarter of 2025, surpassing earnings expectations but falling short on revenue forecasts. The company posted earnings per share of $2.41, exceeding the forecasted $2.32, while its revenue of $5.13 billion missed the projected $5.22 billion. Despite the revenue shortfall, L3Harris returned nearly $800 million to shareholders through share repurchases and dividends. The company continues to emphasize its strategic initiatives, targeting $1.2 billion in savings and projecting revenue between $21.4 billion and $21.7 billion for 2025. In terms of market positioning, L3Harris highlighted its strong presence in the missile warning and space sectors, which contributed significantly to its performance. The company also reaffirmed its guidance for 2025, anticipating non-GAAP EPS between $10.30 and $10.50. Additionally, L3Harris is actively pursuing new contracts and market opportunities, with a target of $23 billion in revenue by 2026.

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