BOOZ ALLEN HAMILTON HOLDINGS (BAH)
US0995021062 - Common Stock
Taking everything into account, BAH scores 5 out of 10 in our fundamental rating. BAH was compared to 80 industry peers in the Professional Services industry. While BAH has a great profitability rating, there are some minor concerns on its financial health. BAH is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year BAH was profitable.
BAH had a positive operating cash flow in the past year.
Each year in the past 5 years BAH has been profitable.
In the past 5 years BAH always reported a positive cash flow from operatings.
1.2 Ratios
BAH has a better Return On Assets (6.27%) than 73.75% of its industry peers.
BAH has a better Return On Equity (37.36%) than 87.50% of its industry peers.
The Return On Invested Capital of BAH (15.00%) is better than 81.25% of its industry peers.
BAH had an Average Return On Invested Capital over the past 3 years of 13.44%. This is in line with the industry average of 12.22%.
The last Return On Invested Capital (15.00%) for BAH is above the 3 year average (13.44%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.27% | ||
| ROE | 37.36% | ||
| ROIC | 15% |
ROA(3y)7.61%
ROA(5y)8.75%
ROE(3y)42.67%
ROE(5y)49.18%
ROIC(3y)13.44%
ROIC(5y)14.41%
1.3 Margins
BAH's Profit Margin of 3.93% is in line compared to the rest of the industry. BAH outperforms 56.25% of its industry peers.
In the last couple of years the Profit Margin of BAH has declined.
With a decent Operating Margin value of 9.39%, BAH is doing good in the industry, outperforming 68.75% of the companies in the same industry.
BAH's Operating Margin has improved in the last couple of years.
The Gross Margin of BAH (53.56%) is better than 65.00% of its industry peers.
BAH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.39% | ||
| PM (TTM) | 3.93% | ||
| GM | 53.56% |
OM growth 3Y0.44%
OM growth 5Y1.52%
PM growth 3Y-23.26%
PM growth 5Y-9.73%
GM growth 3Y-0.75%
GM growth 5Y-0.01%
2. Health
2.1 Basic Checks
BAH 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, BAH has less shares outstanding
The number of shares outstanding for BAH has been reduced compared to 5 years ago.
Compared to 1 year ago, BAH has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.88 indicates that BAH is not in any danger for bankruptcy at the moment.
BAH has a Altman-Z score of 4.88. This is amongst the best in the industry. BAH outperforms 83.75% of its industry peers.
The Debt to FCF ratio of BAH is 12.35, which is on the high side as it means it would take BAH, 12.35 years of fcf income to pay off all of its debts.
BAH has a Debt to FCF ratio of 12.35. This is in the lower half of the industry: BAH underperforms 66.25% of its industry peers.
BAH has a Debt/Equity ratio of 3.10. This is a high value indicating a heavy dependency on external financing.
BAH's Debt to Equity ratio of 3.10 is on the low side compared to the rest of the industry. BAH is outperformed by 92.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.1 | ||
| Debt/FCF | 12.35 | ||
| Altman-Z | 4.88 |
ROIC/WACC1.77
WACC8.49%
2.3 Liquidity
A Current Ratio of 1.68 indicates that BAH should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.68, BAH is doing good in the industry, outperforming 71.25% of the companies in the same industry.
A Quick Ratio of 1.68 indicates that BAH should not have too much problems paying its short term obligations.
BAH has a better Quick ratio (1.68) than 71.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
BAH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.73%, which is quite good.
Measured over the past years, BAH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.75% on average per year.
Looking at the last year, BAH shows a quite strong growth in Revenue. The Revenue has grown by 13.90% in the last year.
The Revenue has been growing by 8.46% on average over the past years. This is quite good.
EPS 1Y (TTM)17.73%
EPS 3Y12.8%
EPS 5Y17.75%
EPS growth Q2Q31.78%
Revenue 1Y (TTM)13.9%
Revenue growth 3Y7.45%
Revenue growth 5Y8.46%
Revenue growth Q2Q12.85%
3.2 Future
The Earnings Per Share is expected to grow by 12.87% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.63% on average over the next years. This is quite good.
EPS Next Y20.02%
EPS Next 2Y14.02%
EPS Next 3Y12.87%
EPS Next 5YN/A
Revenue Next Year15.04%
Revenue Next 2Y11.41%
Revenue Next 3Y9.63%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BAH is valuated quite expensively with a Price/Earnings ratio of 28.04.
BAH's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.20, BAH is valued at the same level.
With a Price/Forward Earnings ratio of 24.56, BAH is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as BAH.
BAH's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.63.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.04 | ||
| Fwd PE | 24.56 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as BAH.
BAH's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. BAH is more expensive than 65.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 68.06 | ||
| EV/EBITDA | 18.95 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
BAH has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as BAH's earnings are expected to grow with 12.87% in the coming years.
PEG (NY)1.4
PEG (5Y)1.58
EPS Next 2Y14.02%
EPS Next 3Y12.87%
5. Dividend
5.1 Amount
BAH has a Yearly Dividend Yield of 1.46%.
Compared to an average industry Dividend Yield of 2.10, BAH pays a better dividend. On top of this BAH pays more dividend than 82.50% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, BAH's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.46% |
5.2 History
The dividend of BAH is nicely growing with an annual growth rate of 20.32%!
BAH has been paying a dividend for at least 10 years, so it has a reliable track record.
As BAH did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)20.32%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
BAH pays out 61.43% of its income as dividend. This is not a sustainable payout ratio.
BAH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP61.43%
EPS Next 2Y14.02%
EPS Next 3Y12.87%
BOOZ ALLEN HAMILTON HOLDINGS
NYSE:BAH (4/25/2024, 7:04:00 PM)
After market: 145.27 0 (0%)145.27
+0.88 (+0.61%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap18.85B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.46% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.04 | ||
| Fwd PE | 24.56 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.4
PEG (5Y)1.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.27% | ||
| ROE | 37.36% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.39% | ||
| PM (TTM) | 3.93% | ||
| GM | 53.56% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.1 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)17.73%
EPS 3Y12.8%
EPS 5Y
EPS growth Q2Q
EPS Next Y20.02%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)13.9%
Revenue growth 3Y7.45%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y