Leonardo DRS, Inc. $DRS Shares Purchased by UBS Group AG

Key Points

• UBS Group AG increased its stake in Leonardo DRS by 22.3% in the fourth quarter, ending with 870,543 shares valued at about $29.7 million. Several other institutional investors also boosted holdings, and hedge funds and other institutions now own 18.76% of the company.
• Leonardo DRS posted strong quarterly results, reporting EPS of $0.26 versus estimates of $0.21 and revenue of $846 million versus expectations of $825.05 million. Revenue rose 5.9% year over year, and the company raised FY 2026 guidance to 1.260-1.300 EPS.
• The company announced a quarterly dividend of $0.09 per share, payable June 2 to shareholders of record on May 19. Meanwhile, analysts maintain a consensus rating of Moderate Buy with a $52.00 target price, though some insiders have recently sold shares.

UBS Group AG raised its stake in Leonardo DRS, Inc. (NASDAQ:DRS - Free Report) by 22.3% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 870,543 shares of the company's stock after buying an additional 158,955 shares during the period. UBS Group AG owned approximately 0.33% of Leonardo DRS worth $29,677,000 at the end of the most recent reporting period.

A number of other hedge funds also recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its holdings in Leonardo DRS by 0.5% in the fourth quarter. Vanguard Group Inc. now owns 7,717,551 shares of the company's stock valued at $263,091,000 after buying an additional 34,858 shares in the last quarter. First Trust Advisors LP increased its holdings in Leonardo DRS by 116.8% in the third quarter. First Trust Advisors LP now owns 3,661,214 shares of the company's stock valued at $166,219,000 after buying an additional 1,972,596 shares in the last quarter. State Street Corp increased its holdings in Leonardo DRS by 8.3% in the second quarter. State Street Corp now owns 3,311,605 shares of the company's stock valued at $153,923,000 after buying an additional 254,975 shares in the last quarter. Van ECK Associates Corp increased its holdings in Leonardo DRS by 9.3% in the third quarter. Van ECK Associates Corp now owns 1,820,059 shares of the company's stock valued at $82,631,000 after buying an additional 154,792 shares in the last quarter. Finally, Millennium Management LLC increased its holdings in Leonardo DRS by 152.1% in the third quarter. Millennium Management LLC now owns 1,776,185 shares of the company's stock valued at $80,639,000 after buying an additional 1,071,708 shares in the last quarter. 18.76% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Leonardo DRS

In other news, CFO Michael Dippold sold 16,330 shares of the firm's 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 completion of the transaction, the chief financial officer directly owned 26,622 shares of the company's stock, valued at $1,205,177.94. This trade represents a 38.02% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Pamela Morrow sold 12,000 shares of the firm's stock in a transaction that occurred on Tuesday, March 3rd. The stock was sold at an average price of $45.20, for a total transaction of $542,400.00. Following the sale, the senior vice president owned 6,494 shares in the company, valued at approximately $293,528.80. This trade represents a 64.89% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 64,361 shares of company stock valued at $2,944,837 in the last ninety days. Corporate insiders own 0.25% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on the stock. Weiss Ratings cut shares of Leonardo DRS from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday. Truist Financial raised shares of Leonardo DRS to a "strong-buy" rating in a report on Friday, May 1st. Wall Street Zen raised shares of Leonardo DRS from a "hold" rating to a "buy" rating in a report on Sunday. Morgan Stanley set a $47.00 target price on shares of Leonardo DRS in a report on Wednesday, February 25th. Finally, Canaccord Genuity Group increased their target price on shares of Leonardo DRS from $52.00 to $54.00 and gave the company a "buy" rating in a report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $52.00.

Leonardo DRS Trading Down 0.2%

Shares of DRS opened at $41.36 on Friday. The company has a debt-to-equity ratio of 0.05, a current ratio of 1.86 and a quick ratio of 1.60. The firm has a 50 day simple moving average of $44.58 and a 200-day simple moving average of $39.79. Leonardo DRS, Inc. has a 1-year low of $32.43 and a 1-year high of $49.31. The stock has a market cap of $11.03 billion, a price-to-earnings ratio of 38.65, a price-to-earnings-growth ratio of 3.01 and a beta of 0.29.

Leonardo DRS (NASDAQ:DRS - Get Free Report) last issued its quarterly earnings data on Tuesday, May 5th. The company reported $0.26 earnings per share for the quarter, topping analysts' consensus estimates of $0.21 by $0.05. Leonardo DRS had a net margin of 7.85% and a return on equity of 12.02%. The business had revenue of $846.00 million during the quarter, compared to analysts' expectations of $825.05 million. During the same period last year, the company posted $0.20 EPS. The company's revenue was up 5.9% on a year-over-year basis. Leonardo DRS has set its FY 2026 guidance at 1.260-1.300 EPS. Equities analysts forecast that Leonardo DRS, Inc. will post 1.29 EPS for the current fiscal year.

Leonardo DRS Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 2nd. Stockholders of record on Tuesday, May 19th will be paid a dividend of $0.09 per share. This represents a $0.36 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Tuesday, May 19th. Leonardo DRS's dividend payout ratio (DPR) is 33.64%.

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.

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