Leonardo DRS (NASDAQ:DRS) Sets New 1-Year High – Here’s Why

Leonardo DRS, Inc. (NASDAQ:DRS) shares hit a new 52-week high during mid-day trading on Thursday . The company traded as high as $49.34 and last traded at $49.3370, with a volume of 371388 shares. The stock had previously closed at $46.11.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on DRS. Morgan Stanley set a $47.00 price objective on Leonardo DRS in a report on Wednesday, February 25th. Canaccord Genuity Group increased their price objective on Leonardo DRS from $52.00 to $54.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Bank of America increased their price objective on Leonardo DRS from $50.00 to $55.00 and gave the stock a “buy” rating in a report on Wednesday, March 25th. Weiss Ratings raised Leonardo DRS from a “hold (c)” rating to a “hold (c+)” rating in a report on Friday, June 5th. Finally, Truist Financial raised Leonardo DRS to a “strong-buy” rating in a report on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $52.00.

Leonardo DRS Trading Down 2.3%

The firm has a fifty day simple moving average of $44.60 and a two-hundred day simple moving average of $41.33. The stock has a market cap of $12.95 billion, a PE ratio of 45.36, a PEG ratio of 3.58 and a beta of 0.34. The company has a current ratio of 1.86, a quick ratio of 1.52 and a debt-to-equity ratio of 0.05.

Leonardo DRS (NASDAQ:DRS) last released its quarterly earnings results on Tuesday, May 5th. The company reported $0.26 earnings per share for the quarter, beating the consensus estimate of $0.21 by $0.05. Leonardo DRS had a return on equity of 12.02% and a net margin of 7.85%.The firm had revenue of $846.00 million for the quarter, compared to analysts’ expectations of $825.05 million. During the same quarter last year, the firm posted $0.20 EPS. The company’s revenue was up 5.9% compared to the same quarter last year. Leonardo DRS has set its FY 2026 guidance at 1.260-1.300 EPS. As a group, equities analysts expect that Leonardo DRS, Inc. will post 1.3 earnings per share for the current fiscal year.

Leonardo DRS Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 2nd. Shareholders of record on Tuesday, May 19th were issued a $0.09 dividend. The ex-dividend date of this dividend was Tuesday, May 19th. This represents a $0.36 annualized dividend and a dividend yield of 0.7%. Leonardo DRS’s dividend payout ratio (DPR) is presently 33.64%.

Insider Transactions at Leonardo DRS

In other news, SVP Pamela Morrow sold 11,545 shares of the stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $45.13, for a total transaction of $521,025.85. Following the transaction, the senior vice president directly owned 10,551 shares in the company, valued at approximately $476,166.63. This represents a 52.25% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Sally Wallace sold 28,960 shares of the stock in a transaction dated Thursday, April 2nd. The shares were sold at an average price of $46.35, for a total value of $1,342,296.00. Following the transaction, the executive vice president owned 58,353 shares in the company, valued at $2,704,661.55. This trade represents a 33.17% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 76,089 shares of company stock worth $3,491,236. 0.25% of the stock is owned by insiders.

Hedge Funds Weigh In On Leonardo DRS

A number of large investors have recently bought and sold shares of the stock. Bank of Montreal Can increased its stake in Leonardo DRS by 1.6% in the 4th quarter. Bank of Montreal Can now owns 19,513 shares of the company’s stock worth $665,000 after purchasing an additional 309 shares during the period. Sequoia Financial Advisors LLC increased its stake in Leonardo DRS by 4.7% in the 4th quarter. Sequoia Financial Advisors LLC now owns 7,228 shares of the company’s stock worth $246,000 after purchasing an additional 322 shares during the period. Osaic Holdings Inc. increased its stake in Leonardo DRS by 17.0% in the 2nd quarter. Osaic Holdings Inc. now owns 2,383 shares of the company’s stock worth $111,000 after purchasing an additional 347 shares during the period. Stephens Inc. AR increased its stake in Leonardo DRS by 3.3% in the 4th quarter. Stephens Inc. AR now owns 12,165 shares of the company’s stock worth $415,000 after purchasing an additional 389 shares during the period. Finally, Penn Capital Management Company LLC increased its stake in Leonardo DRS by 0.9% in the 3rd quarter. Penn Capital Management Company LLC now owns 45,880 shares of the company’s stock worth $2,115,000 after purchasing an additional 406 shares during the period. 18.76% of the stock is owned by hedge funds and other institutional investors.

Leonardo DRS Company Profile

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.