What: Shares of communications technologist Harris Corporation (NYSE:LHX) were down 10.2% at 2:30 p.m. EST on Tuesday after its quarterly results and outlook disappointed Wall Street.
 
So what: Harris shares have rallied nicely in recent months on a solid string of contract wins, but today's Q2 revenue miss -- $1.84 billion vs. the consensus of $1.9 billion -- coupled with downbeat full-year guidance is forcing analysts to quickly recalibrate their growth estimates. So while the company's adjusted EPS of $1.49 managed to top estimates by $0.13, the top-line weakness suggests larger competitive and macroeconomic pressures ahead. 

Now what: Management now sees full-year 2016 revenue of $7.6 billion to $7.68 billion, down from its prior view of $7.67 billion to $7.83 billion. "We've made excellent progress in both achieving anticipated synergy savings and identifying additional opportunities," said Chairman, President, and CEO William M. Brown. "As a result, we now expect to exit fiscal 2017 with annual run-rate savings in a range of $140 to $150 million, significantly higher than our previous expectation of about $120 million." Given Harris' seemingly significant revenue headwinds and still-lofty 20-plus P/E, however, I'd hold out for an even wider margin of safety before buying into that bullishness.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.