Track market-moving stories before they get noisy

Ending the week on a bullish note, shares of defense contractor Booz Allen Hamilton (BAH +10.11%) ripped higher today after the defense contractor reported strong first-quarter 2027 financial results and fiscal 2027 guidance before the opening bell rang.

Shares of Booz Allen climbed 10.1% today, paring back an earlier gain of 15.7%.

Image source: Getty Images.

Beating analysts' expectations on the bottom line isn't the only thing investors are celebrating Coming up just short of analysts' top-line estimates of $2.81 billion, Booz Allen reported Q1 sales of $2.8 billion. At the bottom of the income statement, however, Booz Allen crushed expectations, reporting adjusted earnings per share (EPS) of $1.81 -- notably higher than the $1.49 that analysts had anticipated.

Today's Change

(

10.11

%) $

6.66

Current Price

$

72.53

On the cash flow statement, investors found another sign of the company's strong recent performance. During the first quarter of 2027, Booz Allen generated free cash flow of $261 million, a year-over-year increase of 172%.

In addition to the Q1 2027 financial results, Booz Allen provided 2027 revenue guidance of $11.2 billion to $11.7 billion, as well as adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) guidance of $1.24 billion to $1.29 billion. Should the company achieve the midpoints of both of these metrics, it will represent year-over-year revenue and adjusted EBITDA growth of 2.2% and 2.8%, respectively.

Booz Allen stock is sitting in the bargain bin Trading at 7 times operating cash flow, Booz Allen shares are trading at a steep discount to their five-year average cash flow multiple of 16. Between the stock's attractive price tag, the company's strong Q1 2027 financial performance, and management's encouraging outlook for the remainder of the fiscal year, investors seeking a leading defense stock would be well-served to consider Booz Allen stock right now.

Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Booz Allen Hamilton. The Motley Fool has a disclosure policy.

Booz Allen Hamilton (BAH - Free Report) came out with quarterly earnings of $1.81 per share, beating the Zacks Consensus Estimate of $1.49 per share. This compares to earnings of $1.48 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +21.48%. A quarter ago, it was expected that this defense contractor would post earnings of $1.32 per share when it actually produced earnings of $1.78, delivering a surprise of +34.85%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Booz Allen, which belongs to the Zacks Consulting Services industry, posted revenues of $2.8 billion for the quarter ended June 2026, in line with the Zacks Consensus Estimate. This compares to year-ago revenues of $2.92 billion. The company has not been able to beat consensus revenue estimates over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Booz Allen shares have lost about 21.9% since the beginning of the year versus the S&P 500's gain of 8.2%.

What's Next for Booz Allen?While Booz Allen has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Booz Allen was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.58 on $2.87 billion in revenues for the coming quarter and $6.31 on $11.41 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Consulting Services is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Information Services Group (III - Free Report) , has yet to report results for the quarter ended June 2026. The results are expected to be released on August 5.

This market advisory service company is expected to post quarterly earnings of $0.09 per share in its upcoming report, which represents a year-over-year change of +12.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Information Services Group's revenues are expected to be $62.75 million, up 1.9% from the year-ago quarter.

The Pentagon's AI Pivot Supercharges Defense StocksBooz Allen Hamilton NYSE: BAH reported first-quarter fiscal 2027 revenue of $2.8 billion, down 4.2% from a year earlier, as growth in its national security portfolio was offset by continued weakness in civil work. The government-services company said profitability and cash flow exceeded its expectations and reaffirmed its full-year guidance.

Adjusted EBITDA rose to $334 million, producing an adjusted EBITDA margin of 11.9%, up 130 basis points year over year. Adjusted diluted earnings per share increased 22% to $1.81. Chief Financial Officer Troy Lahr said earnings benefited from profit growth, a lower tax rate, fewer shares outstanding and a $19 million pretax unrealized gain on a venture investment.

