SCIENCE APPLICATIONS INTE (SAIC) Stock Fundamental Analysis
USA - NASDAQ:SAIC - US8086251076 - Common Stock
87.12 USD
+2.11 (+2.48%)
We assign a fundamental rating of 5 out of 10 to SAIC. SAIC was compared to 87 industry peers in the Professional Services industry. While SAIC belongs to the best of the industry regarding profitability, there are concerns on its financial health. SAIC scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
SAIC had positive earnings in the past year.
In the past year SAIC had a positive cash flow from operations.
Each year in the past 5 years SAIC has been profitable.
In the past 5 years SAIC always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 7.67%, SAIC is doing good in the industry, outperforming 75.86% of the companies in the same industry.
SAIC has a better Return On Equity (26.30%) than 79.31% of its industry peers.
SAIC has a better Return On Invested Capital (12.15%) than 73.56% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SAIC is significantly below the industry average of 22.56%.
The last Return On Invested Capital (12.15%) for SAIC is above the 3 year average (10.64%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.67% | ||
| ROE | 26.3% | ||
| ROIC | 12.15% |
ROA(3y)7.1%
ROA(5y)5.95%
ROE(3y)22.46%
ROE(5y)19.61%
ROIC(3y)10.64%
ROIC(5y)9.92%
1.3 Margins
SAIC has a Profit Margin of 5.35%. This is in the better half of the industry: SAIC outperforms 62.07% of its industry peers.
SAIC's Profit Margin has improved in the last couple of years.
SAIC's Operating Margin of 7.57% is fine compared to the rest of the industry. SAIC outperforms 63.22% of its industry peers.
In the last couple of years the Operating Margin of SAIC has grown nicely.
The Gross Margin of SAIC (11.97%) is worse than 83.91% of its industry peers.
SAIC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.57% | ||
| PM (TTM) | 5.35% | ||
| GM | 11.97% |
OM growth 3Y2.78%
OM growth 5Y3.1%
PM growth 3Y8.92%
PM growth 5Y6.44%
GM growth 3Y0.88%
GM growth 5Y1.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SAIC is still creating some value.
The number of shares outstanding for SAIC has been reduced compared to 1 year ago.
The number of shares outstanding for SAIC has been reduced compared to 5 years ago.
The debt/assets ratio for SAIC is higher compared to a year ago.
2.2 Solvency
SAIC has an Altman-Z score of 2.78. This is not the best score and indicates that SAIC is in the grey zone with still only limited risk for bankruptcy at the moment.
SAIC has a Altman-Z score (2.78) which is in line with its industry peers.
The Debt to FCF ratio of SAIC is 5.20, which is a neutral value as it means it would take SAIC, 5.20 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 5.20, SAIC perfoms like the industry average, outperforming 50.57% of the companies in the same industry.
A Debt/Equity ratio of 1.22 is on the high side and indicates that SAIC has dependencies on debt financing.
SAIC has a Debt to Equity ratio of 1.22. This is in the lower half of the industry: SAIC underperforms 77.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 5.2 | ||
| Altman-Z | 2.78 |
ROIC/WACC1.67
WACC7.26%
2.3 Liquidity
A Current Ratio of 0.83 indicates that SAIC may have some problems paying its short term obligations.
SAIC's Current ratio of 0.83 is on the low side compared to the rest of the industry. SAIC is outperformed by 83.91% of its industry peers.
SAIC has a Quick Ratio of 0.83. This is a bad value and indicates that SAIC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.83, SAIC is doing worse than 82.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 39.90% over the past year.
The Earnings Per Share has been growing by 10.01% on average over the past years. This is quite good.
The Revenue has been growing slightly by 2.23% in the past year.
Measured over the past years, SAIC shows a small growth in Revenue. The Revenue has been growing by 3.23% on average per year.
EPS 1Y (TTM)39.9%
EPS 3Y8.02%
EPS 5Y10.01%
EPS Q2Q%77.07%
Revenue 1Y (TTM)2.23%
Revenue growth 3Y0.38%
Revenue growth 5Y3.23%
Sales Q2Q%-2.7%
3.2 Future
The Earnings Per Share is expected to grow by 6.22% on average over the next years.
