Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Retained earnings is the accumulated portion of net income that is not distributed to shareholders. Leonardo DRS's retained earnings for the quarter that ended in Mar. 2026 was $-2,253 Mil.
Leonardo DRS's quarterly retained earnings
increased
from Sep. 2025 ($-2,417 Mil) to Dec. 2025 ($-2,315 Mil) and
increased
from Dec. 2025 ($-2,315 Mil) to Mar. 2026 ($-2,253 Mil).
Leonardo DRS's annual retained earnings
increased
from Dec. 2023 ($-2,806 Mil) to Dec. 2024 ($-2,593 Mil) and
increased
from Dec. 2024 ($-2,593 Mil) to Dec. 2025 ($-2,315 Mil).
Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.
For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.
If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.
Of course, many companies with negative retained earnings have indeed lost money in the past.
Retained Earnings: Warren Buffett's Secret.
One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.
If the company loses more than it has accumulated, retained earnings is negative.
If a company isn't adding to its retained earnings, it isn't growing its net worth.
Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.
Microsoft is negative because it chose to buyback stock and pay dividends.
The more earnings retained, the faster it grows and increases growth rate for future earnings.
Leonardo DRS Retained Earnings Historical Data
* Premium members only.
The historical data trend for Leonardo DRS's Retained Earnings can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.
Of course, if a company loses, it is called retained losses, or accumulated losses.
What does a Retained Earnings of $-2,253 Mil mean?
Leonardo DRS (DRS) has a Retained Earnings of $-2,253 Mil as of Mar. 2026. Retained earnings is the amount of net income not issued to shareholders. View historical data on Leonardo DRS and its competitors.
Is Leonardo DRS's Retained Earnings too high?
Leonardo DRS's current Retained Earnings is $-2,253 Mil. Overall, Leonardo DRS has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Leonardo DRS's Retained Earnings compare to HII and PL?
Leonardo DRS's Retained Earnings of $-2,253 Mil can be compared against companies in the Aerospace & Defense industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Retained Earnings for an Aerospace & Defense company?
A good Retained Earnings depends on the Aerospace & Defense industry context. However, Retained Earnings should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Retained Earnings mean?
A high Retained Earnings can signal that a stock is expensive relative to its fundamentals. Retained earnings is the amount of net income not issued to shareholders. View historical data on Leonardo DRS and its competitors. Leonardo DRS's current Retained Earnings is $-2,253 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Leonardo DRS stock overvalued right now?
Based on GuruFocus' analysis, Leonardo DRS (DRS) is currently considered Modestly Overvalued. The stock's GF Value™ is $35.67, compared to a current price of $44.14 — trading 23.7% above its estimated fair value. The current Retained Earnings is $-2,253 Mil. Leonardo DRS's overall GF Score™ is 79/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Retained Earnings calculated?
Retained Earnings is calculated from a company's financial statements. For Leonardo DRS (DRS), the current Retained Earnings is $-2,253 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Leonardo DRS (DRS) Overvalued in 2026?
Based on GuruFocus' analysis, Leonardo DRS stock appears to be overvalued.
The current stock price of $44.14 is trading 23.7% above its estimated GF Value™ of $35.67.
GuruFocus considers Leonardo DRS to be Modestly Overvalued.
Key valuation signals for DRS:
Retained Earnings: $-2,253 Mil
GF Value™: $35.67 vs. price of $44.14 (23.7% above fair value)
No single metric tells the full story. See the DRS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Leonardo DRS Inc is a provider of defense products and technologies that are used across land, air, sea, space, and cyber domains. It is in the design, development, and manufacture of Advanced sensing, network computing, force protection, and electric power and propulsion technologies and solutions. The company has two segments: Advanced Sensing and Computing, which generates the majority of revenue, and the Integrated Mission Systems segment. The Advanced Sensing and Computing segment is engaged in designing, developing, and manufacturing sensing and network computing technology that enables real-time situational awareness required for enhanced operational decision-making and execution by the customers.
79GF Score
Get the complete analysis for DRS
Retained Earnings is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
DRS has been successfully added to your 
