Booz Allen Hamilton Set for Strong Earnings Performance Ahead

Booz Allen Hamilton is poised for a promising earnings release, expecting a 14.73% increase in EPS and a 10.85% rise in revenue year-over-year. Analysts show optimism with upward estimate revisions, positioning BAH favorably amid recent market volatility.

Date: 08-10-2024

AI Rating: 7

Booz Allen Hamilton (BAH) is showing positive momentum leading up to its upcoming earnings report on October 25, 2024. The expected earnings per share (EPS) of $1.48 represents a significant increase of 14.73% compared to the same quarter last year. This anticipated growth is a strong signal to investors, highlighting the company's ability to not just meet, but exceed expectations.

Moreover, the revenue estimate stands at $2.96 billion, showing a remarkable escalation of 10.85% from the year-ago quarter. This growth is notably higher than the average performance of the S&P 500 and its sector, which indicates a robust demand for BAH's services in a competitive market.

For the fiscal year, the consensus estimates project earnings of $5.97 per share and total revenue of $11.81 billion, representing growths of +8.55% and +10.77%, respectively. These figures reflect positively on Booz Allen Hamilton's operational efficiencies and profitability, further solidified by the fact that the Zacks Consensus EPS estimate has recently moved 0.18% higher.

The company's Zacks Rank of #2 (Buy) suggests that analysts view BAH's stock favorably, noting revisions in estimates that typically correlate with stock price performance. Booz Allen Hamilton is also trading at a Forward P/E ratio of 26.95, higher than its industry average of 23.56, indicating that investors are willing to pay a premium for its earnings growth potential.

The PEG ratio of 2.32 aligns with the industry, showcasing a balanced assessment of growth versus price. The Government Services industry holds a high Zacks Industry Rank of 11, underscoring the resilience and appeal of companies within this sector.

Stocks: BAH