38.93 USD
+1.66 (+4.45%)
At close: Feb 6, 2026
38.93 USD
0 (0%)
After Hours: 2/6/2026, 8:00:01 PM
Overall DRS gets a fundamental rating of 6 out of 10. We evaluated DRS against 72 industry peers in the Aerospace & Defense industry. Both the profitability and the financial health of DRS get a neutral evaluation. Nothing too spectacular is happening here. DRS is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make DRS a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
- In the past year DRS was profitable.
- DRS had a positive operating cash flow in the past year.
- Each year in the past 5 years DRS has been profitable.
- Of the past 5 years DRS 4 years had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 6.24%, DRS is doing good in the industry, outperforming 73.61% of the companies in the same industry.
- DRS's Return On Equity of 10.01% is fine compared to the rest of the industry. DRS outperforms 66.67% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 9.17%, DRS is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for DRS is significantly above the industry average of 8.66%.
- The last Return On Invested Capital (9.17%) for DRS is well below the 3 year average (14.80%), which needs to be investigated, but indicates that DRS had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.24% | ||
| ROE | 10.01% | ||
| ROIC | 9.17% |
ROA(3y)6.8%
ROA(5y)7.59%
ROE(3y)11.53%
ROE(5y)11.69%
ROIC(3y)14.8%
ROIC(5y)12.07%
1.3 Margins
- DRS has a better Profit Margin (7.43%) than 69.44% of its industry peers.
- In the last couple of years the Profit Margin of DRS has declined.
- DRS has a Operating Margin (9.67%) which is in line with its industry peers.
- DRS's Operating Margin has declined in the last couple of years.
- DRS has a Gross Margin of 23.40%. This is comparable to the rest of the industry: DRS outperforms 48.61% of its industry peers.
- In the last couple of years the Gross Margin of DRS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.67% | ||
| PM (TTM) | 7.43% | ||
| GM | 23.4% |
OM growth 3Y-18.83%
OM growth 5YN/A
PM growth 3Y-32.5%
PM growth 5YN/A
GM growth 3Y-17.5%
GM growth 5Y-8.71%
2. Health
2.1 Basic Checks
- DRS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for DRS has been increased compared to 1 year ago.
- DRS has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for DRS has been reduced compared to a year ago.
2.2 Solvency
- DRS has an Altman-Z score of 4.34. This indicates that DRS is financially healthy and has little risk of bankruptcy at the moment.
- DRS has a Altman-Z score (4.34) which is in line with its industry peers.
- The Debt to FCF ratio of DRS is 1.32, which is an excellent value as it means it would take DRS, only 1.32 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of DRS (1.32) is better than 95.83% of its industry peers.
- A Debt/Equity ratio of 0.12 indicates that DRS is not too dependend on debt financing.
- DRS has a better Debt to Equity ratio (0.12) than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.32 | ||
| Altman-Z | 4.34 |
ROIC/WACC0.89
WACC10.33%
2.3 Liquidity
- A Current Ratio of 2.00 indicates that DRS has no problem at all paying its short term obligations.
- DRS has a worse Current ratio (2.00) than 61.11% of its industry peers.
- A Quick Ratio of 1.63 indicates that DRS should not have too much problems paying its short term obligations.
- DRS's Quick ratio of 1.63 is in line compared to the rest of the industry. DRS outperforms 59.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
- DRS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.44%, which is quite impressive.
- The Earnings Per Share has been growing by 23.42% on average over the past years. This is a very strong growth
- The Revenue has grown by 12.27% in the past year. This is quite good.
- The Revenue has been growing by 135.87% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)26.44%
EPS 3Y23.42%
EPS 5YN/A
EPS Q2Q%20.83%
Revenue 1Y (TTM)12.27%
Revenue growth 3Y202.18%
Revenue growth 5Y135.87%
Sales Q2Q%18.23%
3.2 Future
- Based on estimates for the next years, DRS will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.13% on average per year.
- DRS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.27% yearly.
EPS Next Y17.65%
EPS Next 2Y16.17%
EPS Next 3Y14.55%
EPS Next 5Y12.13%
Revenue Next Year12.22%
Revenue Next 2Y9.42%
Revenue Next 3Y8.03%
Revenue Next 5Y7.27%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 35.39, which means the current valuation is very expensive for DRS.
- Compared to the rest of the industry, the Price/Earnings ratio of DRS indicates a somewhat cheap valuation: DRS is cheaper than 77.78% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.92, DRS is valued a bit more expensive.
- With a Price/Forward Earnings ratio of 30.69, DRS can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of DRS indicates a somewhat cheap valuation: DRS is cheaper than 70.83% of the companies listed in the same industry.
- DRS is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 27.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.39 | ||
| Fwd PE | 30.69 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DRS is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DRS indicates a somewhat cheap valuation: DRS is cheaper than 77.78% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.08 | ||
| EV/EBITDA | 22.78 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DRS does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of DRS may justify a higher PE ratio.
- DRS's earnings are expected to grow with 14.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)2
PEG (5Y)N/A
EPS Next 2Y16.17%
EPS Next 3Y14.55%
5. Dividend
5.1 Amount
- DRS has a yearly dividend return of 0.87%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.35, DRS pays a better dividend. On top of this DRS pays more dividend than 86.11% of the companies listed in the same industry.
- With a Dividend Yield of 0.87, DRS pays less dividend than the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.87% |
5.2 History
- DRS does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 27.17% of the earnings are spent on dividend by DRS. This is a low number and sustainable payout ratio.