Get Booz Allen Hamilton alerts:

Catching Falling Knives: Is It Time to Buy These Beaten-Down Stocks?Free cash flow was $261 million in the quarter, supported by strong collections and favorable timing, according to Lahr. Days sales outstanding increased by seven days year over year to 80 days, which the company attributed to revenue-recognition treatment related to its Defy business. Booz Allen expects DSO to remain above its historical level.

National Security Growth Offsets Civil Pressure National security revenue grew 1% year over year in the first quarter, while civil revenue declined 16%. Lahr said the company expects national security revenue to grow at a mid-single-digit rate for the full fiscal year, with stronger growth in the second half as new work ramps up.

Booz Allen Hamilton Earnings: 3 Bullish Signals for BAH StockCivil revenue continued to face pressure from the roll-off of larger contracts, prior contract reductions, Treasury-related impacts and fewer new program starts after a slower award environment last year. The company also said some recompete awards are transitioning to follow-on contracts with smaller scopes and shorter performance periods.

Booz Allen expects another sequential double-digit decline in civil revenue in the second quarter as additional contracts end, though management expects those pressures to ease gradually in the second half. President and COO Kristine Martin Anderson said the company still expects civil revenue to decline by a high-single-digit percentage for the year, an improvement from the prior year.

“Demand is strengthening, and we are winning work,” Anderson said of the civil portfolio, pointing to an expanding pipeline and efforts to bring the company’s cyber and defense technology solutions into civil agencies.

Funding trends improved during the quarter. Chairman and CEO Horacio Rozanski said funding was up 17% year over year, while Anderson said funding rose about 18% in both civil and national security. Funded backlog increased 15% to $4.7 billion, while total backlog rose 3% to more than $39 billion. The company’s book-to-bill ratio was 1.5 times in the quarter and 1.1 times on a trailing 12-month basis.

National security funded backlog increased 23%, and management said it is accelerating hiring to support anticipated growth. Anderson noted that the company is facing some supply constraints in recruiting personnel with security clearances.

Government Contracting Changes and Funding Uncertainty Management said the market remains uneven despite improving funding. Rozanski cited the midterm election year, potential continuing resolutions, the National Defense Authorization Act, possible reconciliation legislation and potential supplemental funding as factors that could affect the government funding environment later in the year.

The company is also preparing for a government push toward fixed-price and outcomes-based contracts. Anderson said recent guidance directs agencies to use firm fixed-price contracting as the default for new contracts unless an exception is approved. Booz Allen welcomed the shift, saying it could improve alignment between costs, accountability and mission results while offering more flexibility in delivery.

“Early indications are positive,” Rozanski said, while adding that the transition will take time because existing contracts do not convert immediately. Lahr said the company’s first-quarter profitability benefited in part from early shifts toward outcomes-based fixed-price contracting.

Anderson also said Booz Allen’s pipeline of other transaction authority opportunities increased 18% year over year. The company has been placing technology offerings on government marketplaces including Tradewind, Aeris and Platform One, which management said can provide faster procurement channels.

Cyber, Defense Technology and Ultra Acquisition Rozanski highlighted cyber and defense technology as the company’s primary growth vectors. He said agentic artificial intelligence is changing the cyber threat environment by enabling more autonomous attacks and that Booz Allen is expanding Vellox, its suite of agentic cyber products. He cited the company’s zero-trust capabilities and its Ranger product, which is designed to help organizations identify and remediate vulnerabilities at AI speed.

In defense technology, the company is focusing on command-and-control software, edge computing, resilient communications and autonomy. Booz Allen expects to close its acquisition of Ultra I&C Mission Solutions during the second quarter. The business brings products spanning command-and-control software, ruggedized edge computing and encryption management.

Lahr said Ultra is expected to deliver strong double-digit revenue growth for the next several years and EBITDA margins above 20%, though he did not provide a revenue run rate. Booz Allen plans to update guidance after the transaction closes.

