L3Harris Sells 60% Stake in Space Business for Over $500 Million
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 05 2026
0mins
Source: Benzinga
- Significant Deal Size: L3Harris is reportedly finalizing a deal with AE Industrial Partners to sell a 60% stake in its space and propulsion businesses for over $500 million, with an enterprise value of $845 million, indicating a strategic restructuring in the aerospace sector.
- Focus on Defense Growth: This divestiture allows L3Harris to concentrate on national security, having recently secured a contract worth up to $843 million to build 18 infrared national security missile-tracking satellites, further solidifying its position in the defense market.
- Strong Financial Performance: In its Q3 report, L3Harris revealed a 7% year-over-year increase in total revenue, with the CEO stating that robust market demand and a record backlog will support the company in achieving its 2026 financial targets, ensuring long-term profitable growth.
- Outstanding Stock Performance: Over the past year, L3Harris stock surged by 49.04%, closing at $306.10, reflecting market confidence in its future growth potential.
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Analyst Views on LHX
Wall Street analysts forecast LHX stock price to fall
14 Analyst Rating
11 Buy
3 Hold
0 Sell
Strong Buy
Current: 307.620
Low
212.00
Averages
253.50
High
280.00
Current: 307.620
Low
212.00
Averages
253.50
High
280.00
About LHX
L3Harris Technologies, Inc. provides end-to-end technology solutions connecting the space, air, land, sea and cyber domains in the interest of national security. Its segments include Space & Airborne Systems (SAS), Integrated Mission Systems (IMS), Communication Systems (CS), and Aerojet Rocketdyne (AR). The SAS segment supplies full mission solutions as a prime and subsystem integrator in the space, airborne and cyber domains. The IMS segment delivers differentiated mission capabilities and prime systems integration to support intelligence, reconnaissance and surveillance (ISR), passive sensing and targeting, electronic attack, autonomy, power and communications, networks and sensors. CS enables warfighters across all domains with solutions critical to mission success even in the contested environments. The AR segment provides propulsion, power and armament products and systems to the U.S. Government, including the DoD, NASA and various aerospace and defense prime contractors.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Technical Analysis Data: Information from TechnicalAnalysisChannel.com highlights the relationship between LHX's stock price and its 200-day moving average, which could influence investor trading decisions, particularly as the price approaches technical support or resistance levels.
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- Live Streaming and Replay: The presentation will be streamed live on L3Harris.com, with a recording available afterward, ensuring that investors and stakeholders who cannot attend in real-time can access the information, thereby enhancing the company's transparency.
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- Growth Concerns: Despite achieving an 85% year-over-year growth rate last quarter, Palantir's slower new contract growth has resulted in a book-to-bill ratio below 1.0, leading to cautious investor sentiment regarding future sales growth.
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- Price Fluctuation Analysis: LHX's 52-week low is $214.10 per share, while the high is $379.23, with the last trade at $308.92, indicating significant price movement within this range and reflecting market interest and investor sentiment changes.
- Technical Analysis Data: Information from TechnicalAnalysisChannel.com highlights the relationship between LHX's stock price and its 200-day moving average, which could influence investor trading decisions, particularly as the price approaches technical support or resistance levels.
- Market Sentiment Impact: The current price of $308.92 is close to the 52-week low, potentially prompting varied investor perspectives on future trends, especially amid increased market volatility, which may affect LHX's short-term investment appeal.
- Investor Focus: LHX's stock performance is closely tied to its fundamentals and market conditions, necessitating that investors monitor relevant technical indicators and market dynamics to make more informed investment decisions.
See More
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- Record Backlog: The company's backlog has nearly doubled to over $40 billion, not including the $25 billion in orders pending with the Munitions Acceleration Council, indicating strong future revenue potential and market confidence.
- New Company Formation: L3Harris announced the naming of its missile solutions segment as AXYV and filed a confidential Form S-1 with the SEC for an IPO, which is expected to provide new capital and growth opportunities for the company.
- Optimistic Financial Guidance: The company reaffirmed its 2026 revenue guidance of $23 billion to $23.5 billion and raised its GAAP EPS forecast by $0.10 to a range of $11.40 to $11.60, reflecting management's confidence and positive outlook for future performance.
See More
