Leonardo DRS, Inc. (NASDAQ:DRS) Receives Consensus Rating of “Moderate Buy” from Brokerages

Shares of Leonardo DRS, Inc. (NASDAQ:DRS) have earned an average rating of “Moderate Buy” from the eight brokerages that are currently covering the company, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a hold rating and five have issued a buy rating on the company. The average 1-year price target among analysts that have issued a report on the stock in the last year is $50.3333.

DRS has been the topic of several research reports. Wall Street Zen cut shares of Leonardo DRS from a “buy” rating to a “hold” rating in a research report on Saturday, February 28th. Weiss Ratings upgraded shares of Leonardo DRS from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday. Truist Financial set a $59.00 target price on Leonardo DRS in a research note on Wednesday, February 25th. Finally, Morgan Stanley set a $47.00 price target on Leonardo DRS in a research report on Wednesday, February 25th.

Leonardo DRS Stock Down 3.7%

Shares of NASDAQ DRS opened at $43.78 on Monday. The company has a current ratio of 1.89, a quick ratio of 1.60 and a debt-to-equity ratio of 0.12. The business has a 50-day moving average of $42.23 and a 200-day moving average of $39.45. The firm has a market capitalization of $11.65 billion, a price-to-earnings ratio of 42.51, a PEG ratio of 2.18 and a beta of 0.41. Leonardo DRS has a 12 month low of $28.17 and a 12 month high of $49.31.

Leonardo DRS (NASDAQ:DRS) last announced its earnings results on Tuesday, February 24th. The company reported $0.42 earnings per share for the quarter, beating analysts’ consensus estimates of $0.37 by $0.05. Leonardo DRS had a net margin of 7.62% and a return on equity of 11.68%. The business had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $994.79 million. During the same period last year, the firm posted $0.38 earnings per share. Leonardo DRS’s quarterly revenue was up 8.1% on a year-over-year basis. Leonardo DRS has set its FY 2026 guidance at 1.200-1.260 EPS. Sell-side analysts expect that Leonardo DRS will post 1.04 earnings per share for the current fiscal year.

Leonardo DRS Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 24th. Investors of record on Tuesday, March 10th will be issued a dividend of $0.09 per share. This represents a $0.36 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend is Tuesday, March 10th. Leonardo DRS’s dividend payout ratio (DPR) is currently 34.95%.

Insider Buying and Selling

In other Leonardo DRS news, CFO Michael Dippold sold 16,330 shares of the stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $45.27, for a total transaction of $739,259.10. Following the transaction, the chief financial officer directly owned 26,622 shares in the company, valued at $1,205,177.94. This trade represents a 38.02% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Sally Wallace sold 1,300 shares of Leonardo DRS stock in a transaction that occurred on Monday, January 5th. The stock was sold at an average price of $35.17, for a total transaction of $45,721.00. Following the transaction, the executive vice president directly owned 58,353 shares in the company, valued at $2,052,275.01. This trade represents a 2.18% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 40,218 shares of company stock worth $1,719,136 in the last quarter. 0.12% of the stock is owned by insiders.

Hedge Funds Weigh In On Leonardo DRS

Several institutional investors and hedge funds have recently made changes to their positions in the business. Munro Partners grew its stake in shares of Leonardo DRS by 72.5% during the third quarter. Munro Partners now owns 170,345 shares of the company’s stock valued at $7,734,000 after buying an additional 71,590 shares during the last quarter. Stephens Investment Management Group LLC increased its holdings in shares of Leonardo DRS by 20.6% in the third quarter. Stephens Investment Management Group LLC now owns 817,465 shares of the company’s stock worth $37,113,000 after buying an additional 139,531 shares during the period. CWM LLC lifted its stake in shares of Leonardo DRS by 460.8% in the 3rd quarter. CWM LLC now owns 37,677 shares of the company’s stock valued at $1,711,000 after acquiring an additional 30,958 shares during the last quarter. Invesco Ltd. boosted its holdings in Leonardo DRS by 30.1% during the 2nd quarter. Invesco Ltd. now owns 3,768,160 shares of the company’s stock valued at $175,144,000 after acquiring an additional 870,772 shares during the period. Finally, Voya Investment Management LLC boosted its holdings in Leonardo DRS by 21.3% during the 3rd quarter. Voya Investment Management LLC now owns 1,807,025 shares of the company’s stock valued at $82,039,000 after acquiring an additional 317,294 shares during the period. Institutional investors own 18.76% of the company’s stock.

About Leonardo DRS

Leonardo DRS is a U.S.-based defense technology company and wholly owned subsidiary of Italy’s Leonardo S.p.A. The firm specializes in developing and integrating mission-critical systems for military and government customers, with a primary focus on command, control, communications, computers, intelligence, surveillance and reconnaissance (C4ISR). Its core offerings encompass advanced sensors, targeting systems, radars and electronic warfare solutions designed to enhance situational awareness and operational effectiveness across land, sea and air domains.

The company’s portfolio includes naval combat management systems, unmanned vehicle sensors, power generation and distribution equipment, and training and simulation solutions.