Leidos (LDOS)

Industrials · $16.6B market cap · SEC CIK 0001336920

Next reports on Feb 15, 2027, before the open, with analysts expecting $2.80 in earnings per share.

52-week range $98.86 to $205.00. 33% below its 52-week high and 39% above its low.

The case for LDOS

• Cheap for its growth: 11.7× earnings, where 9% a year of growth plus a 1.4% dividend would justify about 24×.
• Earns 28% back on shareholder equity.
• Free cash flow of 9.8% of its market value a year: a lot of cash for the price.
• Earnings per share up 91.9%.
• Moves less than the market (beta 0.57).
• Pays a modest 1.4% dividend.

The case against

• Down 31.1% over the past year.
• Revenue grew only 2.7%, roughly the pace of inflation.

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Industrials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Each factor except momentum is half fixed thresholds, half rank among the 79 Industrials companies.

The financials

The financials, five years deep

Pulled from Leidos's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

What Leidos says it does

OUR COMPANY Leidos Holdings, Inc. (“Leidos”), a Delaware corporation, is a holding company whose direct 100%-owned subsidiary and principal operating company is Leidos, Inc. Leidos was founded in 1969 by physicist Dr. Robert Beyster. Since our founding 57 years ago, we have applied our expertise in science, research and engineering in rapidly-evolving technologies and markets to solve complex problems of global concern. We use the terms “we,” “us” and “our” to refer collectively to Leidos Holdings, Inc. and its consolidated subsidiaries. Leidos is an industry and technology leader serving government and commercial customers with smarter, more efficient digital and mission innovations. Headquartered in Reston, Virginia, with 47,000, global employees, we pursue strategic growth across five pillars: space and maritime; energy infrastructure; digital modernization and cyber; mission software; and managed health services. Our customers…

Risk factors LDOS lists in its 10-K

• Leidos Holdings, Inc. Annual Report
• We depend on government agencies as our primary customers and if our reputation or relationships with these agencies were harmed, our future revenues and growth prospects could be adversely affected
• A decline in the U.S. government budget, changes in spending or budgetary priorities or delays in contract awards may significantly and adversely affect our future revenues and limit our growth prospects
• Due to the competitive process to obtain contracts and the likelihood of bid protests, we may be unable to achieve or sustain revenue growth and profitability
• We face intense competition that can impact our ability to obtain contracts and, therefore, affect our future revenues and growth prospects
• Deterioration of economic conditions or weakening in credit or capital markets may have a material adverse effect on our business, results of operations and financial condition
• We cannot predict the consequences of current or future geopolitical events, but they may adversely affect the markets in which we operate and our results of operations
• The U.S. government may adopt new contract rules and regulations or revise its procurement practices in a manner adverse to us at any time
• Application of the U.S. government's organizational conflict of interest (OCI) rules could limit our ability to successfully compete for new contracts or task orders, which would adversely affect our results of operations
• Our business is subject to governmental review and investigation, which could adversely affect our financial position, operating results and growth prospects
• Our business and operations expose us to numerous legal and regulatory requirements, and any violation of these requirements could harm our business
• Increasing attention and changing expectations from governmental authorities, customers, and our employees with respect to our ESG-related practices may impose additional costs on us or expose us to new or additional risks
• A failure to attract, retain, and develop talent with critical skills, including our leadership team, would adversely affect our ability to execute our strategy and may disrupt our operations
• We may not realize the full amounts reflected in our backlog as revenues, which could adversely affect our expected future revenues and growth prospects
• Our earnings and profitability may vary based on the mix of our contracts and may be adversely affected by our failure to estimate and manage costs, time, and resources accurately
• We use estimates in recognizing revenues, and if we make changes to estimates used in recognizing revenues, our profitability may be adversely affected
• Our business is subject to disruption caused by physical or transition risks that could adversely affect our operations, profitability and overall financial position
• Customer systems failures could damage our reputation and adversely affect our revenues and profitability
• Our success depends, in part, on our ability to work with complex and rapidly changing technologies to meet the needs of our customers
• We utilize artificial intelligence, which could expose us to liability or adversely affect our business, especially if we are unable to compete effectively with others in adopting artificial intelligence
• We have classified contracts with the U.S. government, which may limit investor insight into portions of our business
• We have made and continue to make acquisitions, investments, joint ventures and divestitures that involve numerous risks and uncertainties
• Joint ventures, other strategic alliances, and strategic business transactions may not achieve intended results. We may experience operational challenges in integrating or segregating assets for such a venture or transaction
• Goodwill represents a significant asset on our balance sheet and any impairment of this asset could negatively impact our results of operations, and shareholders
• We could incur significant liabilities and suffer negative publicity if our inspection or detection systems fail to detect bombs, explosives, weapons, contraband or other threats
• Our insurance, customer indemnifications or other liability protections may be insufficient to protect us from product and other liability claims or losses
• We face risks associated with our international business
• Changes in tax laws and regulations or exposure to additional tax liabilities could adversely affect our financial results
• The U.S. government may prefer minority-owned, small and small disadvantaged businesses; therefore, we may have fewer opportunities to bid on certain contracts
• We might be adversely impacted by fluctuations in foreign currency exchange rates
• The effects of an epidemic, pandemic, or similar outbreak have negatively impacted and could negatively impact, our business and financial results
• We cannot assure you that we will continue to pay or increase dividends on our common stock or to repurchase shares of our common stock
• Provisions in our charter documents and under Delaware law could delay or prevent transactions that many stockholders may favor

Filings

Other Industrials companies