The company deployed $447 million during the quarter, including $324 million for the Defy acquisition and venture investments, along with $123 million for dividends and share repurchases. It ended the quarter with $540 million in cash, $2 billion in total liquidity and net leverage of 2.7 times trailing-12-month adjusted EBITDA.

Booz Allen said it will continue pursuing a balanced capital-allocation strategy, including shareholder returns, venture investments and acquisitions that can accelerate its cyber and defense technology businesses.

About Booz Allen Hamilton (NYSE:BAH)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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Booz Allen Hamilton Right Now?Before you consider Booz Allen Hamilton, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Booz Allen Hamilton wasn't on the list.

While Booz Allen Hamilton currently has a Reduce rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

The space race is growing fast, and you don’t have to have gotten in early on SpaceX to profit. This report shows seven space stocks you can buy today that may grow as rockets, satellites, defense, space internet, and new space technology become more important.

Get This Free Report

MCLEAN, Va.--(BUSINESS WIRE)---- $BAH #earnings--Booz Allen Hamilton (NYSE: BAH) today announced preliminary results for the first quarter fiscal year 2027.

Posted by Defense World Staff on Jul 24th, 2026

Booz Allen Hamilton (NYSE:BAH) held its 2026 annual meeting of stockholders on July 22, with shareholders approving the company’s three management proposals and rejecting a shareholder proposal seeking to expand the right to act by written consent.

The virtual meeting was led by Jacob Bernstein, Booz Allen’s Deputy General Counsel and Secretary, and Horacio Rozanski, the company’s Chairman and Chief Executive Officer. Bernstein said a quorum was present and that notice of the meeting and proxy materials had been mailed beginning June 11 to stockholders of record as of June 1.

Shareholders Approve Management Proposals Rozanski said the board recommended that stockholders vote in favor of management proposals one, two and three, and against proposal four, which had been submitted by a stockholder. The transcript did not detail the substance of the first three proposals beyond noting that they were outlined in the company’s proxy statement.

After voting closed, Bernstein said the Inspector of Election had completed a preliminary tabulation. He reported that proposals one, two and three had been “duly approved” by stockholders, while proposal four had not been approved. Bernstein said the final vote tabulation would be filed with the Securities and Exchange Commission within four business days.

Written Consent Proposal Rejected Proposal four was presented by John Chevedden, a private investor and shareholder proponent. Chevedden asked shareholders to support a proposal requesting that Booz Allen’s board take steps to permit shareholders to act by written consent with the minimum number of votes required to authorize an action at a meeting where all shareholders entitled to vote were present and voting.

Chevedden argued that the right to act by written consent would allow shareholders to put forward proposals on a timely basis without waiting for the next annual meeting. He said written consent is designed for issues with broad shareholder support and requires formal backing from a majority of all shares outstanding.

“Many companies incorrectly give the impression that written consent gives too much influence to a minority,” Chevedden said, adding that, in his view, a minority’s role would be limited to initiating a proposal capable of attracting broad support.

CEO Cites Technology Shifts and Market Uncertainty Following the formal portion of the meeting, Rozanski offered remarks on Booz Allen’s market positioning and operating environment. He said “American technology leadership has never been more important” and described Booz Allen’s work as focused on national security, homeland defense and essential civilian services.

Rozanski pointed to several technology and market trends, including the development of “agentic” artificial intelligence, increasingly autonomous cyber threats and the convergence of powerful technologies. He also said the government is placing greater emphasis on speed, commercial technology, outcome-based acquisition and accountability.

“Booz Allen has been advocating, preparing, and investing for these types of changes for years,” Rozanski said. He added that the company believes those shifts will be positive for the country, its customers, Booz Allen and its stockholders over time, while acknowledging that large-scale changes can create near-term uncertainty and disruption.

Fiscal 2026 Described as Challenging Rozanski said fiscal 2026, which ended March 31, reflected that uncertainty. He described the year as challenging, with results shaped by “significant market changes and a highly dynamic macro environment.”

