Want to see IT:LDO full AI Analyst Report?
Top Page
Leonardo Spa
(LDO)
Select Model
Select Model
Rating:66Neutral
Price Target:
€51.00
▼(-5.76% Downside)
Action:Downgraded
Date:08/06/26
The score is driven primarily by strengthening financial performance—solid growth, improving margins, and a de-levering balance sheet—offset by only moderate/volatile free-cash-flow conversion. Technically, the uptrend is supported by positive MACD and price above major moving averages, but overbought signals (RSI/Stoch) add near-term risk. Valuation is a secondary drag due to a higher P/E and modest yield.
Positive Factors
Strong revenue growth
Strong revenue expansion indicates sustained demand for Leonardo’s aerospace, defense, and security offerings across governmental and commercial markets. Continued top-line growth can support scale benefits, fund product development, and strengthen the company’s position in multi-year programs.
Negative Factors
Incomplete cash conversion
Free cash flow that converts only about half of reported net income indicates that accounting earnings are not fully becoming discretionary cash. Over time, this can constrain debt reduction, investment, and shareholder distributions, making earnings quality less robust.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue growth
Strong revenue expansion indicates sustained demand for Leonardo’s aerospace, defense, and security offerings across governmental and commercial markets. Continued top-line growth can support scale benefits, fund product development, and strengthen the company’s position in multi-year programs.
Read all positive factors
Leonardo Spa (LDO) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€27.78B
Dividend Yield1.33%
Average Volume (3M)1.84M
Price to Earnings (P/E)24.2
Beta (1Y)0.83
Revenue Growth10.11%
EPS Growth7.22%
CountryIT
Employees66,510
SectorGeneral
Sector StrengthN/A
IndustryAerospace & Defense
Share Statistics
EPS (TTM)1.95
Shares Outstanding578,150,400
10 Day Avg. Volume1,646,925
30 Day Avg. Volume1,839,025
Financial Highlights & Ratios
PEG Ratio1.73
Price to Book (P/B)2.97
Price to Sales (P/S)1.45
P/FCF Ratio29.02
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€70.20Price Target Upside29.71% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)2.36
Revenue Forecast (FY)€22.30B
Leonardo Spa Business Overview & Revenue Model
Company Description
Leonardo S.p.A. is a prominent industrial and technology firm with operations spanning Italy, the United Kingdom, the rest of Europe, the United States, and other international markets. The company's core activities are centered around helicopters...
How the Company Makes Money
Leonardo makes money primarily by selling aerospace and defense platforms, mission systems, and integrated solutions, and by providing long-term services that support those products throughout their lifecycle. Key revenue streams include: (1) Prod...
Leonardo Spa Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
74
Positive
Cash Flow
66
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 20.59B | 19.50B | 17.76B | 15.29B | 14.71B | 14.13B |
| Gross Profit | 1.83B | 1.73B | 1.45B | 1.22B | 1.22B | 1.05B |
| EBITDA | 2.37B | 2.51B | 2.38B | 1.71B | 1.80B | 1.43B |
| Net Income | 1.13B | 1.22B | 1.07B | 658.00M | 927.00M | 586.00M |
Balance Sheet | ||||||
| Total Assets | 37.06B | 34.51B | 33.67B | 30.69B | 28.58B | 28.38B |
| Cash, Cash Equivalents and Short-Term Investments | 986.00M | 3.24B | 2.56B | 2.41B | 1.51B | 2.48B |
| Total Debt | 4.51B | 4.49B | 4.70B | 4.93B | 4.61B | 5.67B |
| Total Liabilities | 26.20B | 23.77B | 23.47B | 22.13B | 20.53B | 21.54B |
| Stockholders Equity | 9.67B | 9.56B | 8.99B | 7.80B | 7.18B | 6.43B |
Cash Flow | ||||||
| Free Cash Flow | 1.14B | 977.00M | 646.00M | 404.00M | 523.00M | 190.00M |
| Operating Cash Flow | 2.27B | 1.99B | 1.54B | 1.19B | 1.28B | 805.00M |
| Investing Cash Flow | -2.73B | -605.00M | -753.00M | -262.00M | -924.00M | -604.00M |
| Financing Cash Flow | -349.00M | -611.00M | -678.00M | -12.00M | -1.40B | 30.00M |
Leonardo Spa Technical Analysis
Negative
54.12
Price Trends
52.98
Negative
52.07
Negative
53.91
Negative
Market Momentum
-1.27
Positive
33.09
Neutral
18.96
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:LDO, the sentiment is Negative. The current price of 54.12 is above the 20-day moving average (MA) of 49.34, above the 50-day MA of 52.98, and above the 200-day MA of 53.91, indicating a bearish trend. The MACD of -1.27 indicates Positive momentum. The RSI at 33.09 is Neutral, neither overbought nor oversold. The STOCH value of 18.96 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IT:LDO.
Leonardo Spa Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | €4.59B | 18.36 | 17.20% | 1.07% | 6.01% | 10.21% | |
68 Neutral | €1.38B | 50.62 | 2.96% | 0.51% | 13.94% | 208.59% | |
66 Neutral | €27.78B | 24.22 | 11.71% | 1.33% | 10.11% | 7.22% | |
61 Neutral | €669.12M | 19.82 | 8.43% | 2.97% | -4.62% | -23.89% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% | |
52 Neutral | €4.82B | 18.54 | 21.95% | 0.93% | -0.60% | 41.35% | |
48 Neutral | €45.38B | 111.24 | 2.66% | 0.60% | 3.00% | -33.57% |
* General Sector Average
IT:LDO
Leonardo Spa
46.01
-9.52
-17.15%
IT:AVIO
Avio S.p.A.
28.75
-22.93
-44.37%
IT:FCT
Fincantieri S.p.A.
11.97
-14.75
-55.22%
IT:PIA
Piaggio & C. SPA
1.95
-0.07
-3.28%
IT:REY
Reply SPA
125.80
4.01
3.29%
IT:STMMI
STMicroelectronics NV
49.88
25.40
103.81%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.