L3Harris Technologies Inc

L3Harris Technologies and Intuitive Machines reported sharply different second-quarter 2026 financial results, underscoring the contrast between a mature defense prime and a fast-growing commercial space firm. L3Harris posted revenue of $5.9 billion, up 8% year over year, with net income of $600 million and diluted EPS of $3.13, while raising its full-year 2026 revenue guidance to $23.2 billion to $23.7 billion. Intuitive Machines saw revenue surge more than fourfold to $206 million, but recorded an operating loss of $47 million and an Adjusted EBITDA loss of $14 million, even as its backlog reached a record $1.8 billion. The two companies are partners on the Space Development Agency's Accelerated Missile Defense Tranche 3 mission, where Intuitive Machines will build 18 satellite platforms for L3Harris payloads. Hedge fund ownership rose for both stocks in the first quarter of 2026, with L3Harris held by 59 funds and Intuitive Machines by 30.

The U.S. Space Force has awarded five $12 million contracts under a $60 million effort to prove non-SpaceX satellites can plug into the Space Data Network backbone that SpaceX built under a $2.29 billion award in May 2026. The move comes as SpaceX completed its 100th launch of 2026, pushing the Starlink constellation past 11,000 satellites. L3Harris Technologies, AST SpaceMobile, Rocket Lab, Viasat, and Iridium Communications are directly positioned to benefit from the Pentagon's push to avoid single-vendor dependency in space. Rocket Lab's $8 billion all-stock acquisition of Iridium, announced June 28 and targeted to close mid-2027, would create the only vertically integrated public SpaceX alternative, folding in 66 operational satellites and roughly $870 million in annual revenue.

Intuitive Machines has been selected as a key supplier for L3Harris Technologies' Accelerated Missile Defense Tranche 3 mission. The company will provide 18 spacecraft platforms that form part of U.S. space-based missile defense infrastructure for homeland defense and hypersonic missile tracking. The contract expands Intuitive Machines' role within a core national security program and broadens its exposure to the defense market. Investors will watch how this award appears in reported backlog and revenue over the next few quarters, particularly relative to the recently cited US$1.8b backlog and US$392.9m in first half 2026 revenue.

Lockheed Martin announced the Stage 2 rocket motor for the Next Generation Interceptor program has successfully completed a static fire test inside a high-vacuum chamber that replicates low-Earth orbit conditions. The test, conducted by L3Harris Technologies, demonstrated the motor will sustain extreme thermal and pressure stresses, confirming key performance metrics such as thrust, chamber pressure and combustion stability. Christopher Jewell, Lockheed Martin NGI vice president, said the milestone confirms confidence the motor will meet the demanding performance envelope required for fielding by 2030 and will directly inform the final interceptor design. The NGI program is intended to enable a more capable Ground-Based Midcourse Defense architecture against advanced ballistic missile threats.

Rising tensions with Iran are highlighting critical shortages in global defense supplies, particularly in drones, precision weapons, and artillery shells, which stands to benefit defense contractors AeroVironment and L3Harris Technologies. AeroVironment secured a $186 million U.S. Army order in February 2026 for its Switchblade loitering munitions under a five-year contract with a $990 million ceiling, reflecting the military's shift to integrating small drones as core tools. L3Harris reported a record backlog of $42 billion in the second quarter of 2026, driven by $7.3 billion in new orders and an 8% revenue increase to $5.9 billion, while committing roughly $2 billion to expand missile production capacity. Both companies are positioned at key supply chain choke points, with AeroVironment focused on small precision-strike systems and L3Harris on communications and missile capabilities, though execution risks and political budget cycles remain concerns.

The Pentagon is pressing U.S. defense contractors to sharply accelerate weapons production, giving industry leaders 21 days to submit proposals for faster deliveries and increased output of priority weapons. Deputy Defense Secretary Steve Feinberg issued the directive in a memo, and Pentagon spokesman Sean Parnell confirmed the initiative is part of a broader effort to rebuild the defense industrial base. The push comes amid concerns over supplies of advanced missile interceptors, with the Center for Strategic and International Studies estimating that the U.S. inventory of Patriot interceptors may have fallen by at least 65% since before the Iran conflict, to between 759 and 827 from about 2,330, while THAAD inventories stand between 234 and 278 interceptors, at least 38% below the prewar level of about 452. The Pentagon's demand could translate into additional orders and capacity investments for contractors, though the biggest constraint may be how quickly manufacturers can expand factories and increase output for sophisticated missile systems. The effort faces uncertainty in Congress, where a defense spending bill is stalled amid opposition to the military campaign against Iran and resistance to a White House proposal to increase Pentagon spending to $1.5 trillion from about $900 billion last year.

