Booz Allen Hamilton (NYSE:BAH – Get Free Report) issued its quarterly earnings results on Friday. The business services provider reported $1.81 EPS for the quarter, topping analysts’ consensus estimates of $1.49 by $0.32, FiscalAI reports. The company had revenue of $1.97 billion during the quarter, compared to analysts’ expectations of $2.81 billion. Booz Allen Hamilton had a return on equity of 76.07% and a net margin of 7.59%.The firm’s revenue was down 4.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.48 EPS. Booz Allen Hamilton updated its FY 2027 guidance to 6.000-6.35 EPS.
Here are the key takeaways from Booz Allen Hamilton’s conference call:
- Booz Allen reaffirmed full-year guidance, but said results are expected to be back-half weighted and near-term pressured by civil revenue declines and a cautious government funding environment.
- National security remains the growth engine, with first-quarter revenue up 1% and funded backlog up 23%, while management expects mid-single-digit growth for the fiscal year.
- Civil business remains under pressure, as revenue fell 16% year over year and the company expects another double-digit sequential decline in Q2 before conditions improve later in the year.
- Profitability and cash flow were strong, with adjusted EBITDA margin rising to 11.9%, adjusted EPS up 22%, and free cash flow of $261 million for the quarter.
- Cyber and defense tech are key strategic priorities, supported by rising demand for agentic AI-driven cyber tools, a strong OTA pipeline, and the planned acquisition of Ultra I&C Mission Solutions to expand defense tech capabilities.
Booz Allen Hamilton Stock Up 10.4%
Shares of BAH opened at $72.74 on Friday. The company has a market capitalization of $8.71 billion, a price-to-earnings ratio of 11.44, a PEG ratio of 3.76 and a beta of 0.36. Booz Allen Hamilton has a 52 week low of $59.50 and a 52 week high of $120.04. The stock’s 50-day moving average price is $70.37 and its 200-day moving average price is $78.28. The company has a quick ratio of 1.78, a current ratio of 1.78 and a debt-to-equity ratio of 3.55.
Booz Allen Hamilton Dividend Announcement
Institutional Inflows and Outflows
Large investors have recently bought and sold shares of the stock. Primecap Management Co. CA boosted its position in Booz Allen Hamilton by 135.2% in the 4th quarter. Primecap Management Co. CA now owns 4,666,298 shares of the business services provider’s stock worth $393,649,000 after purchasing an additional 2,682,460 shares in the last quarter. State Street Corp increased its holdings in shares of Booz Allen Hamilton by 53.2% during the 4th quarter. State Street Corp now owns 4,402,897 shares of the business services provider’s stock valued at $371,428,000 after purchasing an additional 1,528,739 shares in the last quarter. First Trust Advisors LP lifted its stake in shares of Booz Allen Hamilton by 36.0% in the 4th quarter. First Trust Advisors LP now owns 4,856,528 shares of the business services provider’s stock valued at $409,697,000 after purchasing an additional 1,285,475 shares during the period. AQR Capital Management LLC lifted its stake in shares of Booz Allen Hamilton by 48.6% in the 3rd quarter. AQR Capital Management LLC now owns 3,812,243 shares of the business services provider’s stock valued at $377,488,000 after purchasing an additional 1,246,451 shares during the period. Finally, Freestone Grove Partners LP purchased a new stake in Booz Allen Hamilton during the fourth quarter worth $67,033,000. 91.82% of the stock is owned by institutional investors and hedge funds.
Key Headlines Impacting Booz Allen Hamilton
Here are the key news stories impacting Booz Allen Hamilton this week:
- Positive Sentiment: Booz Allen beat quarterly profit expectations by a wide margin, which signaled better-than-expected profitability and helped lift sentiment. Booz Allen Hamilton (BAH) Q1 Earnings Top Estimates
- Positive Sentiment: The company maintained FY2027 guidance, with EPS outlook of $6.00 to $6.35 and revenue guidance of $11.2 billion to $11.7 billion, easing fears that the slowdown would worsen. Booz Allen Hamilton Announces First Quarter Fiscal Year 2027 Results
- Neutral Sentiment: Revenue came in below expectations at $1.97 billion versus the much higher analyst forecast cited in the reports, and sales were down year over year, which remains a concern for growth investors. Booz Allen Hamilton earnings report
- Neutral Sentiment: Management said it is seeing accelerating demand in parts of the business, but the top-line weakness means investors are still weighing stronger margins against slower sales. Booz Allen Profit, Revenue Falls Despite Accelerating Demand
Analyst Ratings Changes
A number of equities research analysts recently commented on the company. JPMorgan Chase & Co. decreased their target price on Booz Allen Hamilton from $97.00 to $85.00 and set an “underweight” rating for the company in a report on Tuesday, May 26th. UBS Group reiterated a “neutral” rating and issued a $83.00 price target on shares of Booz Allen Hamilton in a report on Tuesday, May 26th. Weiss Ratings lowered shares of Booz Allen Hamilton from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, July 8th. Stifel Nicolaus set a $110.00 price objective on shares of Booz Allen Hamilton and gave the company a “buy” rating in a research note on Tuesday, May 26th. Finally, Wells Fargo & Company initiated coverage on shares of Booz Allen Hamilton in a research note on Wednesday, April 1st. They set an “equal weight” rating and a $85.00 price objective for the company. Three research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Reduce” and a consensus target price of $84.46.
Check Out Our Latest Report on BAH
About Booz Allen Hamilton
Booz Allen Hamilton Holding Corporation is a publicly traded management and technology consulting firm headquartered in McLean, Virginia. The company provides a wide range of professional services and solutions in strategy, analytics, digital transformation, engineering and cyber security. Its expertise spans from supporting federal civilian agencies to defense, intelligence and homeland security organizations, as well as select commercial industries.
Key offerings include data analytics and artificial intelligence applications, software development and modernization, systems integration, and cyber risk management.
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