Back to top

Image: Bigstock

Leidos (LDOS) Stock Moves -0.55%: What You Should Know

Read MoreHide Full Article

Leidos (LDOS - Free Report) closed at $132.86 in the latest trading session, marking a -0.55% move from the prior day. This change was narrower than the S&P 500's 0.91% loss on the day. On the other hand, the Dow registered a loss of 1.5%, and the technology-centric Nasdaq decreased by 1.96%.

The security and engineering company's stock has dropped by 2.37% in the past month, exceeding the Aerospace sector's loss of 2.62% and the S&P 500's loss of 7.38%.

Investors will be eagerly watching for the performance of Leidos in its upcoming earnings disclosure. The company is expected to report EPS of $2.47, up 7.86% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $4.08 billion, showing a 2.71% escalation compared to the year-ago quarter.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $10.49 per share and a revenue of $17.09 billion, signifying shifts of +2.74% and +2.58%, respectively, from the last year.

Investors might also notice recent changes to analyst estimates for Leidos. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 2.59% rise in the Zacks Consensus EPS estimate. At present, Leidos boasts a Zacks Rank of #2 (Buy).

In terms of valuation, Leidos is presently being traded at a Forward P/E ratio of 12.74. For comparison, its industry has an average Forward P/E of 19.55, which means Leidos is trading at a discount to the group.

One should further note that LDOS currently holds a PEG ratio of 1.72. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Aerospace - Defense industry held an average PEG ratio of 1.79.

The Aerospace - Defense industry is part of the Aerospace sector. With its current Zacks Industry Rank of 86, this industry ranks in the top 35% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Leidos Holdings, Inc. (LDOS) - free report >>

Published in