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Leonardo DRS (DRS)
NASDAQ:DRS
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Leonardo Drs (DRS) Price & Analysis

1,182 Followers

DRS Stock Chart & Stats

$38.16
-$0.06(-0.12%)
At close: 4:00 PM EDT
$38.16
-$0.06(-0.12%)

Bulls Say, Bears Say

Bulls Say
Revenue And Margin GrowthSteady revenue expansion alongside higher gross and net margins indicates improving operating performance, not merely increased volume. If sustained, this combination can strengthen earnings power, support reinvestment in defense technology, and improve resilience across upcoming contract cycles.
Backlog And Bookings VisibilityBookings above revenue and a record funded backlog provide meaningful visibility into future production and service activity. The 18-quarter streak of book-to-bill at or above 1.0 suggests sustained demand and supports continued growth even as individual program deliveries fluctuate.
Cash Generation And LeverageStrongening cash generation paired with very low leverage gives DRS flexibility to fund research, capacity expansion, acquisitions, and shareholder returns without relying heavily on external capital. This balance-sheet profile also improves the company's ability to absorb contract timing variability.
Bears Say
Revenue Conversion TimingA longer conversion cycle can delay revenue recognition even when demand and bookings remain healthy. Greater exposure to solution-level programs may therefore create uneven quarterly delivery patterns, complicate near-term execution, and increase working-capital needs as milestones and material receipts move.
Defense Budget TimingFederal funding and appropriations delays can defer contract awards, option exercises, and program starts even when underlying defense priorities remain favorable. This creates a structural timing risk for DRS because its revenue model depends heavily on funded government and defense-prime programs.
Capacity Expansion PressureCapacity expansion is needed to address demand but raises execution and investment requirements over the next several quarters. Ramping facilities and production capability can pressure cash conversion, increase fixed costs, and create delivery risks if demand growth outpaces operational readiness.

Leonardo Drs News

DRS FAQ

What was Leonardo DRS’s price range in the past 12 months?
Leonardo DRS lowest stock price was $32.43 and its highest was $50.59 in the past 12 months.
    What is Leonardo DRS’s market cap?
    Leonardo DRS’s market cap is $9.39B.
      When is Leonardo DRS’s upcoming earnings report date?
      Leonardo DRS’s upcoming earnings report date is Oct 29, 2026 which is in 9 days.
        How were Leonardo DRS’s earnings last quarter?
        Leonardo DRS released its earnings results on Jul 30, 2026. The company reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.273 by $0.077.
          Is Leonardo DRS overvalued?
          According to Wall Street analysts Leonardo DRS’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Leonardo DRS pay dividends?
            Leonardo DRS pays a Quarterly dividend of $0.09 which represents an annual dividend yield of 1.02%. See more information on Leonardo DRS dividends here
              What is Leonardo DRS’s EPS estimate?
              Leonardo DRS’s EPS estimate is 0.35.
                How many shares outstanding does Leonardo DRS have?
                Leonardo DRS has 266,891,500 shares outstanding.
                  What happened to Leonardo DRS’s price movement after its last earnings report?
                  Leonardo DRS reported an EPS of $0.35 in its last earnings report, beating expectations of $0.273. Following the earnings report the stock price went down -1.976%.
                    Which hedge fund is a major shareholder of Leonardo DRS?
                    Currently, no hedge funds are holding shares in DRS
                    What is the TipRanks Smart Score and how is it calculated?
                    Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                      Company Description

                      Leonardo DRS

                      Established in Arlington, Virginia, in 1969, Leonardo DRS, Inc. is a leading supplier of advanced defense products and technologies. The company's diverse portfolio addresses military requirements across various environments, including land, air, sea, space, and cybersecurity, with additional applications in the commercial sector. Its operations are organized into two primary divisions: Advanced Sensing and Computing, and Integrated Mission Systems. DRS provides sophisticated sensing solutions, such as infrared systems for threat identification and improving situational awareness, alongside uncooled infrared technologies and systems designed to mitigate brownout conditions. Their electronic warfare (EW) capabilities encompass airborne, vehicle-mounted, and soldier-borne systems, supported by specialized EW software, training tools, and intelligence services. Furthermore, Leonardo DRS develops essential computing systems for military platforms like ground vehicles, ships, and submarines. These offerings include robust network and data distribution applications, integrated sensor systems, and resilient networked computing infrastructure. The company also specializes in force protection, delivering solutions for counter-unmanned aerial systems (C-UAS), short-range air defense, and active protection systems. Additionally, DRS is a key provider of power management and propulsion technologies, offering systems for power control, distribution, conversion, and propulsion—including hybrid electric drive systems, energy storage solutions, gas turbine packages, nuclear instrumentation and controls, and thermal management and refrigeration equipment. Leonardo DRS serves a broad client base, which includes the U.S. military, major aerospace and defense contractors, government intelligence agencies, and international armed forces.

                      Leonardo Drs (DRS) Earnings & Revenues

                      DRS Company Deck

                      DRS Earnings Call

                      Q2 2026
                      0:00 / 0:00
                      Earnings Call Sentiment|Positive
                      The call conveyed strong operational and financial momentum: double-digit organic revenue growth (10% YoY), substantial adjusted EBITDA growth (33% YoY) and margin expansion (240 bps), record funded backlog, robust bookings (> $1B) and strengthened cash generation. Management raised profit guidance and announced a strategic, accretive acquisition (RAFT) to expand AI/data-fusion software capabilities. Near-term caveats include expected Q3 margin normalization due to a one-time program risk retirement benefit in Q2, timing-related revenue conversion risks as backlog shifts toward solutions, and typical budget timing uncertainty. Overall, the positives (growth, margin expansion, backlog, disciplined M&A and cash flow) outweigh the highlighted near-term caveats.View all DRS earnings summaries

                      DRS Stock 12 Month Forecast

                      Average Price Target

                      $51.57
                      ▲(35.15% Upside)
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9,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 3, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":45.217,"date":1772323200000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 8,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 2, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":45.672,"date":1775001600000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 5,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 2, \t&nbsp;</span>\n     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                      Ownership Overview

                      0.31%10.58%0.08%81.59%
                      0.08% Other Institutional Investors
                      81.59% Public Companies and
                      Individual Investors
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