He said the company focused on execution, investment and strategic transformation during the period. “As a result, Booz Allen is stronger than we were a year ago,” Rozanski said. “We are more focused, more agile, and better positioned to lead in a market defined by speed, accountability, and technology-driven outcomes.”

Rozanski said Booz Allen believes its investments in artificial intelligence, cyber, defense technology and next-generation technologies will drive “substantial shareholder value in the medium term.”

No stockholder questions were submitted during the meeting’s question-and-answer period, Bernstein said. Ernst & Young representatives Jill Wheeler and Caitlin Bell were present and available to respond to questions concerning the company’s financial statements, according to Rozanski.

About Booz Allen Hamilton (NYSE:BAH) 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.

« PREVIOUS HEADLINEBest Chinese Stocks To Research – July 22nd

NEXT HEADLINE »Hochschild Mining Stays on Track After Solid Q2, but Costs Run Above Guidance

Posted by Defense World Staff on Jul 22nd, 2026

Bank of New York Mellon Corp reduced its holdings in shares of Booz Allen Hamilton Holding Corporation (NYSE:BAH – Free Report) by 9.6% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,110,596 shares of the business services provider’s stock after selling 117,297 shares during the period. Bank of New York Mellon Corp owned 0.92% of Booz Allen Hamilton worth $86,660,000 at the end of the most recent reporting period.

Several other hedge funds have also bought and sold shares of the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in Booz Allen Hamilton by 22.9% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 26,167 shares of the business services provider’s stock worth $2,737,000 after purchasing an additional 4,870 shares during the period. NewEdge Advisors LLC lifted its holdings in shares of Booz Allen Hamilton by 365.0% during the first quarter. NewEdge Advisors LLC now owns 11,750 shares of the business services provider’s stock valued at $1,229,000 after purchasing an additional 9,223 shares during the last quarter. Sivia Capital Partners LLC lifted its holdings in shares of Booz Allen Hamilton by 53.7% during the second quarter. Sivia Capital Partners LLC now owns 4,460 shares of the business services provider’s stock valued at $464,000 after purchasing an additional 1,559 shares during the last quarter. EverSource Wealth Advisors LLC boosted its position in shares of Booz Allen Hamilton by 132.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,429 shares of the business services provider’s stock worth $149,000 after purchasing an additional 815 shares in the last quarter. Finally, Cresset Asset Management LLC boosted its position in shares of Booz Allen Hamilton by 6.2% in the 2nd quarter. Cresset Asset Management LLC now owns 3,257 shares of the business services provider’s stock worth $339,000 after purchasing an additional 191 shares in the last quarter. Institutional investors own 91.82% of the company’s stock.

Booz Allen Hamilton Trading Down 0.9% Shares of BAH stock opened at $63.94 on Wednesday. The company has a current ratio of 1.78, a quick ratio of 1.78 and a debt-to-equity ratio of 3.55. Booz Allen Hamilton Holding Corporation has a 12-month low of $59.50 and a 12-month high of $120.04. The stock has a market capitalization of $7.66 billion, a P/E ratio of 9.28, a P/E/G ratio of 3.64 and a beta of 0.36. The firm’s 50 day moving average is $70.63 and its 200 day moving average is $78.59.

Booz Allen Hamilton (NYSE:BAH – Get Free Report) last released its quarterly earnings results on Friday, May 22nd. The business services provider reported $1.78 earnings per share for the quarter, beating the consensus estimate of $1.32 by $0.46. The firm had revenue of $1.91 billion for the quarter, compared to analysts’ expectations of $2.87 billion. Booz Allen Hamilton had a return on equity of 76.07% and a net margin of 7.59%.The company’s revenue was down 5.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.61 EPS. Booz Allen Hamilton has set its FY 2027 guidance at 6.000-6.350 EPS. Research analysts expect that Booz Allen Hamilton Holding Corporation will post 6.31 earnings per share for the current year.

