LEIDOS HOLDINGS INC (LDOS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LDOS - US5253271028 - Common Stock
191.5 USD
+4.69 (+2.51%)
191.5 USD
0 (0%)
Overall LDOS gets a fundamental rating of 6 out of 10. We evaluated LDOS against 87 industry peers in the Professional Services industry. LDOS scores excellent on profitability, but there are some minor concerns on its financial health. LDOS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
LDOS had positive earnings in the past year.
LDOS had a positive operating cash flow in the past year.
Each year in the past 5 years LDOS has been profitable.
In the past 5 years LDOS always reported a positive cash flow from operatings.
1.2 Ratios
LDOS has a Return On Assets of 10.38%. This is amongst the best in the industry. LDOS outperforms 82.76% of its industry peers.
LDOS's Return On Equity of 28.62% is amongst the best of the industry. LDOS outperforms 83.91% of its industry peers.
LDOS has a better Return On Invested Capital (12.37%) than 75.86% of its industry peers.
LDOS had an Average Return On Invested Capital over the past 3 years of 9.60%. This is below the industry average of 12.15%.
The last Return On Invested Capital (12.37%) for LDOS is above the 3 year average (9.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.38% | ||
| ROE | 28.62% | ||
| ROIC | 12.37% |
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
With a decent Profit Margin value of 8.11%, LDOS is doing good in the industry, outperforming 75.86% of the companies in the same industry.
LDOS's Profit Margin has improved in the last couple of years.
LDOS has a Operating Margin of 11.78%. This is in the better half of the industry: LDOS outperforms 75.86% of its industry peers.
LDOS's Operating Margin has improved in the last couple of years.
LDOS's Gross Margin of 17.61% is on the low side compared to the rest of the industry. LDOS is outperformed by 78.16% of its industry peers.
In the last couple of years the Gross Margin of LDOS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.78% | ||
| PM (TTM) | 8.11% | ||
| GM | 17.61% |
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
LDOS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, LDOS has less shares outstanding
LDOS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for LDOS has been reduced compared to a year ago.
2.2 Solvency
LDOS has an Altman-Z score of 4.10. This indicates that LDOS is financially healthy and has little risk of bankruptcy at the moment.
LDOS has a better Altman-Z score (4.10) than 77.01% of its industry peers.
LDOS has a debt to FCF ratio of 3.36. This is a good value and a sign of high solvency as LDOS would need 3.36 years to pay back of all of its debts.
The Debt to FCF ratio of LDOS (3.36) is better than 60.92% of its industry peers.
A Debt/Equity ratio of 0.94 indicates that LDOS is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.94, LDOS is doing worse than 68.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 3.36 | ||
| Altman-Z | 4.1 |
ROIC/WACC1.59
WACC7.79%
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.
With a Current ratio value of 1.62, LDOS perfoms like the industry average, outperforming 59.77% of the companies in the same industry.
A Quick Ratio of 1.50 indicates that LDOS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.50, LDOS perfoms like the industry average, outperforming 52.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
LDOS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.89%, which is quite good.
The Earnings Per Share has been growing by 14.65% on average over the past years. This is quite good.
LDOS shows a small growth in Revenue. In the last year, the Revenue has grown by 6.48%.
Measured over the past years, LDOS shows a quite strong growth in Revenue. The Revenue has been growing by 8.47% on average per year.
EPS 1Y (TTM)17.89%
EPS 3Y15.63%
EPS 5Y14.65%
EPS Q2Q%4.1%
Revenue 1Y (TTM)6.48%
Revenue growth 3Y6.65%
Revenue growth 5Y8.47%
Sales Q2Q%6.66%
3.2 Future
LDOS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.64% yearly.
LDOS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.11% yearly.
EPS Next Y15.37%
EPS Next 2Y9.37%
EPS Next 3Y7.88%
EPS Next 5Y7.64%
Revenue Next Year4.53%
Revenue Next 2Y4.06%
Revenue Next 3Y3.77%
Revenue Next 5Y4.11%
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 16.51 indicates a correct valuation of LDOS.
Based on the Price/Earnings ratio, LDOS is valued a bit cheaper than 67.82% of the companies in the same industry.
When comparing the Price/Earnings ratio of LDOS to the average of the S&P500 Index (25.98), we can say LDOS is valued slightly cheaper.
With a Price/Forward Earnings ratio of 15.66, 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 63.22% of the companies listed in the same industry.
LDOS is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.51 | ||
| Fwd PE | 15.66 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LDOS indicates a somewhat cheap valuation: LDOS is cheaper than 70.11% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, LDOS is valued a bit cheaper than 68.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.73 | ||
| EV/EBITDA | 12.09 |
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)1.07
PEG (5Y)1.13
EPS Next 2Y9.37%
EPS Next 3Y7.88%
5. Dividend
5.1 Amount
LDOS has a yearly dividend return of 0.93%, which is pretty low.
LDOS's Dividend Yield is a higher than the industry average which is at 4.43.
With a Dividend Yield of 0.93, LDOS pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
5.2 History
The dividend of LDOS has a limited annual growth rate of 2.96%.