L3Harris Technologies has completed the sale of a majority stake in its commercial space propulsion, power and electronics businesses to AE Industrial Partners at a total enterprise value of $845 million. The company expects to use the proceeds to invest in facilities and advanced technologies to meet unprecedented demands for growth. L3Harris’ RS-25 rocket engine operations were excluded from the sale, and the company will maintain a roughly 40% ownership stake in AE Industrial Partners’ new space technologies business, which will be named Rocketdyne.

L3Harris Technologies has signed multi-year propulsion agreements with the Department of War and Lockheed Martin covering missile propulsion production for the PAC-3 MSE and THAAD defense systems. The seven-year framework agreements are described as transformative and are intended to nearly triple and quadruple propulsion output for these programs. The contracts arrive as L3Harris reports higher sales and earnings for the first half of 2026 and raises full-year revenue and EPS guidance. The company is adding roughly 60 facilities and close to 1 million square feet of space across Alabama, Virginia, and Arkansas to support the expanded production. Final terms, including pricing and delivery schedules, are expected to be definitized later in 2026.

L3Harris Technologies reported second-quarter 2026 earnings of $3.13 per share, beating the Zacks Consensus Estimate of $2.80 by 11.8 percent and rising 12.6 percent from the year-ago quarter. Revenues totaled $5.88 billion, topping the consensus of $5.79 billion and improving 8.4 percent from $5.43 billion a year earlier, driven by growth across all segments. The company raised its full-year 2026 revenue guidance to a range of $23.2 billion to $23.7 billion, up from the prior $23 billion to $23.5 billion, and lifted its earnings per share outlook to $11.80 to $12.00, above the previous $11.40 to $11.60. Segment results showed Space and Mission Systems revenue up 7 percent to $2.97 billion, Communications and Spectrum Dominance revenue up 4 percent to $1.94 billion, and Missile Solutions revenue up 14 percent to $1.05 billion. L3Harris ended the quarter with $1.52 billion in cash and cash equivalents and long-term debt of $9.18 billion, while operating cash flow for the first six months of 2026 reached $784 million.

L3Harris Technologies posted second-quarter 2026 revenue of $5.9 billion, an 8% year-over-year increase, and raised its full-year revenue and earnings guidance. Orders reached $7.3 billion, yielding a book-to-bill of 1.2 times, while backlog grew by more than $1 billion to $42 billion. Segment operating income rose 9% to a margin of 16%, and GAAP earnings per share climbed 28% to $3.13. Free cash flow surged 37% to $771 million. The company now expects full-year 2026 revenue between $23.2 billion and $23.7 billion and diluted earnings per share of $11.80 to $12.00, with free cash flow guidance of $3 billion. The planned IPO of the missile business was delayed to mid-2027 due to unfavorable market conditions.

CPI Aerostructures received a fully definitized $13.6 million contract from L3Harris Technologies to deliver airborne pod structures for the Next Generation Jammer Low Band program. The award replaces a previously announced undefinitized contract action that had a not-to-exceed value of $12.1 million. CPI Aero will supply pods that L3Harris is building as operational prototypes for the U.S. Naval Air Systems Command, supporting fleet assessment and airworthiness testing on the EA-18G Growler. The company has already delivered the first test article and has been providing design-for-manufacturing engineering support since the program began in late 2024.

L3Harris Technologies declared a quarterly dividend of US$1.25 per share and received a U.S. Space Force contract to build 18 Accelerated Missile Defense Tranche 3 satellites equipped with missile-tracking payloads. The company raised its 2026 revenue guidance to US$23.0–23.5 billion and EPS guidance to US$11.40–11.60. The new missile defense work adds to an order base that already includes more than 70 missile tracking and defense satellites on order. The dividend affirmation highlights the company's ongoing focus on shareholder cash returns, while fixed price development exposure and potential U.S. budget constraints in space programs remain important risks.

