The latest trading session saw Booz Allen Hamilton (BAH) ending at $120.02, denoting a +0.6% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily gain of 0.15%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq lost 0.09%.
Prior to today's trading, shares of the defense contractor had gained 11.12% over the past month. This has outpaced the Business Services sector's loss of 1.42% and the S&P 500's loss of 0.21% in that time.
Market participants will be closely following the financial results of Booz Allen Hamilton in its upcoming release. The company plans to announce its earnings on May 23, 2025. The company is forecasted to report an EPS of $1.59, showcasing a 19.55% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $3.02 billion, reflecting an 8.94% rise from the equivalent quarter last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Booz Allen Hamilton. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.9% fall in the Zacks Consensus EPS estimate. Booz Allen Hamilton is currently sporting a Zacks Rank of #4 (Sell).
Looking at its valuation, Booz Allen Hamilton is holding a Forward P/E ratio of 17.33. This represents a discount compared to its industry's average Forward P/E of 20.63.
Meanwhile, BAH's PEG ratio is currently 1.24. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Consulting Services industry had an average PEG ratio of 1.31.
The Consulting Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 29, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Booz Allen Hamilton Holding Corporation (BAH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
