Analyzing ParaZero Technologies (NASDAQ:PRZO) and L3Harris Technologies (NYSE:LHX)

ParaZero Technologies (NASDAQ:PRZO) and L3Harris Technologies (NYSE:LHX) are both aerospace companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, analyst recommendations, dividends and valuation.

Earnings and Valuation

This table compares ParaZero Technologies and L3Harris Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ParaZero Technologies	$1.01 million	8.83	-$11.05 million	N/A	N/A
L3Harris Technologies	$21.33 billion	2.86	$1.50 billion	$9.31	35.00

L3Harris Technologies has higher revenue and earnings than ParaZero Technologies.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for ParaZero Technologies and L3Harris Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ParaZero Technologies	1	0	0	0	1.00
L3Harris Technologies	0	6	13	0	2.68

L3Harris Technologies has a consensus price target of $302.29, suggesting a potential downside of 7.23%. Given L3Harris Technologies’ stronger consensus rating and higher possible upside, analysts plainly believe L3Harris Technologies is more favorable than ParaZero Technologies.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
ParaZero Technologies	N/A	N/A	N/A
L3Harris Technologies	8.09%	11.08%	5.19%

Volatility & Risk

ParaZero Technologies has a beta of 0.02, meaning that its stock price is 98% less volatile than the S&P 500. Comparatively, L3Harris Technologies has a beta of 0.66, meaning that its stock price is 34% less volatile than the S&P 500.

Institutional and Insider Ownership

1.4% of ParaZero Technologies shares are held by institutional investors. Comparatively, 84.8% of L3Harris Technologies shares are held by institutional investors. 0.7% of L3Harris Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

L3Harris Technologies beats ParaZero Technologies on 11 of the 12 factors compared between the two stocks.

About ParaZero Technologies

ParaZero Technologies Ltd., an aerospace company, designs, develops, manufactures, distributes, and sells autonomous parachute safety systems for commercial drones in the United States, Israel, Canada, Europe, and internationally. The company offers SafeAir system, a smart parachute system that monitors unmanned aerial systems flight in real-time, as well as identifies critical failures and autonomously triggers a parachute in the event of an emergency. Its autonomous parachute system portfolio includes SafeAir Phantom, SafeAir Mavic, SafeAir Mavic 3, SafeAir M-200 Pro, SafeAir M-300 Pro, SafeAir M350 Pro, SafeAir M-600 Pro, SafeAir M30 Pro, SafeAir V1EX, SafeAir Parallel, SafeAir 350, and Custom Integrations. The company serves system manufacturers, resellers, and online stores. The company was incorporated in 2013 and is headquartered in Kiryat Ono, Israel.

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.