• In early August 2026, L3Harris Technologies opened a new US$6.00 million, 50,000-square-foot maritime production facility at ProvPort in Providence and advanced its missile defense capabilities with a successful hot-fire test of its stage two solid rocket motor for the Next Generation Interceptor program.
• At the same time, L3Harris completed the sale of its space propulsion, power and electronics units to AE Industrial Partners while retaining a minority stake, reshaping its portfolio with the launch of Rocketdyne as an independent partner company.
• We’ll now examine how the Rocketdyne spin-off and undersea expansion could influence L3Harris’s longer-term missile defense and space narrative.

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L3Harris Technologies Investment Narrative Recap

To stay invested in L3Harris, you need to believe in its role as a core US and allied defense supplier across missiles, space and advanced communications, supported by recent contract wins and an active buyback. The Rocketdyne spin off and new undersea facility do not change the main near term catalyst, which remains execution on large missile and space programs, or the biggest risk, which is potential US budget or program-specific pressure, especially where L3Harris is a subcontractor.

The Rocketdyne transaction is most relevant here, because it reshapes how investors think about L3Harris’s future in space and missile propulsion. While Rocketdyne now operates independently, L3Harris keeps a minority stake and partnership link, so investors still have exposure to parts of the space propulsion opportunity while the core company can focus more tightly on missile defense systems, undersea systems and classified space work that underpin current catalysts.

Yet, while the new facilities and contracts may look reassuring, investors should still be aware of the risk that US defense budget decisions could...

L3Harris Technologies' narrative projects $28.0 billion revenue and $3.0 billion earnings by 2029. This requires 6.9% yearly revenue growth and a $1.1 billion earnings increase from $1.9 billion today.

Uncover how L3Harris Technologies' forecasts yield a $343.27 fair value, a 18% upside to its current price.

Exploring Other Perspectives

Some of the lowest estimate analysts were already cautious, assuming revenue of about US$27.2 billion and earnings near US$2.8 billion by 2029, and they treat even large missile contracts as no guarantee that margins or valuation multiples will hold at today’s levels, so you may want to weigh these more pessimistic views against the new NGI and undersea developments before deciding which story you find more convincing.

Explore 3 other fair value estimates on L3Harris Technologies - why the stock might be worth just $343.27!

Decide For Yourself

Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

• A great starting point for your L3Harris Technologies research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.
• Our free L3Harris Technologies research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate L3Harris Technologies' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.