L3Harris Technologies, Inc. logo LHX - L3Harris Technologies, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 24
HOLD 7
SELL 2
STRONG
SELL
0
| PRICE TARGET: $315.00 DETAILS
HIGH: $315.00
LOW: $315.00
MEDIAN: $315.00
CONSENSUS: $315.00
UPSIDE: 26.96%
AlphaQuality

AlphaQuality

Quantitative six-pillar business-quality grade

Platform & Compounding FCF

AlphaQuality — archetype-weighted quantitative grade

C+ 59.1 / 100 composite

Composite Grade

Composite of six pillars weighted for platform & compounding fcf businesses. Purely quantitative — the six pillars score only reported financials, no analyst input.

Profitability

Weight: 25%
D 37.2
  • 5yr Avg ROIC 6.0% 40/100
  • Operating Margin Trend -0.59 pp/yr 31/100
Contributes 9.3 pts toward composite.

Capital Efficiency

Weight: 15%
B- 63.5
  • 5yr Avg ROE 7.6% 48/100
  • 5yr Share-Count CAGR -2.7% 93/100
Contributes 9.5 pts toward composite.

Growth Quality

Weight: 25%
C+ 61.9
  • 5yr Revenue CAGR 3.7% 51/100
  • 5yr EPS CAGR 10.5% 77/100
  • Revenue-Growth Years (5) 3/5 60/100
Contributes 15.5 pts toward composite.

Cash Generation

Weight: 20%
A- 80.7
  • 5yr FCF Margin 11.0% 72/100
  • 5yr FCF/NI Conversion 1.50x 91/100
Contributes 16.1 pts toward composite.

Balance Sheet

Weight: 10%
C 54.2
  • Net Debt / EBITDA 2.71x 56/100
  • Interest Coverage (EBIT/Int) 4.24x 57/100
  • Altman Z-Score 2.20 48/100
Contributes 5.4 pts toward composite.

Stability

Weight: 5%
B- 66.9
  • EPS Volatility (σ/μ) 0.30 56/100
  • Negative-Revenue Years (5) 2/5 60/100
  • Piotroski F-Score 8 89/100
Contributes 3.3 pts toward composite.

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Holding

4 of 4 gurus held; 2 added; 1 trimmed; 1 full exit.

Holders
4
Avg Δ position
+18.9%
New buys
0
Full exits
1
As of Q2 2026
How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

  • Profitability (25%) — 5yr Avg ROIC, Operating Margin Trend
  • Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
  • Growth Quality (25%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
  • Cash Generation (20%) — 5yr FCF Margin, 5yr FCF/NI Conversion
  • Balance Sheet (10%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
  • Stability (5%) — EPS Volatility (σ/μ), Negative-Revenue Years (5), Piotroski F-Score

The six pillars read only reported financial-statement fields — no analyst targets or consensus ratings. The archetype that picks which pillar formulas apply is not fully price-free, though: it can route a company to the distressed/ungradable archetype based on price vs. its 52-week high, and beta affects one classification check. A minimum of 5 fiscal years of audited statements is required. Insurers and banks are graded on their own methodology — insurers on loss ratio, its trend and stability, and premiums-to-surplus; banks on the efficiency ratio, its trend and stability, and equity-to-assets — rather than on industrial margin/ROIC signals. Distressed, highly leveraged infrastructure, asset-manager, and other financial businesses are declared ungradable rather than forced into a numeric score.