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Examining the Quality Attributes of NYSE:LDOS.

By Mill Chart

Last update: Apr 5, 2024

In this article we will dive into LEIDOS HOLDINGS INC (NYSE:LDOS) as a possible candidate for quality investing. Investors should always do their own research, but we noticed LEIDOS HOLDINGS INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Key Considerations for Quality Investors.

  • Over the past 5 years, LEIDOS HOLDINGS INC has experienced impressive revenue growth, with 8.65% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
  • LEIDOS HOLDINGS INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 39.33% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
  • With a Debt/Free Cash Flow Ratio of 4.89, LEIDOS HOLDINGS INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
  • LEIDOS HOLDINGS INC demonstrates consistent Profit Quality over the past 5 years, with a strong 209.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
  • LEIDOS HOLDINGS INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 10.93%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
  • LEIDOS HOLDINGS INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

What is the full fundamental picture of NYSE:LDOS telling us.

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

LDOS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 81 industry peers in the Professional Services industry. LDOS has only an average score on both its financial health and profitability. LDOS has a correct valuation and a medium growth rate.

Our latest full fundamental report of LDOS contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.

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