L3Harris Technologies has secured a contract from the U.S. Space Force's Space Development Agency for 18 Accelerated Missile Defense Tranche 3 satellites, while also receiving major orders tied to the U.S. Army's Next Generation Command and Control initiative. The AMDT3 award gives L3Harris a role in the Space Development Agency's next round of missile tracking satellites, using payloads that provide fire control quality data, and adds to an already sizable space backlog of more than 70 missile tracking and defense satellites on order across multiple programs. The new Army orders relate to the Next Generation Command and Control initiative's transport layer, expanding the company's footprint in secure tactical communications. These contracts reinforce L3Harris' positioning in missile warning and resilient communications, though they also highlight ongoing exposure to fixed-price and complex development programs that could pressure margins if execution is challenging.

Investors who missed the SpaceX IPO can still gain exposure to the space boom through established defense contractors that offer steadier businesses and dividends, according to a Motley Fool analysis. The U.S. government's Golden Dome missile-defense initiative is funneling tens of billions of dollars toward satellites, sensors, and rockets, benefiting companies like Lockheed Martin, Northrop Grumman, L3Harris Technologies, RTX, and Boeing. Lockheed Martin won a roughly $1.1 billion award for 18 missile-tracking satellites, while Northrop Grumman holds multi-hundred-million-dollar Space Force awards and supplies solid rocket motors across the industry. L3Harris specializes in sensors and payloads for missile-tracking satellites, RTX brings decades of interceptor and radar expertise, and Boeing co-owns United Launch Alliance, whose Vulcan rocket competes with SpaceX for national-security launches. The analysis cautions that these mature companies offer lower growth than a pure-play space firm and depend heavily on government budgets, but they provide durable, lower-drama exposure to space and missile-defense spending.

L3Harris Technologies is positioning its Trusted Disruptor strategy to benefit from ongoing U.S. defense acquisition reforms that emphasize speed, agility, and mission outcomes. The Department of Defense is streamlining contracting, delegating decision-making authority, and increasing use of commercial solutions to accelerate capability delivery. L3Harris is investing in advanced mission systems, resilient communications, space technologies, and integrated defense solutions to align with these priorities. The company believes its operational agility and technology portfolio will help it compete as governments prioritize rapid deployment and flexible procurement. Analysts expect L3Harris earnings per share to grow 7.64% in 2026 and 17.01% in 2027, with the stock trading at a forward price-to-sales of 2.2 times, below the industry average of 2.56 times.

The global military Identification Friend or Foe market is forecast to grow from US$3.8 billion in 2026 to US$7.8 billion by 2036, expanding at a compound annual growth rate of 9.7%. The transition to encrypted Mode 5 standards, rising demand for network-integrated identification, and increased procurement across airborne, naval, and land platforms are driving growth. Advances in software-defined architectures and cryptographic modules are reshaping the competitive landscape, with major players including BAE Systems, L3Harris Technologies, Thales Group, and Northrop Grumman strengthening their positions through Mode 5 programme delivery. The market outlook is also influenced by export controls, geopolitical tensions, and supply chain constraints, with US trade tariffs adding cost pressure and reinforcing demand for secure identification systems. The report provides detailed analysis across system types, interrogator ranges, platforms, components, technology standards, applications, and geographic markets.

L3Harris Technologies has received a contract from the Federal Aviation Administration to upgrade and operate the nation's aircraft tracking network through 2045. Under the contract, the company will modernize more than 700 ground stations that provide real-time, satellite-based flight positioning data to air traffic controllers nationwide. L3Harris will also deploy advanced cybersecurity to protect airspace data and expand surveillance to track new types of aircraft entering the National Airspace System. The company already runs the world's largest terrestrial air traffic surveillance network and integrates thousands of data sources for hundreds of FAA and government facilities.

L3Harris Technologies is strengthening its position in the counter-unmanned systems market through a growing portfolio of advanced drone defense solutions. A key example is the VAMPIRE system, a compact and cost-effective intelligence, surveillance, reconnaissance and counter-drone solution that can be integrated onto a wide range of vehicles and vessels, delivering precision strike capabilities against small unmanned aerial systems. The company is also expanding its offerings with platforms such as CORVUS-RAVEN, Nimble Finch and Drone Guardian, designed to address unmanned threats across air, land and maritime domains. Growing geopolitical tensions, rising defense spending and the rapid proliferation of drones are driving demand for advanced counter-UAS technologies worldwide, positioning L3Harris to benefit from this expanding market.

