DRS Stock Analysis: Buy, Sell, or Hold?
DRS - Leonardo DRS, Inc. Common Stock
$43.72
1.03 (2.42%)
▲
5d:
-1.44%
30d:
-7.74%
90d:
-4.67%
BUY
HIGH Confidence
Analysis Updated: Jul 2, 2026 12:00 AM ET
Earnings: Jul 29, 2026
24d
Smart Money Accumulation
None View Scanner →
Strength: 6.6/10
Get Alerted When DRS Hits Your Target Price
Join 10,000+ traders who never miss a move
You're in! Check your email to confirm and set your target price.
100% Free
No spam, ever
Unsubscribe anytime
Interactive Price Chart (1 Month)
Loading chart...
Loading historical data...
Bottom Line:
✅ BUY SIGNAL: DRS shows strong fundamentals and good volume confirmation. Solid entry point despite oversold pricing.
✅ BUY SIGNAL: DRS shows strong fundamentals and good volume confirmation. Solid entry point despite oversold pricing.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$51.24
Based on 7.4% avg growth
INTRINSIC VALUE TODAY
$31.81
Trading above historical range
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 25.0x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: DRS is currently trading at $43.72, which is considered oversold relative to its 30-day fair value range of $43.79 to $47.89. The stock's valuation (Forward PE: 30.4) is in line with its historical norms (30.9). Remarkably, the market is currently pricing in an annual earnings decline of 0.6% over the next few years. This pessimistic expectation contrasts with the company's recent 22.0% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, DRS is in a uptrend. Immediate support is located at $40.40, while resistance sits at $47.24.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $52.90 (+21.0%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Technical Outlook: Technically, DRS is in a uptrend. Immediate support is located at $40.40, while resistance sits at $47.24.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $52.90 (+21.0%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Quick Decision Summary
Current Position
OVERSOLD
Historical Trading Range
$43.79 -
$47.89
Company Quality Score
55/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
79.5%
All Signals
- BULLISH: Price oversold vs 30-day range
- NEUTRAL: Mixed technical signals (40/100)
- BULLISH: High volume confirmation
- BULLISH: Trading 21.0% below Wall St target ($52.90)
Trading Range Analysis
30-Day Trading Range
$43.79 -
$47.89
Current vs Trading Range
OVERSOLD
Support & Resistance Levels
Support Level
$40.40
Resistance Level
$47.24
Current Trend
Uptrend
Technical data as of
Jul 2, 2026
Fundamental Context
Forward P/E (Next Year Est.)
30.38
Wall Street Target
$52.90
(+21.0%)
Revenue Growth (YoY)
5.9%
Earnings Growth (YoY)
22.0%
Profit Margin
7.8%
Valuation Discount vs History
-0.6% cheaper
PE vs Historical
30.4 vs 30.9
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
-0.6%
(market-implied from PE analysis)
1-Year Target
$43.46
(-1%)
2-Year Target
$43.20
(-1%)
3-Year Target
$42.94
(-2%)
3-Yr Target (if PE normalizes)
(PE: 30→31)
$43.68
(0%)
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 30.4, Growth: 10.7%)
$59.32
(+36%)
Base:
(SPY PE: 21.8, Growth: 10.7%)
$42.53
(-3%)
Bear:
(PE: 18.5, Growth: 10.7%)
$36.15
(-17%)
📈
Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (40x PE), but valuation improves significantly next year (30x PE) as earnings recover.
Trailing PE: 39.89 | Current EPS (TTM): $1.07
Bull Case
$63.16
(+45%)
Analyst growth 34.5%, PE expands to 43.9
Base Case
$57.42
(+31%)
Market implied 34.5%, PE stable at 39.9
Bear Case
$29.03
(-34%)
Severe decline -20.0%, PE contracts to 33.9
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡
Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 30.4 to 30.9
Stabilization Target:
$44.47
(+1.7%)
PE Expansion Potential:
+1.7%
Share & Embed Analysis
Last updated: July 03, 2026 8:57 PM ET
Data refreshes hourly during market hours. Next update: 9:57 PM
Data refreshes hourly during market hours. Next update: 9:57 PM
🔥 Top Stocks Breaking Out Now
| Ticker | Score | Recommendation | Change % |
|---|
Technical Signals Check
Is DRS showing a specific setup today?
Insider Activity (6 Months)
1
Buys
6
Sells
Net
INSIDERS SELLING
Recent Transactions
Michael Dippold
SELL
7071 shares
2026-04-02
Sally Wallace
SELL
28960 shares
2026-04-02
Michael Dippold
SELL
16330 shares
2026-03-16
Top Rated Aerospace & Defense Stocks
Top-rated stocks in Aerospace & Defense by analyst ratings.
| Stock | Analyst Consensus | Analyst Target | Tradestie Score |
|---|---|---|---|
|
BA
The Boeing Company |
STRONG BUY
27 analysts |
$270 | 65 BUY |
|
HWM
Howmet Aerospace Inc |
STRONG BUY
25 analysts |
$305 | 59 HOLD |
|
RTX
RTX Corporation |
BUY
24 analysts |
$216 | 69 BUY |
|
TDG
Transdigm Group Incorpor… |
STRONG BUY
23 analysts |
$1525 | 60 BUY |
|
LHX
L3Harris Technologies Inc |
STRONG BUY
21 analysts |
$382 | 63 BUY |
Advanced DRS Option Strategies
Professional options setups generated by AI based on today's DRS price and gamma walls.
