BOOZ ALLEN HAMILTON HOLDINGS (BAH) Stock Fundamental Analysis
USA - NYSE:BAH - US0995021062 - Common Stock
102.223 USD
-2.4 (-2.29%)
Overall BAH gets a fundamental rating of 6 out of 10. We evaluated BAH against 82 industry peers in the Professional Services industry. BAH has an excellent profitability rating, but there are some minor concerns on its financial health. BAH has a correct valuation and a medium 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
In the past year BAH was profitable.
In the past year BAH had a positive cash flow from operations.
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 16.72%. This is amongst the best in the industry. BAH outperforms 93.90% of its industry peers.
With an excellent Return On Equity value of 112.58%, BAH belongs to the best of the industry, outperforming 96.34% of the companies in the same industry.
BAH has a Return On Invested Capital of 21.24%. This is amongst the best in the industry. BAH outperforms 93.90% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BAH is above the industry average of 12.76%.
The 3 year average ROIC (15.43%) for BAH is below the current ROIC(21.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.72% | ||
| ROE | 112.58% | ||
| ROIC | 21.24% |
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
With a decent Profit Margin value of 8.04%, BAH is doing good in the industry, outperforming 78.05% of the companies in the same industry.
In the last couple of years the Profit Margin of BAH has grown nicely.
BAH has a Operating Margin of 10.44%. This is in the better half of the industry: BAH outperforms 71.95% of its industry peers.
BAH's Operating Margin has improved in the last couple of years.
BAH has a better Gross Margin (54.29%) than 68.29% of its industry peers.
BAH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.44% | ||
| PM (TTM) | 8.04% | ||
| GM | 54.29% |
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BAH is creating 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 a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.93 indicates that BAH is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.93, BAH belongs to the top of the industry, outperforming 82.93% of the companies in the same industry.
BAH has a debt to FCF ratio of 4.03. This is a neutral value as BAH would need 4.03 years to pay back of all of its debts.
BAH has a Debt to FCF ratio (4.03) which is comparable to the rest of the industry.
A Debt/Equity ratio of 3.66 is on the high side and indicates that BAH has dependencies on debt financing.
BAH has a Debt to Equity ratio of 3.66. This is amonst the worse of the industry: BAH underperforms 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.66 | ||
| Debt/FCF | 4.03 | ||
| Altman-Z | 4.93 |
ROIC/WACC2.8
WACC7.59%
2.3 Liquidity
A Current Ratio of 1.78 indicates that BAH should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.78, BAH is in the better half of the industry, outperforming 69.51% of the companies in the same industry.
A Quick Ratio of 1.78 indicates that BAH should not have too much problems paying its short term obligations.
The Quick ratio of BAH (1.78) is better than 69.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.22% over the past year.
The Earnings Per Share has been growing by 14.91% on average over the past years. This is quite good.
BAH shows a strong growth in Revenue. In the last year, the Revenue has grown by 36.12%.
Measured over the past years, BAH shows a quite strong growth in Revenue. The Revenue has been growing by 9.93% on average per year.
EPS 1Y (TTM)19.22%
EPS 3Y14.68%
EPS 5Y14.91%
EPS Q2Q%7.25%
Revenue 1Y (TTM)36.12%
Revenue growth 3Y12.72%
Revenue growth 5Y9.93%
Sales Q2Q%-0.6%
3.2 Future
The Earnings Per Share is expected to grow by 6.82% on average over the next years.
The Revenue is expected to grow by 2.86% on average over the next years.
EPS Next Y1.48%
EPS Next 2Y5.78%
EPS Next 3Y6.82%
EPS Next 5YN/A
Revenue Next Year0.67%
Revenue Next 2Y2.85%
Revenue Next 3Y2.86%
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.
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 15.85 indicates a correct valuation of BAH.
Based on the Price/Earnings ratio, BAH is valued a bit cheaper than 69.51% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.30. BAH is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 14.39, BAH is valued correctly.
69.51% of the companies in the same industry are more expensive than BAH, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.73. BAH is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.85 | ||
| Fwd PE | 14.39 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BAH indicates a somewhat cheap valuation: BAH is cheaper than 79.27% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, BAH is valued a bit cheaper than the industry average as 76.83% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.76 | ||
| EV/EBITDA | 9.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of BAH may justify a higher PE ratio.