L3Harris Technologies has received delivery orders totaling $84 million from the U.S. Army for Next Generation Command and Control manpack Falcon systems. The AN/PRC-158C systems feature high-throughput Mobile Ad hoc Networks and resilient waveforms for assured communications. This is the company's second award under the NGC2 program, following an initial $24 million order in October. The manpack radios will serve as part of the program's transport layer, which moves information across sensors, shooters and command-and-control systems.

The global unmanned underwater vehicles market is projected to grow from USD 6.91 billion in 2026 to USD 19.22 billion by 2031, at a CAGR of 22.7%, according to a new report by MarketsandMarkets. The market spans autonomous underwater vehicles and remotely operated vehicles, with growth driven by naval modernization programs, offshore energy inspection needs, and rising investment in oceanographic research. Asia-Pacific is the largest region in 2026, while military and defense leads by application and AUVs are the fastest-growing type. Key players include Kongsberg, L3Harris Technologies, and Oceaneering International.

President Donald Trump is scheduled to arrive in Ankara on Tuesday for a two-day NATO summit, where allies are expected to agree on €70 billion in military aid to Ukraine over this year and next. NATO Secretary General Mark Rutte called for clear plans to meet spending targets, saying Trump expects all allies to move urgently toward 5% of GDP. Trump is also expected to tell Turkish President Recep Tayyip Erdogan that he is prepared to allow Turkey to rejoin the F-35 stealth fighter program, according to the New York Times. European governments plan to announce deals at a NATO defence industry forum, with the Netherlands set to unveil more than €3 billion in agreements.

L3Harris Technologies secured a follow-on contract with a maximum value of $499.6 million to support the Missile Defense Agency's Flight Test Airborne Sensor program. The contract covers support for flight test aircraft and sensor equipment, mission planning, flight test execution, and modernization efforts. An initial task order worth $22.2 million was issued. The ordering period runs from September 15, 2026, through September 14, 2036, with work to be performed in Tulsa, Oklahoma. A total of $5 million in fiscal 2026 research, development, test, and evaluation funds was obligated at the time of the award.

L3Harris Technologies is set to report its second-quarter 2026 earnings soon, with analysts forecasting diluted earnings per share of $2.79, a slight increase from $2.78 in the same quarter last year. The company has beaten Wall Street's EPS estimates in each of the past four quarters. For the full fiscal year 2026, analysts project EPS of $11.52, up 7.4% from $10.73 in fiscal 2025, and expect EPS to rise roughly 17.4% year over year to $13.52 in fiscal 2027. L3Harris stock has gained 15.9% over the past 52 weeks, underperforming the S&P 500 Index's 20.9% rise and the State Street Industrial Select Sector SPDR ETF's 25.6% rise. Analysts rate the stock a Moderate Buy, with 14 of 20 analysts recommending a Strong Buy and six suggesting a Hold, and an average price target of $385.05, implying a 32.5% upside.

L3Harris Technologies has won a $614 million indefinite-quantity contract to provide contractor logistics support for the Suite of Integrated Radio Frequency Countermeasures system for USSOCOM. The contract includes a mix of firm-fixed-price and cost-reimbursement contract line items. USSOCOM obligated $40.7 million from 2025-2026 funds at the time of the award and is serving as the contracting activity.

L3Harris Technologies has broken ground on two new facilities at its Arkansas Advanced Propulsion Facilities campus in Camden to expand PAC-3 missile propulsion production, while also securing two Foreign Military Sales orders for Falcon communication systems supporting Germany's D-LBO and special operations forces. The expanded U.S. propulsion footprint and fresh German orders highlight how L3Harris is deepening its role in both advanced missile systems and interoperable NATO communications. The Arkansas PAC-3 propulsion buildout and German Falcon orders support the investment thesis around sustained demand for advanced defense electronics, missile propulsion, and secure communications, but do not materially change the most important near-term catalyst around the Missile Solutions IPO or the key risk from U.S. budget and program constraints. The Pentagon-backed plan to inject US$1.0 billion into L3Harris's solid rocket motors business ahead of the Missile Solutions IPO ties directly to this week's PAC-3 capacity expansion, framing missile propulsion as a central pillar of the story alongside catalysts in NATO communications demand and the LHX NeXt efficiency program.

