Harris Stock Chart by YCharts

Unless Harris' share price rises, that ratio likely will drop further – indicating an even better buy — when it announces full fiscal year results in late summer.

Harris predicts these results will show full year revenues growth of about 13%, with sales totaling about $6 billion. That prediction does not include potential income from its recent acquisition of Schlumberger GCS, a company that produced $170 million in revenues during calendar year 2010. The deal is expected to close in the third quarter.

Investing in Harris is not for the feint of heart. No matter how good the government has been to the company so far, its dependency on these public contracts makes earnings less stable than at other companies. Just consider the earnings per share figures from 2009.

Harris Stock Chart by YCharts

Those alarming dips were the result of a government-imposed delay on accepting orders. Harris got its money eventually, but it made for a painful and uncertain quarter.

The work Harris does now for the defense department, which includes very portable communications systems as well as operations that depend on unmanned units, seems particularly suited to a slimmed down military. Schlumberger GCS, which focuses on the oil and gas industry, also should help the company take on more private sector customers in fast-growing parts of the world.

For now, these shares look more than good enough for government work.

Harris Stock Chart by YCharts

Fortunately for us, its share price has not experienced such glory.

Harris Stock Chart by YCharts

YCharts says these shares are undervalued. Between the strong current fundamentals that make it a favorite of the charts and strong forecasts for future sales, Harris stands to outperform.

Harris' strength lies in a product portfolio full of stuff that helps officials prevent and deal with crises, such as terrorist attacks, combat in foreign countries and natural disasters. The company employs some 7,000 engineers and scientists to design these products, and it sells them to governments and companies in 150 countries.

For example: to state and local governments, Harris sells the communications systems that allow police, firefighters and other emergency responders to keep in contact, even in searing heat or other harsh conditions. To 7,000 aviation facilities, Harris supplies the systems that air traffic controllers use to track planes. For the National Oceanic and Atmospheric Administration, Harris is building a system that will analyze satellite images 40 times faster than the current technology, allowing forecasters to predict hurricanes and other weather emergencies much faster.

Another big chunk of Harris' earnings come from sales of communications equipment to U.S. armed forces, including secure wireless networks that soldiers use in the field. Harris systems also send live video to commanders from unmanned systems, such as satellites or drones. The systems allow soldiers in battle to stay in constant contact with headquarters.

Despite government budget cuts, Harris has expanded its profit margins in the past few years with its growing sales.