PEG (NY)10.68
PEG (5Y)1.06
EPS Next 2Y5.78%
EPS Next 3Y6.82%
5. Dividend
5.1 Amount
BAH has a Yearly Dividend Yield of 2.12%.
BAH's Dividend Yield is rather good when compared to the industry average which is at 2.07. BAH pays more dividend than 86.59% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, BAH has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.12% |
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
22.65% 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.
DP22.65%
EPS Next 2Y5.78%
EPS Next 3Y6.82%
NYSE:BAH (9/15/2025, 12:43:18 PM)
102.223
-2.4 (-2.29%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners102.64%
Inst Owner Change-7.18%
Ins Owners1.01%
Ins Owner Change3.65%
Market Cap12.60B
Analysts68.42
Price Target129.22 (26.41%)
Short Float %5.89%
Short Ratio3.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.12% |
Yearly Dividend2.11
Dividend Growth(5Y)14.89%
DP22.65%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.65%
Min EPS beat(2)0.21%
Max EPS beat(2)1.1%
EPS beat(4)4
Avg EPS beat(4)5.74%
Min EPS beat(4)0.21%
Max EPS beat(4)20.49%
EPS beat(8)6
Avg EPS beat(8)4.87%
EPS beat(12)10
Avg EPS beat(12)6.57%
EPS beat(16)13
Avg EPS beat(16)6.19%
Revenue beat(2)0
Avg Revenue beat(2)-2.34%
Min Revenue beat(2)-2.94%
Max Revenue beat(2)-1.75%
Revenue beat(4)2
Avg Revenue beat(4)0.28%
Min Revenue beat(4)-2.94%
Max Revenue beat(4)5.05%
Revenue beat(8)5
Avg Revenue beat(8)0.35%
Revenue beat(12)9
Avg Revenue beat(12)0.88%
Revenue beat(16)10
Avg Revenue beat(16)0.25%
PT rev (1m)-0.4%
PT rev (3m)-2.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.19%
EPS NY rev (1m)-0.94%
EPS NY rev (3m)-7.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.74%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-1.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.85 | ||
| Fwd PE | 14.39 | ||
| P/S | 0.85 | ||
| P/FCF | 12.76 | ||
| P/OCF | 11.71 | ||
| P/B | 11.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.4 |
EPS(TTM)6.45
EY6.31%
EPS(NY)7.1
Fwd EY6.95%
FCF(TTM)8.01
FCFY7.84%
OCF(TTM)8.73
OCFY8.54%
SpS120.92
BVpS8.64
TBVpS-15.33
PEG (NY)10.68
PEG (5Y)1.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.72% | ||
| ROE | 112.58% | ||
| ROCE | 28.76% | ||
| ROIC | 21.24% | ||
| ROICexc | 24.45% | ||
| ROICexgc | 65.84% | ||
| OM | 10.44% | ||
| PM (TTM) | 8.04% | ||
| GM | 54.29% | ||
| FCFM | 6.62% |
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%
ROICexcg growth 3Y4.08%
ROICexcg 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-Score7
Asset Turnover2.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.66 | ||
| Debt/FCF | 4.03 | ||
| Debt/EBITDA | 2.27 | ||
| Cap/Depr | 54.04% | ||
| Cap/Sales | 0.59% | ||
| Interest Coverage | 8.59 | ||
| Cash Conversion | 62.56% | ||
| Profit Quality | 82.34% | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 4.93 |
F-Score7
WACC7.59%
ROIC/WACC2.8
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)19.22%
EPS 3Y14.68%
EPS 5Y14.91%
EPS Q2Q%7.25%
EPS Next Y1.48%
EPS Next 2Y5.78%
EPS Next 3Y6.82%
EPS Next 5YN/A
Revenue 1Y (TTM)36.12%
Revenue growth 3Y12.72%
Revenue growth 5Y9.93%
Sales Q2Q%-0.6%
Revenue Next Year0.67%
Revenue Next 2Y2.85%
Revenue Next 3Y2.86%
Revenue Next 5YN/A
EBIT growth 1Y49.02%
EBIT growth 3Y17.29%
EBIT growth 5Y13.55%
EBIT Next Year-1.47%
EBIT Next 3Y2.91%
EBIT Next 5YN/A
FCF growth 1Y95.9%
FCF growth 3Y11.54%
FCF growth 5Y16.57%
OCF growth 1Y86.49%
OCF growth 3Y11.06%
OCF growth 5Y12.85%