BOOZ ALLEN HAMILTON HOLDINGS (BAH) Stock Fundamental Analysis
USA - NYSE:BAH - US0995021062 - Common Stock
87.16 USD
+4.34 (+5.24%)
87.2999 USD
+0.14 (+0.16%)
We assign a fundamental rating of 6 out of 10 to BAH. BAH was compared to 86 industry peers in the Professional Services industry. BAH has an excellent profitability rating, but there are some minor concerns on its financial health. BAH is not valued too expensively and it also shows a decent growth rate. BAH also has an excellent dividend rating. This makes BAH very considerable 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.
In the past 5 years BAH has always been profitable.
BAH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 11.47%, BAH belongs to the best of the industry, outperforming 88.37% of the companies in the same industry.
BAH has a better Return On Equity (82.40%) than 95.35% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.87%, BAH belongs to the top of the industry, outperforming 83.72% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BAH is above the industry average of 13.22%.
The last Return On Invested Capital (15.87%) for BAH is above the 3 year average (15.43%), which is a sign of increasing profitability.
| 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 73.26% of its industry peers.
BAH's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 9.77%, BAH is doing good in the industry, outperforming 70.93% of the companies in the same industry.
In the last couple of years the Operating Margin of BAH has grown nicely.
Looking at the Gross Margin, with a value of 53.71%, BAH is in the better half of the industry, outperforming 68.60% of the companies in the same industry.
BAH's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), BAH is creating value.
BAH has less shares outstanding than it did 1 year ago.
The number of shares outstanding for BAH has been reduced compared to 5 years ago.
The debt/assets ratio for BAH is higher compared to a year ago.
2.2 Solvency
BAH has an Altman-Z score of 4.05. This indicates that BAH is financially healthy and has little risk of bankruptcy at the moment.
BAH's Altman-Z score of 4.05 is fine compared to the rest of the industry. BAH outperforms 76.74% of its industry peers.
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 (4.83) which is comparable to the rest of the industry.
A Debt/Equity ratio of 3.89 is on the high side and indicates that BAH has dependencies on debt financing.
BAH has a Debt to Equity ratio of 3.89. This is amonst the worse of the industry: BAH underperforms 84.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 4.84 | ||
| Altman-Z | 4.05 |
ROIC/WACC2.13
WACC7.46%
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.
BAH has a Current ratio of 1.76. This is in the better half of the industry: BAH outperforms 67.44% of its industry peers.
A Quick Ratio of 1.76 indicates that BAH should not have too much problems paying its short term obligations.
BAH has a Quick ratio of 1.76. This is in the better half of the industry: BAH outperforms 67.44% of its industry peers.
| 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%.
BAH shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.93% yearly.
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 6.64% on average over the next years.
The Revenue is expected to grow by 3.40% on average over the next years.
EPS Next Y0.43%
EPS Next 2Y5.1%
EPS Next 3Y6.64%
EPS Next 5YN/A
Revenue Next Year0.56%
Revenue Next 2Y2.82%
Revenue Next 3Y3.4%
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
With a Price/Earnings ratio of 14.22, BAH is valued correctly.
Based on the Price/Earnings ratio, BAH is valued a bit cheaper than 76.74% of the companies in the same industry.
When comparing the Price/Earnings ratio of BAH to the average of the S&P500 Index (26.10), we can say BAH is valued slightly cheaper.
With a Price/Forward Earnings ratio of 12.43, BAH is valued correctly.
Based on the Price/Forward Earnings ratio, BAH is valued a bit cheaper than 73.26% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, BAH is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.22 | ||
| Fwd PE | 12.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BAH is valued a bit cheaper than the industry average as 75.58% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, BAH is valued a bit cheaper than 75.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.12 | ||
| EV/EBITDA | 10.22 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
BAH has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)33.16
PEG (5Y)0.95
EPS Next 2Y5.1%
EPS Next 3Y6.64%
5. Dividend
5.1 Amount
BAH has a Yearly Dividend Yield of 2.66%. Purely for dividend investing, there may be better candidates out there.
The stock price of BAH dropped by -20.55% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
BAH's Dividend Yield is rather good when compared to the industry average which is at 3.98. BAH pays more dividend than 88.37% of the companies in the same industry.
BAH's Dividend Yield is comparable with the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
5.2 History
The dividend of BAH is nicely growing with an annual growth rate of 14.89%!
BAH has paid a dividend for at least 10 years, which is 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
BAH pays out 33.27% of its income as dividend. This is a sustainable payout ratio.
BAH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP33.27%
EPS Next 2Y5.1%
EPS Next 3Y6.64%
87.16
+4.34 (+5.24%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners99.09%
Inst Owner Change0.76%
Ins Owners1.03%
Ins Owner Change4.61%
Market Cap10.74B
Revenue(TTM)11.71B
Net Income(TTM)820.68M
Analysts68.89
Price Target109.01 (25.07%)
Short Float %6.9%
Short Ratio4.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
Yearly Dividend2.11
Dividend Growth(5Y)14.89%
DP33.27%
Div Incr Years11
Div Non Decr Years11
Ex-Date
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)0.53%
PT rev (3m)0.13%
EPS NQ rev (1m)-1.05%
EPS NQ rev (3m)-4.38%
EPS NY rev (1m)-1.04%
EPS NY rev (3m)-1.97%
Revenue NQ rev (1m)0.37%
Revenue NQ rev (3m)-1.98%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-1.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.22 | ||
| Fwd PE | 12.43 | ||
| P/S | 0.92 | ||
| P/FCF | 13.12 | ||
| P/OCF | 11.81 | ||
| P/B | 10.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.22 |
EPS(TTM)6.13
EY7.03%
EPS(NY)7.01
Fwd EY8.05%
FCF(TTM)6.65
FCFY7.62%
OCF(TTM)7.38
OCFY8.47%
SpS94.98
BVpS8.08
TBVpS-15.79
PEG (NY)33.16
PEG (5Y)0.95
Graham Number33.39
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 | 4.05 |
F-Score5
WACC7.46%
ROIC/WACC2.13
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 Y0.43%
EPS Next 2Y5.1%
EPS Next 3Y6.64%
EPS Next 5YN/A
Revenue 1Y (TTM)-18.55%
Revenue growth 3Y12.72%
Revenue growth 5Y9.93%
Sales Q2Q%-8.15%
Revenue Next Year0.56%
Revenue Next 2Y2.82%
Revenue Next 3Y3.4%
Revenue Next 5YN/A
EBIT growth 1Y-22.38%
EBIT growth 3Y17.29%
EBIT growth 5Y13.55%
EBIT Next Year-1.47%
EBIT Next 3Y2.91%
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.
What is the valuation status for BAH stock?
ChartMill assigns a valuation rating of 5 / 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.
What are the PE and PB ratios of BOOZ ALLEN HAMILTON HOLDINGS (BAH) stock?
The Price/Earnings (PE) ratio for BOOZ ALLEN HAMILTON HOLDINGS (BAH) is 14.22 and the Price/Book (PB) ratio is 10.79.
What is the financial health of BOOZ ALLEN HAMILTON HOLDINGS (BAH) stock?
The financial health rating of BOOZ ALLEN HAMILTON HOLDINGS (BAH) is 5 / 10.