BOOZ ALLEN HAMILTON HOLDINGS (BAH) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BAH - US0995021062 - Common Stock
96.18 USD
+1.96 (+2.08%)
96.4418 USD
+0.26 (+0.27%)
BAH gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 87 industry peers in the Professional Services industry. While BAH belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. BAH is not valued too expensively and it also shows a decent growth rate. Finally BAH also has an excellent dividend rating. These ratings could make BAH a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
BAH had positive earnings in the past year.
BAH had a positive operating cash flow in the past year.
BAH had positive earnings in each of the past 5 years.
Each year in the past 5 years BAH had a positive operating cash flow.
1.2 Ratios
BAH has a Return On Assets of 11.47%. This is amongst the best in the industry. BAH outperforms 86.05% of its industry peers.
BAH has a better Return On Equity (82.40%) than 96.51% of its industry peers.
BAH has a better Return On Invested Capital (15.87%) than 83.72% of its industry peers.
BAH had an Average Return On Invested Capital over the past 3 years of 15.43%. This is above the industry average of 11.80%.
The 3 year average ROIC (15.43%) for BAH is below the current ROIC(15.87%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.47% | ||
| ROE | 82.4% | ||
| ROIC | 15.87% |
ROA(3y)8.66%
ROA(5y)8.94%
ROE(3y)59.1%
ROE(5y)55.63%
ROIC(3y)15.43%
ROIC(5y)14.48%
1.3 Margins
BAH has a Profit Margin of 7.01%. This is in the better half of the industry: BAH outperforms 70.93% of its industry peers.
BAH's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 9.77%, BAH is in the better half of the industry, outperforming 68.60% of the companies in the same industry.
In the last couple of years the Operating Margin of BAH has grown nicely.
BAH has a Gross Margin of 53.71%. This is in the better half of the industry: BAH outperforms 70.93% of its industry peers.
In the last couple of years the Gross Margin of BAH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.77% | ||
| PM (TTM) | 7.01% | ||
| GM | 53.71% |
OM growth 3Y4.05%
OM growth 5Y3.29%
PM growth 3Y11.88%
PM growth 5Y3.79%
GM growth 3Y0.86%
GM growth 5Y0.01%
2. Health
2.1 Basic Checks
BAH has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for BAH has been reduced compared to 1 year ago.
The number of shares outstanding for BAH has been reduced compared to 5 years ago.
BAH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.19 indicates that BAH is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.19, BAH is in the better half of the industry, outperforming 77.91% of the companies in the same industry.
The Debt to FCF ratio of BAH is 4.83, which is a neutral value as it means it would take BAH, 4.83 years of fcf income to pay off all of its debts.
BAH has a Debt to FCF ratio of 4.83. This is comparable to the rest of the industry: BAH outperforms 54.65% of its industry peers.
BAH has a Debt/Equity ratio of 3.89. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.89, BAH is doing worse than 83.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 4.84 | ||
| Altman-Z | 4.19 |
ROIC/WACC2.07
WACC7.66%
2.3 Liquidity
BAH has a Current Ratio of 1.76. This is a normal value and indicates that BAH is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of BAH (1.76) is better than 61.63% of its industry peers.
A Quick Ratio of 1.76 indicates that BAH should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.76, BAH is doing good in the industry, outperforming 62.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.76 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.37% over the past year.
Measured over the past years, BAH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.91% on average per year.
BAH shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -18.55%.
The Revenue has been growing by 9.93% on average over the past years. This is quite good.
EPS 1Y (TTM)3.37%
EPS 3Y14.68%
EPS 5Y14.91%
EPS Q2Q%-17.68%
Revenue 1Y (TTM)-18.55%
Revenue growth 3Y12.72%
Revenue growth 5Y9.93%
Sales Q2Q%-8.15%
3.2 Future
The Earnings Per Share is expected to grow by 2.06% on average over the next years.
Based on estimates for the next years, BAH will show a small growth in Revenue. The Revenue will grow by 0.86% on average per year.
EPS Next Y-11.6%
EPS Next 2Y-2.41%
EPS Next 3Y2.06%
EPS Next 5YN/A
Revenue Next Year-4.82%
Revenue Next 2Y-1.22%
Revenue Next 3Y0.86%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 15.69 indicates a correct valuation of BAH.
Based on the Price/Earnings ratio, BAH is valued a bit cheaper than the industry average as 73.26% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.19, BAH is valued a bit cheaper.
BAH is valuated correctly with a Price/Forward Earnings ratio of 15.90.
BAH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BAH is cheaper than 65.12% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.92. BAH is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.69 | ||
| Fwd PE | 15.9 |
4.2 Price Multiples
BAH's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BAH is cheaper than 73.26% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BAH indicates a rather cheap valuation: BAH is cheaper than 80.23% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.24 | ||
| EV/EBITDA | 11.34 |
4.3 Compensation for Growth
The excellent profitability rating of BAH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.05
EPS Next 2Y-2.41%
EPS Next 3Y2.06%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.33%, BAH has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.48, BAH pays a better dividend. On top of this BAH pays more dividend than 84.88% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.92, BAH pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.33% |
5.2 History
The dividend of BAH is nicely growing with an annual growth rate of 14.89%!
BAH has been paying a dividend for at least 10 years, so it has a reliable track record.
BAH has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)14.89%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
33.27% of the earnings are spent on dividend by BAH. This is a low number and sustainable payout ratio.
