L3Harris Technologies just upgraded at Deutsche Bank, here’s why

Deutsche Bank upgraded L3Harris Technologies to Buy from Hold with a price target of $240, up from $184, which reflects 16% upside potential. The analyst sees “three bifurcations” in L3Harris’ relative equity story. The first is that the company is set to meaningfully expand margins over the next three years while peers have a comparatively flattish outlook, the analyst tells investors in a research note. The firm says the second bifurcation is that L3Harris is increasingly moving beyond the factors pressuring its equity story, whereas several large cap peers face mounting challenges, and the third is the shares trade at a discount to peers despite a “clear-cut margin upside story and a shrinking relative downside risk.”