LDOS has paid a dividend for at least 10 years, which is 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 14.88% 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.
DP14.88%
EPS Next 2Y9.37%
EPS Next 3Y7.88%
191.5
+4.69 (+2.51%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners80.04%
Inst Owner Change0.98%
Ins Owners0.48%
Ins Owner Change-0.46%
Market Cap24.57B
Revenue(TTM)17.33B
Net Income(TTM)1.41B
Analysts80
Price Target217.11 (13.37%)
Short Float %1.89%
Short Ratio2.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend1.47
Dividend Growth(5Y)2.96%
DP14.88%
Div Incr Years6
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.38%
Min EPS beat(2)10.27%
Max EPS beat(2)18.49%
EPS beat(4)4
Avg EPS beat(4)11.87%
Min EPS beat(4)2.22%
Max EPS beat(4)18.49%
EPS beat(8)8
Avg EPS beat(8)18.44%
EPS beat(12)11
Avg EPS beat(12)15.14%
EPS beat(16)12
Avg EPS beat(16)11.19%
Revenue beat(2)1
Avg Revenue beat(2)0.39%
Min Revenue beat(2)-1.57%
Max Revenue beat(2)2.36%
Revenue beat(4)3
Avg Revenue beat(4)1.44%
Min Revenue beat(4)-1.57%
Max Revenue beat(4)3.53%
Revenue beat(8)6
Avg Revenue beat(8)1.39%
Revenue beat(12)8
Avg Revenue beat(12)1.11%
Revenue beat(16)10
Avg Revenue beat(16)0.74%
PT rev (1m)12.62%
PT rev (3m)15.63%
EPS NQ rev (1m)-5.01%
EPS NQ rev (3m)-3.84%
EPS NY rev (1m)0%
EPS NY rev (3m)0.56%
Revenue NQ rev (1m)-2.27%
Revenue NQ rev (3m)-2.25%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.51 | ||
| Fwd PE | 15.66 | ||
| P/S | 1.42 | ||
| P/FCF | 17.73 | ||
| P/OCF | 15.81 | ||
| P/B | 5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.09 |
EPS(TTM)11.6
EY6.06%
EPS(NY)12.22
Fwd EY6.38%
FCF(TTM)10.8
FCFY5.64%
OCF(TTM)12.11
OCFY6.32%
SpS135.09
BVpS38.26
TBVpS-15.04
PEG (NY)1.07
PEG (5Y)1.13
Graham Number99.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.38% | ||
| ROE | 28.62% | ||
| ROCE | 19.34% | ||
| ROIC | 12.37% | ||
| ROICexc | 13.64% | ||
| ROICexgc | 47.71% | ||
| OM | 11.78% | ||
| PM (TTM) | 8.11% | ||
| GM | 17.61% | ||
| FCFM | 8% |
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%
ROICexgc growth 3Y4.26%
ROICexgc 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 Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 3.36 | ||
| Debt/EBITDA | 1.98 | ||
| Cap/Depr | 57.14% | ||
| Cap/Sales | 0.97% | ||
| Interest Coverage | 8.65 | ||
| Cash Conversion | 66.55% | ||
| Profit Quality | 98.65% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 4.1 |
F-Score8
WACC7.79%
ROIC/WACC1.59
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)17.89%
EPS 3Y15.63%
EPS 5Y14.65%
EPS Q2Q%4.1%
EPS Next Y15.37%
EPS Next 2Y9.37%
EPS Next 3Y7.88%
EPS Next 5Y7.64%
Revenue 1Y (TTM)6.48%
Revenue growth 3Y6.65%
Revenue growth 5Y8.47%
Sales Q2Q%6.66%
Revenue Next Year4.53%
Revenue Next 2Y4.06%
Revenue Next 3Y3.77%
Revenue Next 5Y4.11%
EBIT growth 1Y15.77%
EBIT growth 3Y15.99%
EBIT growth 5Y15.09%
EBIT Next Year21.18%
EBIT Next 3Y7.77%
EBIT Next 5Y6.85%
FCF growth 1Y73.68%
FCF growth 3Y10.27%
FCF growth 5Y7.37%
OCF growth 1Y58.57%
OCF growth 3Y10.52%
OCF growth 5Y7.01%
LEIDOS HOLDINGS INC / LDOS FAQ
What is the fundamental rating for LDOS stock?
ChartMill assigns a fundamental rating of 6 / 10 to LDOS.
What is the valuation status of LEIDOS HOLDINGS INC (LDOS) stock?
ChartMill assigns a valuation rating of 6 / 10 to LEIDOS HOLDINGS INC (LDOS). This can be considered as Fairly Valued.
Can you provide the profitability details for LEIDOS HOLDINGS INC?
LEIDOS HOLDINGS INC (LDOS) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for LDOS stock?
The Price/Earnings (PE) ratio for LEIDOS HOLDINGS INC (LDOS) is 16.51 and the Price/Book (PB) ratio is 5.
How financially healthy is LEIDOS HOLDINGS INC?
The financial health rating of LEIDOS HOLDINGS INC (LDOS) is 6 / 10.