LEIDOS HOLDINGS INC (LDOS) Stock Fundamental Analysis
USA - NYSE:LDOS - US5253271028 - Common Stock
183.17 USD
-0.29 (-0.16%)
Taking everything into account, LDOS scores 6 out of 10 in our fundamental rating. LDOS was compared to 82 industry peers in the Professional Services industry. While LDOS belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. LDOS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
LDOS had positive earnings in the past year.
In the past year LDOS had a positive cash flow from operations.
LDOS had positive earnings in each of the past 5 years.
LDOS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LDOS has a Return On Assets of 10.35%. This is amongst the best in the industry. LDOS outperforms 85.37% of its industry peers.
LDOS has a better Return On Equity (30.07%) than 84.15% of its industry peers.
LDOS has a Return On Invested Capital of 12.20%. This is in the better half of the industry: LDOS outperforms 75.61% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LDOS is below the industry average of 12.76%.
The 3 year average ROIC (9.60%) for LDOS is below the current ROIC(12.20%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.35% | ||
| ROE | 30.07% | ||
| ROIC | 12.2% |
ROA(3y)5.46%
ROA(5y)5.42%
ROE(3y)16.36%
ROE(5y)16.58%
ROIC(3y)9.6%
ROIC(5y)8.62%
1.3 Margins
LDOS has a Profit Margin of 8.22%. This is in the better half of the industry: LDOS outperforms 79.27% of its industry peers.
In the last couple of years the Profit Margin of LDOS has grown nicely.
With a decent Operating Margin value of 11.85%, LDOS is doing good in the industry, outperforming 75.61% of the companies in the same industry.
LDOS's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 17.56%, LDOS is not doing good in the industry: 76.83% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of LDOS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.85% | ||
| PM (TTM) | 8.22% | ||
| GM | 17.56% |
OM growth 3Y8.76%
OM growth 5Y6.1%
PM growth 3Y11.14%
PM growth 5Y4.59%
GM growth 3Y4.63%
GM growth 5Y3.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LDOS is creating some value.
The number of shares outstanding for LDOS has been reduced compared to 1 year ago.
Compared to 5 years ago, LDOS has less shares outstanding
LDOS has a better debt/assets ratio than last year.
2.2 Solvency
LDOS has an Altman-Z score of 3.93. This indicates that LDOS is financially healthy and has little risk of bankruptcy at the moment.
LDOS's Altman-Z score of 3.93 is fine compared to the rest of the industry. LDOS outperforms 69.51% of its industry peers.
LDOS has a debt to FCF ratio of 3.81. This is a good value and a sign of high solvency as LDOS would need 3.81 years to pay back of all of its debts.
LDOS has a Debt to FCF ratio (3.81) which is in line with its industry peers.
LDOS has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.07, LDOS is doing worse than 69.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 3.81 | ||
| Altman-Z | 3.93 |
ROIC/WACC1.57
WACC7.77%
2.3 Liquidity
LDOS has a Current Ratio of 1.62. This is a normal value and indicates that LDOS is financially healthy and should not expect problems in meeting its short term obligations.
LDOS has a Current ratio of 1.62. This is in the better half of the industry: LDOS outperforms 63.41% of its industry peers.
A Quick Ratio of 1.50 indicates that LDOS should not have too much problems paying its short term obligations.
LDOS has a Quick ratio of 1.50. This is comparable to the rest of the industry: LDOS outperforms 54.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.41% over the past year.
The Earnings Per Share has been growing by 14.65% on average over the past years. This is quite good.
Looking at the last year, LDOS shows a small growth in Revenue. The Revenue has grown by 6.53% in the last year.
LDOS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.47% yearly.
EPS 1Y (TTM)28.41%
EPS 3Y15.63%
EPS 5Y14.65%
EPS Q2Q%22.05%
Revenue 1Y (TTM)6.53%
Revenue growth 3Y6.65%
Revenue growth 5Y8.47%
Sales Q2Q%2.93%
3.2 Future
The Earnings Per Share is expected to grow by 7.90% on average over the next years.
LDOS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.85% yearly.
EPS Next Y14.73%
EPS Next 2Y8.53%
EPS Next 3Y7.9%
EPS Next 5YN/A
Revenue Next Year4.51%
Revenue Next 2Y4.03%
Revenue Next 3Y3.85%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 15.96 indicates a correct valuation of LDOS.
Based on the Price/Earnings ratio, LDOS is valued a bit cheaper than 70.73% of the companies in the same industry.
When comparing the Price/Earnings ratio of LDOS to the average of the S&P500 Index (27.30), we can say LDOS is valued slightly cheaper.
With a Price/Forward Earnings ratio of 15.22, LDOS is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LDOS indicates a somewhat cheap valuation: LDOS is cheaper than 68.29% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.73. LDOS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.96 | ||
| Fwd PE | 15.22 |
4.2 Price Multiples
68.29% of the companies in the same industry are more expensive than LDOS, based on the Enterprise Value to EBITDA ratio.
LDOS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LDOS is cheaper than 65.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.55 | ||
| EV/EBITDA | 12.01 |
4.3 Compensation for Growth
LDOS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
LDOS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.08
PEG (5Y)1.09
EPS Next 2Y8.53%
EPS Next 3Y7.9%
5. Dividend
5.1 Amount
With a yearly dividend of 0.86%, LDOS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.07, LDOS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, LDOS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
5.2 History
The dividend of LDOS has a limited annual growth rate of 2.96%.
