Booz Allen Hamilton (BAH) ended the recent trading session at $111.74, demonstrating a -0.97% swing from the preceding day's closing price. This change was narrower than the S&P 500's 4.84% loss on the day. On the other hand, the Dow registered a loss of 3.98%, and the technology-centric Nasdaq decreased by 5.97%.
The defense contractor's stock has climbed by 2.63% in the past month, exceeding the Business Services sector's loss of 2.87% and the S&P 500's loss of 4.7%.
Analysts and investors alike will be keeping a close eye on the performance of Booz Allen Hamilton in its upcoming earnings disclosure. The company is expected to report EPS of $1.59, up 19.55% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $3.02 billion, up 8.94% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Booz Allen Hamilton. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Booz Allen Hamilton is currently a Zacks Rank #3 (Hold).
With respect to valuation, Booz Allen Hamilton is currently being traded at a Forward P/E ratio of 16.24. This valuation marks a discount compared to its industry's average Forward P/E of 20.75.
It is also worth noting that BAH currently has a PEG ratio of 1.16. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Consulting Services industry stood at 1.42 at the close of the market yesterday.
The Consulting Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 142, positioning it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Booz Allen Hamilton Holding Corporation (BAH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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