LEIDOS HOLDINGS INC (LDOS)
US5253271028 - Common Stock
Overall LDOS gets a fundamental rating of 5 out of 10. We evaluated LDOS against 82 industry peers in the Professional Services industry. LDOS has only an average score on both its financial health and profitability. LDOS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LDOS was profitable.
LDOS had a positive operating cash flow in the past year.
In the past 5 years LDOS has always 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 2.50%. This is comparable to the rest of the industry: LDOS outperforms 49.38% of its industry peers.
The Return On Equity of LDOS (7.54%) is comparable to the rest of the industry.
With a decent Return On Invested Capital value of 9.68%, LDOS is doing good in the industry, outperforming 66.67% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LDOS is below the industry average of 11.78%.
The 3 year average ROIC (8.10%) for LDOS is below the current ROIC(9.68%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.5% | ||
| ROE | 7.54% | ||
| ROIC | 9.68% |
ROA(3y)4.16%
ROA(5y)4.93%
ROE(3y)12.74%
ROE(5y)14.8%
ROIC(3y)8.1%
ROIC(5y)7.92%
1.3 Margins
The Profit Margin of LDOS (2.04%) is comparable to the rest of the industry.
LDOS's Profit Margin has declined in the last couple of years.
LDOS's Operating Margin of 9.24% is fine compared to the rest of the industry. LDOS outperforms 69.14% of its industry peers.
LDOS's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 15.19%, LDOS is not doing good in the industry: 83.95% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of LDOS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.24% | ||
| PM (TTM) | 2.04% | ||
| GM | 15.19% |
OM growth 3Y0.07%
OM growth 5Y2.1%
PM growth 3Y-36.8%
PM growth 5Y-25.72%
GM growth 3Y0.96%
GM growth 5Y-0.3%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LDOS is still 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
Compared to 1 year ago, LDOS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.32 indicates that LDOS is not in any danger for bankruptcy at the moment.
The Altman-Z score of LDOS (3.32) is comparable to the rest of the industry.
LDOS has a debt to FCF ratio of 4.10. This is a neutral value as LDOS would need 4.10 years to pay back of all of its debts.
LDOS has a Debt to FCF ratio (4.10) which is comparable to the rest of the industry.
LDOS has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.09, LDOS is doing worse than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 4.1 | ||
| Altman-Z | 3.32 |
ROIC/WACC1.23
WACC7.87%
2.3 Liquidity
LDOS has a Current Ratio of 1.35. 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 1.35, LDOS perfoms like the industry average, outperforming 51.85% of the companies in the same industry.
A Quick Ratio of 1.24 indicates that LDOS should not have too much problems paying its short term obligations.
The Quick ratio of LDOS (1.24) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.35% over the past year.
The Earnings Per Share has been growing by 10.68% 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 7.62%.
LDOS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.65% yearly.
EPS 1Y (TTM)25.35%
EPS 3Y7.67%
EPS 5Y10.68%
EPS growth Q2Q55.78%
Revenue 1Y (TTM)7.62%
Revenue growth 3Y7.88%
Revenue growth 5Y8.65%
Revenue growth Q2Q7.46%
3.2 Future
Based on estimates for the next years, LDOS will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.70% on average per year.
The Revenue is expected to grow by 4.64% on average over the next years.
EPS Next Y9.69%
EPS Next 2Y10.04%
EPS Next 3Y10.7%
EPS Next 5YN/A
Revenue Next Year5.28%
Revenue Next 2Y4.82%
Revenue Next 3Y4.64%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
Based on the Price/Earnings ratio of 17.59, the valuation of LDOS can be described as rather expensive.
70.37% of the companies in the same industry are more expensive than LDOS, based on the Price/Earnings ratio.
LDOS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.02.
A Price/Forward Earnings ratio of 16.16 indicates a correct valuation of LDOS.
Based on the Price/Forward Earnings ratio, LDOS is valued a bit cheaper than 66.67% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.58, LDOS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.59 | ||
| Fwd PE | 16.16 |
4.2 Price Multiples
LDOS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. LDOS is cheaper than 69.14% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LDOS indicates a somewhat cheap valuation: LDOS is cheaper than 71.60% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.88 | ||
| EV/EBITDA | 13.09 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LDOS does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)1.81
PEG (5Y)1.65
EPS Next 2Y10.04%
EPS Next 3Y10.7%
5. Dividend
5.1 Amount
LDOS has a Yearly Dividend Yield of 1.07%.
Compared to an average industry Dividend Yield of 2.04, LDOS pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.07, LDOS pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
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 Years5
Div Non Decr Years6
5.3 Sustainability
LDOS pays out 63.55% of its income as dividend. This is not a sustainable payout ratio.
LDOS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP63.55%
EPS Next 2Y10.04%
EPS Next 3Y10.7%
LEIDOS HOLDINGS INC
NYSE:LDOS (5/6/2024, 7:11:38 PM)
After market: 142.62 0 (0%)142.62
+0.95 (+0.67%)
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 Cap19.26B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
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)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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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 | 17.59 | ||
| Fwd PE | 16.16 | ||
| 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)1.81
PEG (5Y)1.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.5% | ||
| ROE | 7.54% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.24% | ||
| PM (TTM) | 2.04% | ||
| GM | 15.19% | ||
| 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 Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.24 | ||
| 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)25.35%
EPS 3Y7.67%
EPS 5Y
EPS growth Q2Q
EPS Next Y9.69%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.62%
Revenue growth 3Y7.88%
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