LDOS has been paying a dividend for at least 10 years, so it has a reliable track record.
As LDOS did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)2.96%
Div Incr Years6
Div Non Decr Years7
5.3 Sustainability
LDOS pays out 14.91% of its income as dividend. This is a sustainable payout ratio.
LDOS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP14.91%
EPS Next 2Y8.53%
EPS Next 3Y7.9%
NYSE:LDOS (9/15/2025, 1:55:53 PM)
183.17
-0.29 (-0.16%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners80.76%
Inst Owner Change-1.72%
Ins Owners0.49%
Ins Owner Change-0.02%
Market Cap23.50B
Analysts79.17
Price Target191.3 (4.44%)
Short Float %2.69%
Short Ratio3.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
Yearly Dividend1.47
Dividend Growth(5Y)2.96%
DP14.91%
Div Incr Years6
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.5%
Min EPS beat(2)16.5%
Max EPS beat(2)18.49%
EPS beat(4)4
Avg EPS beat(4)19.86%
Min EPS beat(4)2.22%
Max EPS beat(4)42.23%
EPS beat(8)8
Avg EPS beat(8)19.59%
EPS beat(12)10
Avg EPS beat(12)14.19%
EPS beat(16)12
Avg EPS beat(16)11.11%
Revenue beat(2)1
Avg Revenue beat(2)-0.06%
Min Revenue beat(2)-1.57%
Max Revenue beat(2)1.46%
Revenue beat(4)3
Avg Revenue beat(4)1.11%
Min Revenue beat(4)-1.57%
Max Revenue beat(4)3.53%
Revenue beat(8)6
Avg Revenue beat(8)1.33%
Revenue beat(12)7
Avg Revenue beat(12)0.87%
Revenue beat(16)9
Avg Revenue beat(16)0.26%
PT rev (1m)8.54%
PT rev (3m)8.83%
EPS NQ rev (1m)0.35%
EPS NQ rev (3m)1.07%
EPS NY rev (1m)5.57%
EPS NY rev (3m)6.25%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)-0.32%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.96 | ||
| Fwd PE | 15.22 | ||
| P/S | 1.38 | ||
| P/FCF | 17.55 | ||
| P/OCF | 15.68 | ||
| P/B | 5.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.01 |
EPS(TTM)11.48
EY6.27%
EPS(NY)12.04
Fwd EY6.57%
FCF(TTM)10.44
FCFY5.7%
OCF(TTM)11.68
OCFY6.38%
SpS132.92
BVpS36.34
TBVpS-17.24
PEG (NY)1.08
PEG (5Y)1.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.35% | ||
| ROE | 30.07% | ||
| ROCE | 19.06% | ||
| ROIC | 12.2% | ||
| ROICexc | 13.37% | ||
| ROICexgc | 46.22% | ||
| OM | 11.85% | ||
| PM (TTM) | 8.22% | ||
| GM | 17.56% | ||
| FCFM | 7.85% |
ROA(3y)5.46%
ROA(5y)5.42%
ROE(3y)16.36%
ROE(5y)16.58%
ROIC(3y)9.6%
ROIC(5y)8.62%
ROICexc(3y)10.47%
ROICexc(5y)9.34%
ROICexgc(3y)58.39%
ROICexgc(5y)54.32%
ROCE(3y)15.01%
ROCE(5y)13.48%
ROICexcg growth 3Y4.26%
ROICexcg growth 5Y-0.43%
ROICexc growth 3Y19.51%
ROICexc growth 5Y8.6%
OM growth 3Y8.76%
OM growth 5Y6.1%
PM growth 3Y11.14%
PM growth 5Y4.59%
GM growth 3Y4.63%
GM growth 5Y3.77%
F-Score8
Asset Turnover1.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 3.81 | ||
| Debt/EBITDA | 2.16 | ||
| Cap/Depr | 54.98% | ||
| Cap/Sales | 0.94% | ||
| Interest Coverage | 9.23 | ||
| Cash Conversion | 64.84% | ||
| Profit Quality | 95.51% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 3.93 |
F-Score8
WACC7.77%
ROIC/WACC1.57
Cap/Depr(3y)50.89%
Cap/Depr(5y)49.91%
Cap/Sales(3y)1.04%
Cap/Sales(5y)1.08%
Profit Quality(3y)235.51%
Profit Quality(5y)202.58%
High Growth Momentum
Growth
EPS 1Y (TTM)28.41%
EPS 3Y15.63%
EPS 5Y14.65%
EPS Q2Q%22.05%
EPS Next Y14.73%
EPS Next 2Y8.53%
EPS Next 3Y7.9%
EPS Next 5YN/A
Revenue 1Y (TTM)6.53%
Revenue growth 3Y6.65%
Revenue growth 5Y8.47%
Sales Q2Q%2.93%
Revenue Next Year4.51%
Revenue Next 2Y4.03%
Revenue Next 3Y3.85%
Revenue Next 5YN/A
EBIT growth 1Y26.63%
EBIT growth 3Y15.99%
EBIT growth 5Y15.09%
EBIT Next Year15.15%
EBIT Next 3Y6.46%
EBIT Next 5YN/A
FCF growth 1Y76.18%
FCF growth 3Y10.27%
FCF growth 5Y7.37%
OCF growth 1Y63.11%
OCF growth 3Y10.52%
OCF growth 5Y7.01%