Leidos (NYSE:LDOS) Announces Quarterly Earnings Results

Posted by Francis Steltz on Aug 4th, 2026

Leidos (NYSE:LDOS – Get Free Report) issued its quarterly earnings results on Monday. The aerospace company reported $3.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.91 by $0.35, Zacks reports. Leidos had a return on equity of 31.92% and a net margin of 8.15%.The firm had revenue of $4.56 billion during the quarter, compared to analyst estimates of $4.44 billion. During the same period last year, the company posted $3.21 EPS. The firm’s quarterly revenue was up 7.2% on a year-over-year basis.

Leidos Stock Up 9.0%

NYSE:LDOS traded up $10.64 on Tuesday, hitting $129.36. 1,195,073 shares of the company’s stock traded hands, compared to its average volume of 1,304,223. The company has a market cap of $16.27 billion, a PE ratio of 11.83, a price-to-earnings-growth ratio of 1.69 and a beta of 0.54. Leidos has a 1 year low of $98.86 and a 1 year high of $205.77. The company has a current ratio of 1.40, a quick ratio of 1.29 and a debt-to-equity ratio of 1.19. The firm has a 50-day moving average price of $113.23 and a 200-day moving average price of $145.90.

Leidos Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th will be given a dividend of $0.43 per share. The ex-dividend date is Tuesday, September 15th. This represents a $1.72 dividend on an annualized basis and a yield of 1.3%. Leidos’s dividend payout ratio (DPR) is presently 15.75%.

Leidos declared that its board has authorized a stock buyback plan on Friday, July 31st that allows the company to buyback 20,000,000 outstanding shares. This buyback authorization allows the aerospace company to reacquire shares of its stock through open market purchases. Shares buyback plans are generally an indication that the company’s board of directors believes its stock is undervalued.

Key Stories Impacting Leidos

Here are the key news stories impacting Leidos this week:

Positive Sentiment: Q2 earnings beat expectations: Non-GAAP EPS was $3.26, above the $2.91 consensus estimate and up from $3.21 a year earlier. Revenue rose 7% year over year to approximately $4.6 billion, also exceeding expectations. Leidos Q2 Earnings and Revenues Top Estimates
Positive Sentiment: Full-year revenue guidance improved: Leidos raised its fiscal 2026 revenue outlook to $18.2 billion-$18.4 billion from $18.0 billion-$18.4 billion. The EPS outlook remains $12.20-$12.50, with the midpoint slightly above the approximately $12.31 analyst consensus. Leidos Delivers Strong Second Quarter and Enhances Full-Year Guidance
Positive Sentiment: Strong cash generation and backlog support visibility: Operating cash flow was $793 million, free cash flow was $761 million, and quarterly net bookings totaled $4.9 billion. Backlog reached $48.7 billion, including $10.2 billion funded, while the 1.1 book-to-bill ratio indicates bookings exceeded revenue. Leidos Q2 Revenue Rises 7 Percent
Positive Sentiment: Additional defense-related contract momentum: Leidos was selected to supply infrared sensors and mission support for Sierra Space’s missile-defense satellites and received a U.S. Navy intelligence modernization contract worth up to $64.8 million. Leidos Selected for Missile Defense Satellites
Neutral Sentiment: Dividend maintained: Leidos declared a quarterly dividend of $0.43 per share, payable September 30 to shareholders of record September 15.
Negative Sentiment: GAAP profitability declined: Reported net income fell to $356 million from $393 million a year earlier, while net margin decreased to 7.8% from 9.2%. This contrasts with the adjusted EPS growth and may keep investors focused on cost pressures and earnings quality.

Insider Activity

In related news, Director Gary Stephen May sold 1,484 shares of the firm’s stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $132.75, for a total transaction of $197,001.00. Following the completion of the sale, the director directly owned 10,137 shares in the company, valued at approximately $1,345,686.75. This trade represents a 12.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 0.77% of the stock is owned by company insiders.

Institutional Investors Weigh In On Leidos

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Wexford Capital LP purchased a new position in shares of Leidos during the 3rd quarter valued at $32,000. DV Equities LLC purchased a new stake in shares of Leidos during the fourth quarter worth $33,000. Wilkerson Advisory Group LLC acquired a new stake in Leidos during the fourth quarter valued at $45,000. Kelleher Financial Advisors acquired a new stake in Leidos during the third quarter valued at $46,000. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA grew its stake in Leidos by 58.8% in the third quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 270 shares of the aerospace company’s stock valued at $51,000 after purchasing an additional 100 shares in the last quarter. Hedge funds and other institutional investors own 76.12% of the company’s stock.

Wall Street Analyst Weigh In

LDOS has been the subject of several research reports. Jefferies Financial Group decreased their target price on Leidos from $140.00 to $110.00 and set a “hold” rating for the company in a research note on Wednesday, July 1st. Stifel Nicolaus dropped their price target on shares of Leidos from $205.00 to $193.00 and set a “hold” rating on the stock in a research report on Wednesday, May 6th. BNP Paribas Exane started coverage on shares of Leidos in a report on Wednesday, May 27th. They issued an “outperform” rating and a $165.00 price target for the company. Truist Financial reduced their price objective on shares of Leidos from $195.00 to $160.00 and set a “buy” rating for the company in a research report on Friday, July 10th. Finally, Bank of America reaffirmed a “neutral” rating and issued a $125.00 price objective (down from $200.00) on shares of Leidos in a research note on Wednesday, June 17th. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and ten have given a Hold rating to the stock. According to data from MarketBeat, Leidos presently has a consensus rating of “Hold” and an average price target of $163.80.

Get Our Latest Analysis on Leidos

Leidos Company Profile

(Get Free Report)

Leidos is an American technology and engineering company that provides services and solutions to government and commercial customers, with a strong focus on national security, defense, intelligence, and civil government markets. The company delivers systems integration, engineering, cybersecurity, software development, data analytics, cloud migration and managed IT services, as well as mission support for complex programs. Leidos’ work spans areas such as C4ISR (command, control, communications, computers, intelligence, surveillance and reconnaissance), secure communications, sensors and systems engineering, and health IT solutions for public-sector healthcare programs.

Leidos traces its corporate roots to Science Applications International Corporation (SAIC) and emerged as an independent, publicly traded company following a corporate separation in 2013.