Leonardo DRS

DRS · NASDAQ

$33.94−$1.24 (−3.52%)TodayMarket closed · Oct 20, 7:42 PM ET

Prev close $35.18

DRS analyst rating

BuyConsensus of 5 analysts over the last 12 months. 60% rate it a buy.

Strong buy0
Buy3
Hold2
Underperform0
Sell0

12-month price target · 13 analysts

Average $55.20 (+62.7% upside)

Low: $47.47
Now: $33.94
High: $61.95

Upgrades and downgrades

The latest rating actions, newest first

DRS analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
Morgan Stanley	Oct 19, 2026	Maintains	Equal-Weight	$47.00 → $44.00	61%
Guggenheim	Sep 15, 2026	Initiates	Buy	$51.00	71%
JP Morgan	Jul 31, 2026	Maintains	Neutral	$48.00 → $53.00	63%
Canaccord Genuity	May 6, 2026	Maintains	Buy	$52.00 → $54.00	31%
B of A Securities	Mar 25, 2026	Maintains	Buy	$50.00 → $55.00	57%
Canaccord Genuity	Oct 30, 2025	Maintains	Buy	$50.00	31%
Truist Securities	Oct 30, 2025	Maintains	Buy	$49.00 → $47.00	71%

The case for and against

Updated Apr 17, 2026

Bull case

Leonardo DRS Inc has demonstrated a strong financial performance with total bookings reaching $1.3 billion, resulting in a record backlog of $8.9 billion, which reflects a year-over-year increase of 8%. The company's Advanced Sensing and Computing segment has been a key driver of growth, evidenced by a 24% year-over-year increase in new funded bookings during Q3/25, alongside robust demand in the Integrated Mission Systems segment that recorded a 34% top-line growth. Furthermore, EBITDA margins have improved significantly, with an increase of 120 basis points year-over-year due to operational leverage and enhanced profitability from critical programs, supporting a positive long-term outlook for the company.

Bear case

Leonardo DRS Inc has reported a decline in its consolidated adjusted EBITDA margin to 12.2%, a decrease attributed to elevated research and development costs and less efficient program execution, which are expected to continue affecting profitability into 2026. The Advanced Sensing and Computing segment experienced a 100 basis point drop in its adjusted EBITDA margin to 11%, primarily due to increased R&D investments that have adversely impacted margins. Additionally, challenges in the Germanium supply chain present further pressure although the company is actively seeking solutions to mitigate this issue.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.