L3Harris Technologies, Inc. (NYSE:LHX) shares are slightly up on Wednesday as the company announces a significant expansion of its solid rocket motor production capacity.
The stock’s movement follows the news of a more than $1 billion investment to create the Virginia Advanced Propulsion Facilities, which is expected to double the manufacturing space and create over 350 jobs in Orange County, Virginia.
L3Harris Technologies, in collaboration with Virginia Gov. Abigail Spanberger and the Orange County Board of Supervisors, has revealed plans for a major expansion at its Orange County site. This project aims to enhance production capabilities for key national defense programs and is expected to significantly boost local employment.
“L3Harris’ continued investments in solid rocket motor facilities are bolstering manufacturing capacity for key national defense programs,” said Ken Bedingfield, president of Missile Solutions at L3Harris.
L3Harris said it is also modernizing and expanding solid rocket motor production at its sites in Camden, Arkansas, and Huntsville, Alabama. The company’s ongoing investments in new facilities, equipment and processes “will enable it to double, triple and quadruple solid rocket motor production rates for a range of key programs”.
Technical Analysis
L3Harris Technologies is currently trading within a strong upward trend, sitting 16.5% above its 200-day simple moving average (SMA), indicating robust long-term momentum. The stock is also 7.5% above its 100-day SMA, suggesting a positive short to intermediate outlook.
The relative strength index (RSI) is at 50.33, which indicates a neutral momentum phase, suggesting that the stock is neither overbought nor oversold at this time. The moving average convergence divergence (MACD) is bullish, with the MACD line above the signal line, indicating potential upward momentum.
- Key Resistance: $374.50 — This level may act as a barrier for further price increases.
- Key Support: $355.50 — A drop below this level could signal weakness in the stock.
Earnings & Analyst Outlook
L3Harris Technologies is slated to provide its next financial update on April 30, 2026 (confirmed).
- EPS Estimate: $2.58 (Up from $2.41)
- Revenue Estimate: $5.41 billion (Up from $5.13 billion)
- Valuation: P/E of 41.7x (Indicates premium valuation)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $383.40. Recent analyst moves include:
- Citigroup: Buy (Raises Target to $418.00) (Feb. 5)
- JP Morgan: Overweight (Raises Target to $395.00) (Feb. 5)
- Morgan Stanley: Overweight (Raises Target to $390.00) (Feb. 2)
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for L3Harris Technologies, highlighting its strengths and weaknesses compared to the broader market:
- Value: Weak (Score: 20.85) — Trading at a steep premium relative to peers.
- Growth: Neutral (Score: 33.44) — Moderate growth potential in the current market.
- Quality: Strong (Score: 75.84) — Solid fundamentals and operational efficiency.
- Momentum: Bullish (Score: 79.86) — Stock is outperforming the broader market.
The Verdict: L3Harris Technologies’ Benzinga Edge signal reveals a balanced profile with strong quality and momentum scores, indicating a favorable outlook amid a premium valuation.
Top ETF Exposure
- iShares US Aerospace & Defense ETF (BATS:ITA): 4.66% Weight
- Global X Defense Tech ETF (NYSE:SHLD): 4.67% Weight
- Invesco Aerospace & Defense ETF (NYSE:PPA): 4.10% Weight
Significance: Because LHX carries significant weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
Price Action
LHX Price Action: L3Harris Technologies shares were up 0.27% at $356.53 at the time of publication on Wednesday, according to Benzinga Pro data.
Photo by Piotr Swat via Shutterstock
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