Abby Joseph Cohen of Goldman Sachs recently told Barron’s that savvy investors to buy L3Harris Technologies stock because its dividend could grow double-digits.
The advisory director and senior investment strategist at Goldman Sachs Group said she sees “seeing notable earnings growth” in L3Harris (LHX).
L3Harris, formed by a recent merger, has both government and commercial customers.
The company specializes in radio communications and wireless communications “that have multiple purposes,” she told Barron's.
Some of it is avionics for commercial purposes. But some of it is electronic warfare. Some of it is command and control for the military. They do a lot of intelligence and surveillance,” she said.
“L3Harris seems to be settling into annual revenue growth on the order of 7% or 8%. And that gives them earnings growth of about 17% to 18% over the next couple of years. We’re also expecting dividend growth on the double-digit level,” she said.