Booz Allen Hamilton (BAH – Free Report) closed the most recent trading day at $108.07, moving +1.29% from the previous trading session. The stock’s performance was behind the S&P 500’s daily gain of 9.52%. Meanwhile, the Dow experienced a rise of 7.87%, and the technology-dominated Nasdaq saw an increase of 12.16%.
Prior to today’s trading, shares of the defense contractor had lost 3.04% over the past month. This has was narrower than the Business Services sector’s loss of 12.29% and the S&P 500’s loss of 13.47% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Booz Allen Hamilton in its upcoming earnings disclosure. In that report, analysts expect Booz Allen Hamilton to post earnings of $1.59 per share. This would mark year-over-year growth of 19.55%. Alongside, our most recent consensus estimate is anticipating revenue of $3.02 billion, indicating an 8.94% upward movement from the same quarter last year.
Investors might also notice recent changes to analyst estimates for Booz Allen Hamilton. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts’ positivity towards the company’s business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.34% decrease. Booz Allen Hamilton currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Booz Allen Hamilton is presently trading at a Forward P/E ratio of 15.41. Its industry sports an average Forward P/E of 19.49, so one might conclude that Booz Allen Hamilton is trading at a discount comparatively.
Also, we should mention that BAH has a PEG ratio of 1.1. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. The average PEG ratio for the Consulting Services industry stood at 1.29 at the close of the market yesterday.
The Consulting Services industry is part of the Business Services sector. At present, this industry carries a Zacks Industry Rank of 32, placing it within the top 13% of over 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.
Don’t forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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