DP27.17%
EPS Next 2Y16.17%
EPS Next 3Y14.55%
38.93
+1.66 (+4.45%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)10-29 2025-10-29/bmo
Earnings (Next)02-24 2026-02-24/amc
Inst Owners26.48%
Inst Owner Change-2.79%
Ins Owners0.29%
Ins Owner Change-7.15%
Market Cap10.36B
Revenue(TTM)3.57B
Net Income(TTM)265.00M
Analysts81.43
Price Target49.06 (26.02%)
Short Float %4.08%
Short Ratio2.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.87% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP27.17%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.75%
Min EPS beat(2)2.95%
Max EPS beat(2)6.54%
EPS beat(4)4
Avg EPS beat(4)8.97%
Min EPS beat(4)2.95%
Max EPS beat(4)20.01%
EPS beat(8)8
Avg EPS beat(8)15.04%
EPS beat(12)12
Avg EPS beat(12)19.34%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.99%
Min Revenue beat(2)-0.81%
Max Revenue beat(2)2.78%
Revenue beat(4)3
Avg Revenue beat(4)3.11%
Min Revenue beat(4)-0.81%
Max Revenue beat(4)7.38%
Revenue beat(8)7
Avg Revenue beat(8)4.45%
Revenue beat(12)9
Avg Revenue beat(12)2.83%
Revenue beat(16)12
Avg Revenue beat(16)363.31%
PT rev (1m)2.56%
PT rev (3m)-2.28%
EPS NQ rev (1m)-0.54%
EPS NQ rev (3m)-4.87%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.85%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-2.78%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.39 | ||
| Fwd PE | 30.69 | ||
| P/S | 2.9 | ||
| P/FCF | 39.08 | ||
| P/OCF | 26.97 | ||
| P/B | 3.91 | ||
| P/tB | 7.99 | ||
| EV/EBITDA | 22.78 |
EPS(TTM)1.1
EY2.83%
EPS(NY)1.27
Fwd EY3.26%
FCF(TTM)1
FCFY2.56%
OCF(TTM)1.44
OCFY3.71%
SpS13.42
BVpS9.95
TBVpS4.87
PEG (NY)2
PEG (5Y)N/A
Graham Number15.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.24% | ||
| ROE | 10.01% | ||
| ROCE | 10.91% | ||
| ROIC | 9.17% | ||
| ROICexc | 10.17% | ||
| ROICexgc | 19.32% | ||
| OM | 9.67% | ||
| PM (TTM) | 7.43% | ||
| GM | 23.4% | ||
| FCFM | 7.43% |
ROA(3y)6.8%
ROA(5y)7.59%
ROE(3y)11.53%
ROE(5y)11.69%
ROIC(3y)14.8%
ROIC(5y)12.07%
ROICexc(3y)17.19%
ROICexc(5y)16.27%
ROICexgc(3y)41.83%
ROICexgc(5y)31.06%
ROCE(3y)17.68%
ROCE(5y)14.42%
ROICexgc growth 3Y5.24%
ROICexgc growth 5YN/A
ROICexc growth 3Y-19.58%
ROICexc growth 5YN/A
OM growth 3Y-18.83%
OM growth 5YN/A
PM growth 3Y-32.5%
PM growth 5YN/A
GM growth 3Y-17.5%
GM growth 5Y-8.71%
F-Score8
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.32 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | 129.35% | ||
| Cap/Sales | 3.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.87% | ||
| Profit Quality | 100% | ||
| Current Ratio | 2 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | 4.34 |
F-Score8
WACC10.33%
ROIC/WACC0.89
Cap/Depr(3y)88%
Cap/Depr(5y)129.75%
Cap/Sales(3y)2.39%
Cap/Sales(5y)3.79%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.44%
EPS 3Y23.42%
EPS 5YN/A
EPS Q2Q%20.83%
EPS Next Y17.65%
EPS Next 2Y16.17%
EPS Next 3Y14.55%
EPS Next 5Y12.13%
Revenue 1Y (TTM)12.27%
Revenue growth 3Y202.18%
Revenue growth 5Y135.87%
Sales Q2Q%18.23%
Revenue Next Year12.22%
Revenue Next 2Y9.42%
Revenue Next 3Y8.03%
Revenue Next 5Y7.27%
EBIT growth 1Y21.48%
EBIT growth 3Y145.27%
EBIT growth 5YN/A
EBIT Next Year40.19%
EBIT Next 3Y21.22%
EBIT Next 5Y15.64%
FCF growth 1Y357.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y1338.71%
OCF growth 3YN/A
OCF growth 5YN/A
LEONARDO DRS INC / DRS FAQ
Can you provide the ChartMill fundamental rating for LEONARDO DRS INC?
ChartMill assigns a fundamental rating of 6 / 10 to DRS.
Can you provide the valuation status for LEONARDO DRS INC?
ChartMill assigns a valuation rating of 4 / 10 to LEONARDO DRS INC (DRS). This can be considered as Fairly Valued.
How profitable is LEONARDO DRS INC (DRS) stock?
LEONARDO DRS INC (DRS) has a profitability rating of 6 / 10.
What are the PE and PB ratios of LEONARDO DRS INC (DRS) stock?
The Price/Earnings (PE) ratio for LEONARDO DRS INC (DRS) is 35.39 and the Price/Book (PB) ratio is 3.91.
How sustainable is the dividend of LEONARDO DRS INC (DRS) stock?
The dividend rating of LEONARDO DRS INC (DRS) is 3 / 10 and the dividend payout ratio is 27.17%.