Leonardo DRS (NASDAQ:DRS) Announces Earnings Results

Key Points

• Leonardo DRS reported $0.26 EPS, beating estimates by $0.05 with revenue up 5.9% year-over-year, and updated FY2026 guidance to 1.260–1.300 EPS.
• Analyst sentiment is broadly positive—MarketBeat shows an average rating of Moderate Buy and a consensus price target of $51.33, with several firms (e.g., Bank of America, Truist) raising ratings or targets.
• The company declared a quarterly dividend of $0.09 (annualized $0.36, ~0.9% yield), while insiders sold 64,361 shares (~$2.94M) in the last three months, leaving insider ownership at 0.25%.

Leonardo DRS (NASDAQ:DRS - Get Free Report) announced its quarterly earnings data on Tuesday. The company reported $0.26 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.21 by $0.05, Briefing.com reports. Leonardo DRS had a net margin of 7.62% and a return on equity of 11.68%. During the same period in the previous year, the firm earned $0.20 EPS. The company's revenue was up 5.9% compared to the same quarter last year. Leonardo DRS updated its FY 2026 guidance to 1.260-1.300 EPS.

Leonardo DRS Trading Up 0.1%

Shares of NASDAQ DRS traded up $0.05 during midday trading on Tuesday, reaching $40.05. 79,519 shares of the stock were exchanged, compared to its average volume of 1,184,023. The business has a 50-day simple moving average of $44.57 and a two-hundred day simple moving average of $39.76. The company has a market capitalization of $10.65 billion, a price-to-earnings ratio of 38.62, a P/E/G ratio of 2.97 and a beta of 0.29. Leonardo DRS has a 12 month low of $32.43 and a 12 month high of $49.31. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.89 and a quick ratio of 1.60.

Leonardo DRS Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 24th. Stockholders of record on Tuesday, March 10th were given 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 was Tuesday, March 10th. Leonardo DRS's dividend payout ratio (DPR) is currently 34.95%.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on DRS. Truist Financial raised shares of Leonardo DRS to a "strong-buy" rating in a research note on Friday. Wall Street Zen cut shares of Leonardo DRS from a "buy" rating to a "hold" rating in a research note on Saturday. Bank of America raised their price objective on shares of Leonardo DRS from $50.00 to $55.00 and gave the company a "buy" rating in a research note on Wednesday, March 25th. Weiss Ratings raised shares of Leonardo DRS from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, March 20th. Finally, Morgan Stanley set a $47.00 price objective on shares of Leonardo DRS in a research note on Wednesday, February 25th. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $51.33.

Insider Transactions at Leonardo DRS

In other news, EVP Sally Wallace sold 28,960 shares of the company's stock in a transaction that occurred on 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 completion of the transaction, the executive vice president owned 58,353 shares in the company, valued at $2,704,661.55. This represents a 33.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Pamela Morrow sold 12,000 shares of the business's stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $45.20, for a total transaction of $542,400.00. Following the completion of the sale, the senior vice president directly owned 6,494 shares in the company, valued at $293,528.80. This represents a 64.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 64,361 shares of company stock valued at $2,944,837 over the last three months. 0.25% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Leonardo DRS

Several institutional investors have recently added to or reduced their stakes in DRS. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in Leonardo DRS by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 43,817 shares of the company's stock valued at $1,441,000 after acquiring an additional 1,922 shares in the last quarter. Millennium Management LLC lifted its position in Leonardo DRS by 29.0% in the 1st quarter. Millennium Management LLC now owns 369,749 shares of the company's stock valued at $12,157,000 after acquiring an additional 83,077 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in Leonardo DRS by 9.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 148,474 shares of the company's stock valued at $4,882,000 after acquiring an additional 12,712 shares in the last quarter. Intech Investment Management LLC lifted its position in Leonardo DRS by 18.6% in the 1st quarter. Intech Investment Management LLC now owns 48,560 shares of the company's stock valued at $1,597,000 after acquiring an additional 7,625 shares in the last quarter. Finally, Acadian Asset Management LLC bought a new stake in Leonardo DRS in the 1st quarter valued at $225,000. 18.76% of the stock is owned by 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.

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