L3Harris's 15-minute chart shows KDJ Golden Cross, bullish Marubozu pattern.

According to the 15-minute chart of L3Harris, a technical indicator known as the KDJ Golden Cross was triggered on September 8, 2022, at 10:45 AM. This bullish signal indicates a shift in momentum towards the upside, suggesting that the stock price has the potential to further increase. The presence of a Bullish Marubozu candlestick pattern reinforces this bullish outlook, as it indicates a strong buying presence in the market. As a result, it is likely that bullish momentum will continue, driven by the dominance of buyers in the market.

On September 4, 2025, L3Harris Technologies (NYSE: LHX) presented at the Jefferies Mining and Industrials Conference, outlining a promising strategic direction. The company, buoyed by robust defense sector growth, highlighted both opportunities and challenges, focusing on increased defense budgets and the successful integration of Aerojet Rocketdyne. L3Harris aims to exceed its 2026 revenue targets while navigating evolving market demands.

Key Takeaways

L3Harris anticipates exceeding its fiscal year 2026 revenue target of $23 billion. Aerojet Rocketdyne has shown substantial growth post-acquisition, with a current valuation between $11 billion and $15 billion. The company is focusing on expanding capacity and technological advancements in line with modern warfare needs. L3Harris is targeting over $1 billion in stock buybacks this year, continuing its trend of increasing dividends. The LHX NEXT program is projected to achieve up to $2 billion in cost savings by year-end.

Financial Results

Fiscal Year 2026 Framework:
- Revenue Target: $23 billion, implying mid-single-digit growth
- Margin Target: Increased to the low 16% range
- Free Cash Flow Target: Increased to $3 billion

Aerojet Rocketdyne:
- Acquisition Price: $4.7 billion in 2023
- Current Valuation: Estimated between $11 billion and $15 billion
- Revenue Assumption for 2026: $5 billion

Capital Deployment:
- Stock Buybacks: $750 million dollars last year, with over $1 billion dollars targeted this year
- Dividend: 24 consecutive years of increases, expected to continue in 2026

LHX NEXT Cost Savings Program:
- Initial Target: $1 billion dollars in three years
- Current Projection: At least $1.5 billion dollars, potentially closer to $2 billion dollars by year-end

Operational Updates

Aerojet Rocketdyne:
- Leadership: Entire leadership team replaced and upgraded
- Production: Deliveries increased by over 60% in two years
- Capacity Expansion: New factories in Arkansas, Alabama, and Virginia
- Production Volume: Approximately 100,000 solid rocket motors annually

Space Portfolio (SAS Segment):
- Strategic Shift: From payload provider to space prime focused on missile defense
- SDA Tracking Layer: Secured positions on all three initial tranches
- Manufacturing: New satellite facilities in Indiana and Florida

Tactical Communications:
- International Market Growth: Over $1 billion dollars in European contracts this year
- DOD Modernization: 42% completion in software-defined radios

Future Outlook

Golden Dome:
- Revenue Potential: Expects 10% to 20% of the $25 billion FY ’26 budget
- Timeline: Orders and contracts anticipated in the coming months

Aerojet Rocketdyne:
- Missile Segment Growth: Double-digit growth expected for at least a decade
- RL 10 Upper Stage: Backlog includes several hundred engines for United Launch Alliance

Tactical Communications:
- International Market: Growth due to the importance of resilient communications
- Modernization: Twelve more years of software upgrade potential

Space Portfolio (SAS Segment):
- SDA Tracking Layer: Awaiting next award with high expectations

Q&A Highlights

Golden Dome Revenue:
- Timing: Revenue generation expected sooner due to an executive order

Fiscal Year 2026 Guidance:
- Upside Potential: More upside than downside seen for the $23 billion dollar revenue target

Aerojet Rocketdyne Valuation:
- Market Perception: Valued between $11 billion and $15 billion dollars

Competitive Landscape:
- Solid Rocket Motors: Significant production volume noted
- Tactical Communications Market: Growth factors include emphasis on resilient communications and interoperability

[1] https://www.investing.com/news/transcripts/l3harris-at-jefferies-conference-defense-growth-and-strategic-investments-93CH-4225143