Booz Allen Hamilton: Textbook Quality At A Discount
Booz Allen Hamilton STILL Looks Cheap
Stephen Percoco, CFA
Stephen Percoco, CFA
You Cannot Quantify The Risks Facing Booz Allen
Oct. 2, 2015, 6:55 PM
- Lockheed Martin (LMT +0.9%) is looking at merging some of its IT and services businesses ($4B worth) with those of another contractor -- CACI International (CACI +1.4%) and SAIC (SAIC +1%) are in talks -- to create the country's largest government services contractor, Reuters reports.
- The deal could bring a $2B windfall for Lockheed, which has an eye to paying down some debt after a $9B cash deal to acquire Sikorsky Aircraft.
- Companies that also include Booz Allen Hamilton (BAH +0.3%) and Leidos Holdings (LDOS +1.7%) are reportedly talking with Lockheed about a Reverse Morris Trust deal for its assets -- a manner of using a subsidiary for a transitional merger in order to unload assets without paying taxes on their gains, effectively a tax-free transfer to an external company.
- The programs that could be spun off are chiefly in information systems and government services but include some in missiles and fire control. It's all part of a strategic review Lockheed kicked off in July along with the Sikorsky deal.
Sep. 11, 2015, 10:01 AM
- “Troop drawdowns and stagnant budgets are leading defense firms to pursue the same growing portions of the budget thereby increasing competitive pressures throughout the industry," says Morgan Stanley's Denny Galindo, downgrading Booz Allen Hamilton (BAH -3.4%) to Underweight with $23 price target.
- Upcoming spinoffs will add to competition, making margin expansion difficult, he adds, noting the company has delivered annual margin expansion of 55 basis points since 2010.
Jul. 29, 2015, 7:09 AM
- Booz Allen (NYSE:BAH): FQ1 EPS of $0.44 beats by $0.01.
- Revenue of $1.35B (+2.3% Y/Y) beats by $10M.
Jul. 28, 2015, 5:30 PM
- ACCO, ADT, AMED, AMT, ANTM, APO, AVY, BAH, BDC, BEN, BGCP, BOKF, CARB, CBG, CDK, CFR, CHH, CLF, CRI, DATA, DIN, DORM, DXYN, ESIO, ETN, EVER, EXC, FDML, FLY, GCI, GD, GEL, GIB, GRA, GRMN, GT, GTI, HCBK, HES, HLT, HSIC, HSP, HTA, HUM, HUN, IP, IRT, JAH, JLL, LFUS, LVLT, MA, MDCO, MO, MTH, MTOR, MVIS, NOC, PAG, PCG, PX, Q, RES, ROK, ROL, SAIA, SLAB, SNCR, SO, SONS, SPIL, SPR, SPW, SSE, STNG, STRA, STRZA, TGI, TRI, UBSI, UMC, VNTV, WEC, WEX, WILN, WOOF
Jun. 4, 2015, 6:41 PM
- Reuters reports government IT contractors CACI, Booz Allen (NYSE:BAH), and Leidos (NYSE:LDOS) have "held exploratory discussions" about buying Computer Sciences' (NYSE:CSC) U.S. public sector IT services unit, which is set to be split off from its commercial IT services unit.
- The news service cautions discussions are in their early stages. Bloomberg reported earlier this afternoon HP was close to a deal to buy CSC last month before walking away.
- CSC's public sector unit had FY15 (ended April 3) revenue of $4.06B (-1% Y/Y), and op. income of $591M.
- CSC +0.4% AH to $68.00.
May 27, 2015, 11:29 AM
- Taking note of FQ4's disappointing results and cutting estimates downward to reflect the ending of the SURVIAC contract, BAML nevertheless reiterates its Buy rating on Booz Allen Hamilton (BAH +2%). The price target is lowered to $30 from $35.
- "Considering BAH's variable cost structure and its niche position to benefit from increased spending in cyber security by both the U.S. government and the commercial sector, we expect BAH to trade at a premium to defense peers," says the team.
- Previously: Booz Allen -10.3% after earnings miss (May 21)
May 22, 2015, 7:32 AM
May 21, 2015, 12:55 PM
- FQ4 revenue fell 4.1% from a year ago came as a result of lower margin billable expenses and a reduction in billable hours. FQ4 adjusted operating income of $93.6M vs. $91.4M a year ago thanks to improved contract profitability.
- Adjusted net income of $44.8M fell from $49.2M thanks to a higher tax rate. Adjusted EPS of $0.30 slipped from $0.33.
- FQ16 adjusted EPS of $1.60-$1.70 is roughly inline with Street estimates.
- Previously: Booz Allen misses by $0.03, misses on revenue (May 21)
- BAH -10.3%
May 21, 2015, 7:07 AM
- Booz Allen (NYSE:BAH): FQ4 EPS of $0.30 misses by $0.03.
- Revenue of $1.34B (-4.3% Y/Y) misses by $60M.
May 20, 2015, 5:30 PM
Jan. 28, 2015, 9:46 AM
- After about a 70% run higher over the last year for Booz Allen (BAH +4.4%) and a big gain today following earnings, boosted guidance, dividend, and buyback, Wells Fargo calls it quits on its Underperform rating, and upgrades to Market Perform.
- Previously: Booz Allen beats, boosts guidance, dividend, and buyback (Jan. 28)
Jan. 28, 2015, 8:26 AM
- FQ3 adjusted net income of $54.2M or $0.36 per share vs. $49.5M and $0.33 one year ago. Quarterly dividend is boosted by 18% to $0.13 per share, and the buyback is lifted to $180M from $30M.
- Full-year 2015 guidance: Top line is boosted and the adjusted bottom line is narrowed to $1.58-$1.62 per share, 2% higher at the midpoint.
- Conference call at 8 ET
- Previously: Booz Allen beats by $0.02, beats on revenue (Jan. 28)
- BAH flat premarket
Jan. 28, 2015, 7:08 AM
- Booz Allen (NYSE:BAH): FQ3 EPS of $0.36 beats by $0.02.
- Revenue of $1.30B (+2.4% Y/Y) beats by $30M.
Jan. 27, 2015, 5:30 PM| Jan. 27, 2015, 5:30 PM | 1 Comment
Jan. 9, 2015, 9:53 AM
Oct. 29, 2014, 7:12 AM
- Booz Allen (NYSE:BAH): FQ2 EPS of $0.44 beats by $0.03.
- Revenue of $1.3B (-5.8% Y/Y) misses by $10M.
Booz Allen Hamilton Holding Corp. is engages in the provision of management and technology consulting services. It also develops the scope and scale of its capabilities in engineering services. Its services include cyber solutions, enterprise effectiveness and efficiency, re-imagining... More
Industry: Management Services
Country: United States
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