Based on estimates for the next years, SAIC will show a small growth in Revenue. The Revenue will grow by 1.16% on average per year.
EPS Next Y6.36%
EPS Next 2Y1.66%
EPS Next 3Y6.22%
EPS Next 5YN/A
Revenue Next Year-1.64%
Revenue Next 2Y-0.13%
Revenue Next 3Y1.16%
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 8.12, the valuation of SAIC can be described as very reasonable.
SAIC's Price/Earnings ratio is rather cheap when compared to the industry. SAIC is cheaper than 88.51% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.07, SAIC is valued rather cheaply.
A Price/Forward Earnings ratio of 9.21 indicates a reasonable valuation of SAIC.
Based on the Price/Forward Earnings ratio, SAIC is valued cheaply inside the industry as 83.91% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 34.08. SAIC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.12 | ||
| Fwd PE | 9.21 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SAIC indicates a rather cheap valuation: SAIC is cheaper than 81.61% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SAIC is valued cheaper than 85.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.09 | ||
| EV/EBITDA | 8.71 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SAIC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.28
PEG (5Y)0.81
EPS Next 2Y1.66%
EPS Next 3Y6.22%
5. Dividend
5.1 Amount
SAIC has a Yearly Dividend Yield of 1.65%. Purely for dividend investing, there may be better candidates out there.
The stock price of SAIC dropped by -28.68% 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.
SAIC's Dividend Yield is a higher than the industry average which is at 4.28.
SAIC's Dividend Yield is slightly below the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
5.2 History
The dividend of SAIC has a limited annual growth rate of 0.34%.
SAIC has paid a dividend for at least 10 years, which is a reliable track record.
SAIC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.34%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
18.05% of the earnings are spent on dividend by SAIC. This is a low number and sustainable payout ratio.
The dividend of SAIC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP18.05%
EPS Next 2Y1.66%
EPS Next 3Y6.22%
NASDAQ:SAIC (11/21/2025, 12:50:08 PM)
87.12
+2.11 (+2.48%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners87.15%
Inst Owner Change-4.18%
Ins Owners0.48%
Ins Owner Change2.86%
Market Cap4.01B
Revenue(TTM)7.46B
Net Income(TTM)399.00M
Analysts55
Price Target121.39 (39.34%)
Short Float %4.82%
Short Ratio4.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
Yearly Dividend1.5
Dividend Growth(5Y)0.34%
DP18.05%
Div Incr Years0
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)23.77%
Min EPS beat(2)-11.56%
Max EPS beat(2)59.1%
EPS beat(4)3
Avg EPS beat(4)21.66%
Min EPS beat(4)-11.56%
Max EPS beat(4)59.1%
EPS beat(8)5
Avg EPS beat(8)15.1%
EPS beat(12)9
Avg EPS beat(12)15.63%
EPS beat(16)13
Avg EPS beat(16)14.56%
Revenue beat(2)0
Avg Revenue beat(2)-4.13%
Min Revenue beat(2)-6.89%
Max Revenue beat(2)-1.37%
Revenue beat(4)1
Avg Revenue beat(4)-2.15%
Min Revenue beat(4)-6.89%