Tony Bancroft, portfolio manager at Gabelli Funds, argued on CNBC that U.S. missile and aircraft production is entering a multi-year expansion driven by arsenal replenishment and rearmament against China and Russia. He highlighted Honeywell as a large-cap pick, noting that 11 of 12 top U.S. weapons systems rely on its navigation hardware, with the upcoming aerospace spin-off as a key catalyst. Bancroft also pointed to L3Harris Technologies’ planned IPO of its Axyv missile unit, which could raise up to $2 billion, and noted that its Missile Solutions revenue rose 18% year-over-year to $990 million in the first quarter of fiscal 2026. As a small-cap play, he cited Albany International, whose composites for the F-35 and LEAP engines have helped drive a 40% year-to-date rally, though three analyst Hold ratings and a $59 target suggest caution. Bancroft believes framework agreements discussed by the Trump Administration could triple or quadruple missile production, with roughly 1,000 Patriot interceptors already expended from an inventory of about 5,000.

L3Harris Technologies has broken ground on two additional facilities at its Arkansas Advanced Propulsion Facilities campus in Camden to boost production of PAC-3 propulsion systems for the U.S. Army. The expansion includes a roughly 75,000-square-foot cast, cure and final assembly facility and a roughly 70,000-square-foot case preparation facility, both self-funded by the company. The new buildings will incorporate advanced manufacturing capabilities such as automated X-ray inspection with AI-driven defect detection, fully automated casting, and expanded curing capacity to accelerate throughput. This move is part of a broader effort that includes approximately 60 facilities and nearly 1 million square feet of manufacturing expansion across sites in Alabama, Arkansas and Virginia.

Zacks Investment Research favors L3Harris Technologies over Lockheed Martin, citing stronger price performance, earnings growth, and debt management. Lockheed Martin shares rose 9.3% in the past year while L3Harris gained 19.1%. L3Harris' total debt-to-capital stands at 35.87% compared with Lockheed Martin's 73.43%. Both stocks carry a Zacks Rank #3 (Hold).

L3Harris Technologies has received two Foreign Military Sales orders for Falcon systems to support Germany's Digitalization – Land Based Operations program and special operations forces requirements. The battle-tested systems will enhance secure, interoperable communications with European Union and NATO allies, providing German soldiers and special operators with reliable connectivity and the flexibility to add capability through software updates. The orders are expected to be delivered this year, continuing the company's decades-long support of the German armed forces. L3Harris will also continue providing in-region support and expertise.

President Donald Trump unveiled the new Air Force One, a Boeing 747-8 aircraft gifted by the Qatari government and overhauled by L3Harris Technologies to serve as the official U.S. presidential jet. Speaking at Joint Base Andrews, Trump said the plane was transformed into a flying White House with unprecedented luxury and features a new red, white, and navy-blue paint scheme, replacing the baby-blue livery of the existing fleet. The aircraft, designated the VC-25B Bridge aircraft, will begin commissioning flights as final modifications are tested, according to the U.S. Air Force. Once commissioned, it will reduce strain on the two current VC-25A planes that have been in service since the 1990s, acting as a temporary replacement until Boeing delivers two new VC-25B jets in 2028.

L3Harris Technologies has delivered the VC-25B Bridge aircraft to the U.S. Air Force, marking a significant milestone in the modernization of the Air Force One fleet. The company transformed a 747-8i aircraft into the first VC-25B within 10 months, ensuring continuity of the Presidential Airlift mission as the current VC-25A aircraft age and next-generation aircraft remain under development. The VC-25B provides the Office of the President with an airborne command post equipped with a new communications system for resilient, secure connectivity. L3Harris invested early in the program ahead of formal demand to ensure capacity, talent, and production readiness were in place when needed.

L3Harris Technologies and Skydagger Technologies have signed a memorandum of understanding to collaborate on new counter-drone capabilities for L3Harris' Vampire counter-unmanned aircraft system. The agreement calls for exploring integration of Skydagger's drone interceptor technology with the Vampire platform, including potential development of a drone-on-drone interception capability, with any new interceptor drone manufactured in the United States for allied military customers. The collaboration aims to support evolving counter-unmanned systems missions and accelerate deployment of technologies to defeat hostile drones. L3Harris' Vampire is a modular platform for detecting and engaging unmanned aerial threats, adaptable to incorporate both kinetic and non-kinetic effectors. The partnership combines Skydagger's affordable counter-drone technology with L3Harris' proven detection and defeat capabilities, as military forces increasingly seek lower-cost methods to counter battlefield drones.