Contrasting L3Harris Technologies (NYSE:LHX) and EVE (NYSE:EVEX)

L3Harris Technologies (NYSE:LHX) and EVE (NYSE:EVEX) are both aerospace companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, profitability and valuation.

Insider and Institutional Ownership

84.8% of L3Harris Technologies shares are held by institutional investors. Comparatively, 1.3% of EVE shares are held by institutional investors. 0.7% of L3Harris Technologies shares are held by insiders. Comparatively, 0.3% of EVE shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares L3Harris Technologies and EVE”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
L3Harris Technologies	$21.33 billion	2.58	$1.50 billion	$8.95	32.83
EVE	N/A	N/A	-$138.17 million	($0.63)	-6.17

L3Harris Technologies has higher revenue and earnings than EVE. EVE is trading at a lower price-to-earnings ratio than L3Harris Technologies, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares L3Harris Technologies and EVE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
L3Harris Technologies	7.94%	11.82%	5.47%
EVE	N/A	-202.62%	-65.15%

Analyst Ratings

This is a breakdown of current ratings and price targets for L3Harris Technologies and EVE, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
L3Harris Technologies	0	5	13	0	2.72
EVE	0	2	3	0	2.60

L3Harris Technologies presently has a consensus target price of $279.47, suggesting a potential downside of 4.89%. EVE has a consensus target price of $6.58, suggesting a potential upside of 69.46%. Given EVE’s higher possible upside, analysts plainly believe EVE is more favorable than L3Harris Technologies.

Risk & Volatility

L3Harris Technologies has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500. Comparatively, EVE has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500.

Summary

L3Harris Technologies beats EVE on 11 of the 13 factors compared between the two stocks.

About L3Harris Technologies

L3Harris Technologies, Inc. provides mission-critical solutions for government and commercial customers worldwide. The company's Integrated Mission Systems segment provides intelligence, surveillance, and reconnaissance (ISR) systems, passive sensing and targeting, electronic attack, autonomy, power and communications, and networks and sensors, as well as advanced combat systems for air, land, and sea sectors. Its Space and Airborne Systems segment offers space payloads, sensors, and full-mission solutions; classified intelligence and cyber; mission avionics; electronic warfare systems; and mission networks systems for air traffic management operations. The company's Communication Systems segment provides broadband communications; tactical radios, software, satellite terminals, and end-to-end battlefield systems for the U.S. Department of Defense, international, federal, and state agency customers; integrated vision solutions, including helmet-mounted integrated night vision goggles with leading-edge image intensifier tubes and weapon-mounted sights, aiming lasers, and range finders; and public safety radios, and system applications and equipment. Its Aerojet Rocketdyne segment provides propulsion technologies and armament systems for strategic defense, missile defense, hypersonic, and tactical systems; and space propulsion and power systems for national security, and space and exploration missions. The company was formerly known as Harris Corporation and changed its name to L3Harris Technologies, Inc. in June 2019. L3Harris Technologies, Inc. was founded in 1895 and is based in Melbourne, Florida.

About EVE

Eve Holding, Inc. is a special purpose acquisition company focused on the aviation sector. The company was founded on 7th August, 2020 and is headquartered in Melbourne, FL.