Leonardo DRS, Inc.
Rank #341Op. LeverageDRS · Nasdaq · Industrials
Leonardo DRS, Inc. (DRS) — Rank #341 by gross profitability (GP/assets 0.21) · ROE 9.9% · Piotroski F-Score 7 / 9.
As-of 2026-09-15 · CIK 0001833756 · all metrics point-in-time as of the filing date.
About
Leonardo DRS, Inc., together with its subsidiaries, provides defense electronic products and systems, and military support services worldwide.
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It operates through Advanced Sensing and Computing and Integrated Mission Systems segments. The Advanced Sensing and Computing segment designs, develops, and manufacture sensing and network computing technology that enables real-time situational awareness required for enhanced operational decision making and execution; and offers sensing capabilities span applications, such as missions requiring advanced detection, precision targeting and surveillance sensing, long range electro-optic/infrared, signals intelligence, and other intelligence systems including electronic warfare, ground vehicle sensing, active electronically scanned array tactical radars, dismounted soldier, and space sensing. This segment also provides network computing, which are utilized across a range of mission applications, such as platform computing on ground and shipboard for advanced battle management, combat systems, radar, command and control, tactical networks, tactical computing, and communications. The Integrated Mission Systems segment offers electrical propulsion systems, which includes power conversion, control, distribution, and propulsion systems, as well as power dense permanent magnet motors, energy storage systems, associated rugged and compact power conversion, electrical actuation systems, as well as advanced thermal management technologies, motor controllers, and instrumentation and control equipment. Leonardo DRS, Inc. was incorporated in 1968 and is based in Arlington, Virginia. Leonardo DRS, Inc. operates as a subsidiary of Leonardo US Holding, LLC
- Industry
- Aerospace & Defense
- Sector
- Industrials
- State
- DE
- Filer Category
- Large accelerated filer
- Fiscal Year End
- December 31
- Website
- leonardodrs.com
Price History
Company Snapshot
P/E and reverse DCF are the primary valuation lenses at this stage.
Market Cap
$9.76B
P/E (annual)
35.5
P/S (annual)
2.7
P/B
3.5
P/OCF (annual)
26.7
Shareholder Yield
-0.4%
Employees
7,300
Industry
Aerospace & Defense
Exchange
Nasdaq
Signal Flags
Quality Profile
Profitability
1/1 passSafety
1/1 passCash Flow
2/3 passGrowth
2/2 passTerry Smith quality gate
Passes 0/5 Terry Smith thresholds1 of 5 threshold not computable from filed data.
What Growth Is Priced In
Implied revenue growth (10Y)
18.2%
The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).
Dilution drag: 0.4% — per-share value needs a total required return of 18.6% once share-count change is priced in.
vs. own 6-year median revenue growth: 4.3%
priced above its own historyCost-of-equity sensitivity (implied growth at different discount rates)
r = 8%
13.3%
r = 10% (base)
18.2%
r = 12%
22.5%
Net debt / market cap: 0.9%
Valuation History
Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.
P / E
Price / diluted EPS
P / S
Price / revenue per share
P / B
Price / book value per share
P / GP
Price / gross profit per share
P / FCF
Price / free cash flow per share
Disclosure regression check
A previously-disclosed line item is no longer reported. Worth checking the filing for why.
Operating margin expansion and free cash flow are the primary reads at this stage.
Profitability
Gross profitability (GP / assets)
0.21
Primary signal (Novy-Marx).
14th pctl of 37 SIC 38 peers
Return on equity
9.9%
Gross margin
23.8%
3rd pctl of 37 SIC 38 peers
Revenue growth (YoY)
12.8%
RPO growth (YoY)
-0.7%
Remaining performance obligations growth — RPO > revenue = forward demand building.
Gross margin improving
Margin trend vs prior year.
Operating Leverage
| 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|
| Revenue vs COGS | ||||
| Revenue vs OpEx | ||||
| Op. Income vs Revenue |
Growth
Revenue CAGR (3Y)
10.6%
Revenue CAGR (5Y)
5.6%
Earnings CAGR (3Y)
-11.8%
FCF CAGR (3Y)
—
Anti-fragile safety
Balance-sheet safety
Composite anti-fragile check.
Debt / equity
0.50
74th pctl of 35 SIC 38 peers (best = lowest)
Current ratio
1.92×
29th pctl of 36 SIC 38 peers
Quick ratio
0.55×
Net cash
-$88.00M
Cash & equivalents minus total debt.
Cash-flow health
Free cash flow
$227.00M
Operating cash flow minus capex.
Positive free cash flow
FCF / net income
-0.18
Cash-backing of earnings.
FCF/NI divergence
Unfavorable divergence (yellow flag).
Accruals healthy
Cash-backed earnings.
SBC / revenue
0.9%
Stock-based comp intensity.
Piotroski F-Score
F-Score
7 / 9
Fundamental-strength score (0-9).