Leonardo DRS, Inc. (DRS) Stock Analysis
Breakout setup
Industrials · Aerospace & Defense
Sell if holding. At $48.90, A.R:R is negative (-0.3) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: U.S. government (80.0%); Concentration risk — Supplier: sole-source component suppliers.
Leonardo DRS provides advanced defense technology to the U.S. military and allied forces through two segments: Advanced Sensing and Computing (sensors, EW, computing) and Integrated Mission Systems (naval propulsion, force protection). 80% of 2025 revenues came from U.S.... Read more
Sell if holding. At $48.90, A.R:R is negative (-0.3) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: U.S. government (80.0%); Concentration risk — Supplier: sole-source component suppliers. Chart setup: Golden cross, above all MAs, RSI 61, MACD bullish. Score 4.9/10, high confidence.
Passes 6/8 gates (positive momentum, clean insider activity, news events none recent, earnings proximity 44d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
Recent developments
updated 2026-06-14Recent Developments — Leonardo DRS, Inc.
Latest news
- NEWS Why Leonardo DRS stock trounced the market today - MSN — MSN positive
- NEWS Drs Lee and Saxena on Future Directions for PD-L1 Evaluation in EGFR-Mutated NSCLC - OncLive — OncLive neutral
- NEWS Fund Update: 1,098,108 LEONARDO DRS (DRS) shares added to Stephens Investment Management Group LLC portfolio - Quiver Qu — Quiver Quantitative positive
- NEWS Leonardo DRS (DRS) Projected to Post Earnings on Tuesday - MarketBeat — MarketBeat neutral
- NEWS Is Leonardo DRS a Good Stock to Buy? - HarianBasis.co — HarianBasis.co neutral
Generated 2026-06-15T18:11:46Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomerU.S. government80%10-K Item 1: 'Revenues derived directly, as a prime contractor, or indirectly, as a subcontractor, from contracts with the U.S. government represented 80%, 79% and 80% of our total revenues for 2025, 2024, and 2023, respectively'
- MEDIUMCustomerU.S. Navy36%10-K Item 1: 'revenues principally derived directly or indirectly from contracts with the U.S. Navy and U.S. Army, which represented 36% and 36%, respectively, of our total revenues for the year ended December 31, 2025'
- MEDIUMCustomerU.S. Army36%10-K Item 1: 'revenues principally derived directly or indirectly from contracts with the U.S. Navy and U.S. Army, which represented 36% and 36%, respectively, of our total revenues for the year ended December 31, 2025'
- HIGHSuppliersole-source component suppliers10-K Item 1: 'several suppliers serve as the sole source of certain components. If a supplier should cease to deliver such components, generally, but not in all cases, we would expect that other sources would be available'
Material Events(8-K, last 90d)
- 2026-03-10Item 5.02LOWDavid W. Carey (proxy holder director) retiring March 31, 2026 after 17 years; no disagreement cited. Reuben Jeffery III approved by DCSA and appointed as replacement proxy holder director effective April 1, 2026.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $48.90, A.R:R is negative (-0.3) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: U.S. government (80.0%); Concentration risk — Supplier: sole-source component suppliers. Chart setup: Golden cross, above all MAs, RSI 61, MACD bullish. Prior stop was $45.13. Score 4.9/10, high confidence.
Take-profit target: $49.58 (+2.2% upside). Prior stop was $45.13. Stop-loss: $45.13.
Concentration risk — Customer: U.S. government (80.0%); Concentration risk — Supplier: sole-source component suppliers; Analyst target reached - limited upside remaining.
Leonardo DRS, Inc. trades at a P/E of 45.4 (forward 33.7). TrendMatrix value score: 3.9/10. Verdict: Sell.
15 analysts cover DRS with a consensus score of 4.1/5. Average price target: $53.
What does Leonardo DRS, Inc. do?Leonardo DRS provides advanced defense technology to the U.S. military and allied forces through two segments: Advanced...
Leonardo DRS provides advanced defense technology to the U.S. military and allied forces through two segments: Advanced Sensing and Computing (sensors, EW, computing) and Integrated Mission Systems (naval propulsion, force protection). 80% of 2025 revenues came from U.S. government contracts, with the Navy and Army each representing 36% of total revenues.