The dividend of BAH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP33.27%
EPS Next 2Y-2.41%
EPS Next 3Y2.06%
96.18
+1.96 (+2.08%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners101%
Inst Owner Change0.14%
Ins Owners1.04%
Ins Owner Change1.54%
Market Cap11.67B
Revenue(TTM)11.71B
Net Income(TTM)820.68M
Analysts53.64
Price Target107.4 (11.67%)
Short Float %6.44%
Short Ratio2.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.33% |
Yearly Dividend2.11
Dividend Growth(5Y)14.89%
DP33.27%
Div Incr Years11
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.75%
Min EPS beat(2)-2.59%
Max EPS beat(2)1.1%
EPS beat(4)3
Avg EPS beat(4)-0.03%
Min EPS beat(4)-2.59%
Max EPS beat(4)1.17%
EPS beat(8)6
Avg EPS beat(8)5.01%
EPS beat(12)9
Avg EPS beat(12)4.9%
EPS beat(16)12
Avg EPS beat(16)5.05%
Revenue beat(2)0
Avg Revenue beat(2)-3.03%
Min Revenue beat(2)-4.3%
Max Revenue beat(2)-1.75%
Revenue beat(4)1
Avg Revenue beat(4)-2.06%
Min Revenue beat(4)-4.3%
Max Revenue beat(4)0.73%
Revenue beat(8)4
Avg Revenue beat(8)-0.32%
Revenue beat(12)8
Avg Revenue beat(12)0.46%
Revenue beat(16)10
Avg Revenue beat(16)0.14%
PT rev (1m)-1.47%
PT rev (3m)-17.32%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)-23.33%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)-12.89%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)-8.21%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-5.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.69 | ||
| Fwd PE | 15.9 | ||
| P/S | 1 | ||
| P/FCF | 14.24 | ||
| P/OCF | 12.82 | ||
| P/B | 11.71 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.34 |
EPS(TTM)6.13
EY6.37%
EPS(NY)6.05
Fwd EY6.29%
FCF(TTM)6.75
FCFY7.02%
OCF(TTM)7.5
OCFY7.8%
SpS96.5
BVpS8.21
TBVpS-16.04
PEG (NY)N/A
PEG (5Y)1.05
Graham Number33.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.47% | ||
| ROE | 82.4% | ||
| ROCE | 21.49% | ||
| ROIC | 15.87% | ||
| ROICexc | 18.75% | ||
| ROICexgc | 54.08% | ||
| OM | 9.77% | ||
| PM (TTM) | 7.01% | ||
| GM | 53.71% | ||
| FCFM | 7% |
ROA(3y)8.66%
ROA(5y)8.94%
ROE(3y)59.1%
ROE(5y)55.63%
ROIC(3y)15.43%
ROIC(5y)14.48%
ROICexc(3y)17.64%
ROICexc(5y)17.09%
ROICexgc(3y)54.98%
ROICexgc(5y)51.63%
ROCE(3y)20.9%
ROCE(5y)19.61%
ROICexgc growth 3Y4.08%
ROICexgc growth 5Y-0.29%
ROICexc growth 3Y10.17%
ROICexc growth 5Y2.34%
OM growth 3Y4.05%
OM growth 5Y3.29%
PM growth 3Y11.88%
PM growth 5Y3.79%
GM growth 3Y0.86%
GM growth 5Y0.01%
F-Score5
Asset Turnover1.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 4.84 | ||
| Debt/EBITDA | 2.97 | ||
| Cap/Depr | 55.74% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | 6.5 | ||
| Cash Conversion | 69.66% | ||
| Profit Quality | 99.8% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.76 | ||
| Altman-Z | 4.19 |
F-Score5
WACC7.66%
ROIC/WACC2.07
Cap/Depr(3y)48.67%
Cap/Depr(5y)60.87%
Cap/Sales(3y)0.76%
Cap/Sales(5y)0.87%
Profit Quality(3y)108.41%
Profit Quality(5y)114.23%
High Growth Momentum
Growth
EPS 1Y (TTM)3.37%
EPS 3Y14.68%
EPS 5Y14.91%
EPS Q2Q%-17.68%
EPS Next Y-11.6%
EPS Next 2Y-2.41%
EPS Next 3Y2.06%
EPS Next 5YN/A
Revenue 1Y (TTM)-18.55%
Revenue growth 3Y12.72%
Revenue growth 5Y9.93%
Sales Q2Q%-8.15%
Revenue Next Year-4.82%
Revenue Next 2Y-1.22%
Revenue Next 3Y0.86%
Revenue Next 5YN/A
EBIT growth 1Y-22.38%
EBIT growth 3Y17.29%
EBIT growth 5Y13.55%
EBIT Next Year-10.45%
EBIT Next 3Y-0.42%
EBIT Next 5YN/A
FCF growth 1Y347.56%
FCF growth 3Y11.54%
FCF growth 5Y16.57%
OCF growth 1Y254.28%
OCF growth 3Y11.06%
OCF growth 5Y12.85%
BOOZ ALLEN HAMILTON HOLDINGS / BAH FAQ
Can you provide the ChartMill fundamental rating for BOOZ ALLEN HAMILTON HOLDINGS?
ChartMill assigns a fundamental rating of 6 / 10 to BAH.
Can you provide the valuation status for BOOZ ALLEN HAMILTON HOLDINGS?
ChartMill assigns a valuation rating of 6 / 10 to BOOZ ALLEN HAMILTON HOLDINGS (BAH). This can be considered as Fairly Valued.
What is the profitability of BAH stock?
BOOZ ALLEN HAMILTON HOLDINGS (BAH) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for BAH stock?
The Price/Earnings (PE) ratio for BOOZ ALLEN HAMILTON HOLDINGS (BAH) is 15.69 and the Price/Book (PB) ratio is 11.71.
What is the expected EPS growth for BOOZ ALLEN HAMILTON HOLDINGS (BAH) stock?
The Earnings per Share (EPS) of BOOZ ALLEN HAMILTON HOLDINGS (BAH) is expected to decline by -11.6% in the next year.