Leonardo DRS Inc Insider Eric Salzman Sells 4,403 Shares Amid Overvaluation Concerns

Eric Salzman, a Director at Leonardo DRS Inc, sold 4,403 shares of the company on August 20, 2025. Following the transaction, he now owns 11,820 shares. The stock was trading at $41.17 per share, giving it a market cap of $10.921 billion. The price-to-GF-Value ratio is 1.57, indicating the stock is significantly overvalued based on its GF Value.

Leonardo DRS Inc (DRS) experienced an insider sell on August 20, 2025, as Eric Salzman, a Director at the company, sold 4,403 shares. Following this transaction, Salzman now owns 11,820 shares of the company [1]. The stock was trading at $41.17 per share, resulting in a market capitalization of $10.921 billion [1]. The transaction occurred amidst a broader trend of insider selling, with 24 insider sells in the past year and no buys [1].

Leonardo DRS Inc is a leading provider of defense products and technologies, offering a wide range of products and services, including advanced electronic systems, network computing, and integrated mission solutions for military and commercial customers [1]. The company's insider transaction history shows a significant trend of selling, with Salzman alone having sold 11,357 shares over the past year and purchased none [1].

Institutional investors have also shown interest in Leonardo DRS. LPL Financial LLC increased its stake by 59% in the first quarter, owning approximately $4.47 million worth of shares [2]. Several other institutional investors, including Nisa Investment Advisors LLC, JTC Employer Solutions Trustee Ltd, Virtus Fund Advisers LLC, CWM LLC, and Mariner LLC, have also made changes to their positions in the company [2]. Hedge funds and other institutional investors own 18.76% of the company's stock [2].

Analysts have been active in their ratings and price objectives for Leonardo DRS. Goldman Sachs Group, Canaccord Genuity Group, and Truist Financial have initiated coverage with "buy" ratings and price objectives ranging from $49.00 to $51.00 [1]. Wall Street Zen downgraded the stock to a "hold" rating, while JPMorgan Chase & Co. lifted their price objective to $48.00 with a "neutral" rating [1]. The consensus rating is "Moderate Buy" with a target price of $46.75 [1].

Leonardo DRS reported earnings of $0.23 EPS for the quarter, beating analysts' estimates by $0.01 [1]. The company also announced a quarterly dividend of $0.09 per share, with an annualized dividend yield of 0.9% [1].

Despite the recent insider sell, the stock's price-to-GF-Value ratio of 1.57 indicates that it is significantly overvalued based on its GF Value [1]. This ratio is higher than the industry median and the company’s historical median price-earnings ratio.

References:
[1] https://www.gurufocus.com/news/3074562/insider-sell-eric-salzman-sells-shares-of-leonardo-drs-inc-drs
[2] https://www.marketbeat.com/instant-alerts/filing-lpl-financial-llc-grows-stock-position-in-leonardo-drs-inc-nasdaqdrs-2025-08-15/