Max Revenue beat(4)0.2%
Revenue beat(8)3
Avg Revenue beat(8)-0.37%
Revenue beat(12)6
Avg Revenue beat(12)0.46%
Revenue beat(16)7
Avg Revenue beat(16)0.2%
PT rev (1m)0.11%
PT rev (3m)0.09%
EPS NQ rev (1m)-0.11%
EPS NQ rev (3m)-16.58%
EPS NY rev (1m)-0.48%
EPS NY rev (3m)3.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.14%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.12 | ||
| Fwd PE | 9.21 | ||
| P/S | 0.54 | ||
| P/FCF | 9.09 | ||
| P/OCF | 8.35 | ||
| P/B | 2.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.71 |
EPS(TTM)10.73
EY12.32%
EPS(NY)9.46
Fwd EY10.85%
FCF(TTM)9.58
FCFY11%
OCF(TTM)10.43
OCFY11.97%
SpS162.1
BVpS32.96
TBVpS-44.65
PEG (NY)1.28
PEG (5Y)0.81
Graham Number89.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.67% | ||
| ROE | 26.3% | ||
| ROCE | 15.05% | ||
| ROIC | 12.15% | ||
| ROICexc | 12.31% | ||
| ROICexgc | 340.51% | ||
| OM | 7.57% | ||
| PM (TTM) | 5.35% | ||
| GM | 11.97% | ||
| FCFM | 5.91% |
ROA(3y)7.1%
ROA(5y)5.95%
ROE(3y)22.46%
ROE(5y)19.61%
ROIC(3y)10.64%
ROIC(5y)9.92%
ROICexc(3y)10.85%
ROICexc(5y)10.17%
ROICexgc(3y)175.22%
ROICexgc(5y)160.29%
ROCE(3y)13.17%
ROCE(5y)12.29%
ROICexgc growth 3Y17.62%
ROICexgc growth 5Y35.33%
ROICexc growth 3Y7.46%
ROICexc growth 5Y4.1%
OM growth 3Y2.78%
OM growth 5Y3.1%
PM growth 3Y8.92%
PM growth 5Y6.44%
GM growth 3Y0.88%
GM growth 5Y1.51%
F-Score8
Asset Turnover1.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 5.2 | ||
| Debt/EBITDA | 2.61 | ||
| Cap/Depr | 27.46% | ||
| Cap/Sales | 0.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.89% | ||
| Profit Quality | 110.53% | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 2.78 |
F-Score8
WACC7.26%
ROIC/WACC1.67
Cap/Depr(3y)20.22%
Cap/Depr(5y)21.63%
Cap/Sales(3y)0.39%
Cap/Sales(5y)0.46%
Profit Quality(3y)124.29%
Profit Quality(5y)177.22%
High Growth Momentum
Growth
EPS 1Y (TTM)39.9%
EPS 3Y8.02%
EPS 5Y10.01%
EPS Q2Q%77.07%
EPS Next Y6.36%
EPS Next 2Y1.66%
EPS Next 3Y6.22%
EPS Next 5YN/A
Revenue 1Y (TTM)2.23%
Revenue growth 3Y0.38%
Revenue growth 5Y3.23%
Sales Q2Q%-2.7%
Revenue Next Year-1.64%
Revenue Next 2Y-0.13%
Revenue Next 3Y1.16%
Revenue Next 5YN/A
EBIT growth 1Y11.22%
EBIT growth 3Y3.17%
EBIT growth 5Y6.44%
EBIT Next Year20.23%
EBIT Next 3Y8.94%
EBIT Next 5YN/A
FCF growth 1Y-8.12%
FCF growth 3Y-1.69%
FCF growth 5Y0.94%
OCF growth 1Y-4.95%
OCF growth 3Y-1.57%
OCF growth 5Y1.52%
SCIENCE APPLICATIONS INTE / SAIC FAQ
What is the fundamental rating for SAIC stock?
ChartMill assigns a fundamental rating of 5 / 10 to SAIC.
What is the valuation status for SAIC stock?
ChartMill assigns a valuation rating of 8 / 10 to SCIENCE APPLICATIONS INTE (SAIC). This can be considered as Undervalued.
Can you provide the profitability details for SCIENCE APPLICATIONS INTE?
SCIENCE APPLICATIONS INTE (SAIC) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for SAIC stock?
The Price/Earnings (PE) ratio for SCIENCE APPLICATIONS INTE (SAIC) is 8.12 and the Price/Book (PB) ratio is 2.64.
Is the dividend of SCIENCE APPLICATIONS INTE sustainable?
The dividend rating of SCIENCE APPLICATIONS INTE (SAIC) is 6 / 10 and the dividend payout ratio is 18.05%.