Analysts Slash Booz Allen Hamilton Holding Corporation (BAH)'s Price Targets Following Weak Q2 Results

Booz Allen Hamilton Holding Corporation (NYSE:BAH) is among the top 8 defense stocks based on ChatGPT’s advice. On October 24, the company posted weak financial results for the second quarter of fiscal 2026, which resulted in several firms slashing their price targets for the stock.

Top and bottom-line performance both came in below forecast, due to what the company described as a ‘continued funding slowdown’. Revenue declined 8.1% year-over-year to $2.9 billion, while net income was down 55.1% from the prior year’s period to total $175 million. Booz Allen also announced that it was trimming its full-year outlook.

Following the earnings call, Stifel lowered its price target to $106 from $119 and maintained a Hold rating on its shares. According to TheFly, the analyst noted that this was the second instance in three months that the management’s outlook for the year was worse than anticipated.

The firm added that, although the environment was not worsening, it was still far from normalizing for the company. Considering the volatility and uncertainty around the market environment for government services, Stifel told investors that it favors stocks that are not encountering the same level of market declines.

Goldman Sachs’ Noah Poponak, on October 27, cut Booz Allen Hamilton Holding Corporation (NYSE:BAH)’s price target to $80 from $93, while keeping a Sell rating for its shares. In a research note to investors, the analyst noted the weak financial performance and discussed how government funding re-prioritization was adversely affecting the company.

Poponak further added that Goldman continues to anticipate risk to margins as customers consider shifting greater risk to companies through contract terms. On the same day, UBS also reduced its price target for the stock to $93 from $115, while maintaining a Neutral rating for the company’s shares.

Booz Allen Hamilton Holding Corp. (NYSE:BAH) provides solutions in artificial intelligence, cybersecurity, analytics, digital engineering, and mission-critical IT services to the U.S. government.

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