Booz Allen Hamilton Dividend Announcement The firm also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Wednesday, June 10th were given a dividend of $0.59 per share. The ex-dividend date of this dividend was Wednesday, June 10th. This represents a $2.36 dividend on an annualized basis and a dividend yield of 3.7%. Booz Allen Hamilton’s payout ratio is presently 34.25%.

Wall Street Analysts Forecast Growth A number of research analysts recently weighed in on BAH shares. The Goldman Sachs Group reduced their price objective on Booz Allen Hamilton from $74.00 to $65.00 and set a “sell” rating for the company in a research report on Tuesday, July 14th. Jefferies Financial Group set a $85.00 target price on Booz Allen Hamilton in a report on Monday, May 11th. BNP Paribas Exane began coverage on Booz Allen Hamilton in a research note on Wednesday, May 27th. They issued a “neutral” rating and a $80.00 target price on the stock. Citigroup reduced their price target on Booz Allen Hamilton from $88.00 to $69.00 and set a “neutral” rating for the company in a report on Wednesday, July 1st. Finally, TD Cowen dropped their price target on shares of Booz Allen Hamilton from $85.00 to $70.00 and set a “hold” rating on the stock in a research note on Tuesday, July 7th. Two analysts have rated the stock with a Buy rating, eight have issued a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of “Reduce” and a consensus price target of $79.83.

View Our Latest Report on Booz Allen Hamilton

Booz Allen Hamilton Profile (Free Report)

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.

Further Reading Five stocks we like better than Booz Allen Hamilton Confidence Is Back, But Earnings Show the Consumer Is Being Picky AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off 3M’s Redemption Arc: Can Q2 Earnings Change the Narrative? 3 Photonics Companies Making Quantum Tech Possible Want to see what other hedge funds are holding BAH? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Booz Allen Hamilton Holding Corporation (NYSE:BAH – Free Report).

Receive News & Ratings for Booz Allen Hamilton Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Booz Allen Hamilton and related companies with MarketBeat.com's FREE daily email newsletter.

« PREVIOUS HEADLINEBank of New York Mellon Corp Cuts Position in lululemon athletica inc. $LULU

NEXT HEADLINE »Fifth Third Bancorp Acquires 10,929 Shares of Natera, Inc. $NTRA

As federal agencies rapidly adopt agentic AI systems capable of acting autonomously, a new [url="]Booz Allen[/url] survey released today reveals a growing gap

Posted by _ _xnake on Jul 17th, 2026

Shares of Booz Allen Hamilton Holding Corporation (NYSE:BAH – Get Free Report) have earned an average recommendation of “Reduce” from the fourteen ratings firms that are covering the firm, Marketbeat Ratings reports. Four investment analysts have rated the stock with a sell recommendation, eight have issued a hold recommendation and two have issued a buy recommendation on the company. The average 1 year price target among analysts that have updated their coverage on the stock in the last year is $81.0833.

Several research analysts have recently issued reports on the stock. Weiss Ratings cut shares of Booz Allen Hamilton from a “hold (c-)” rating to a “sell (d+)” rating in a report on Wednesday, July 8th. JPMorgan Chase & Co. dropped their price target on shares of Booz Allen Hamilton from $97.00 to $85.00 and set an “underweight” rating for the company in a research report on Tuesday, May 26th. Truist Financial cut their price target on shares of Booz Allen Hamilton from $85.00 to $70.00 and set a “hold” rating on the stock in a report on Friday, July 10th. The Goldman Sachs Group decreased their price objective on shares of Booz Allen Hamilton from $74.00 to $65.00 and set a “sell” rating on the stock in a research report on Tuesday. Finally, Citigroup lowered their price objective on shares of Booz Allen Hamilton from $88.00 to $69.00 and set a “neutral” rating for the company in a research note on Wednesday, July 1st.

Read Our Latest Stock Report on BAH

Booz Allen Hamilton Price Performance BAH opened at $65.31 on Friday. The stock’s 50 day simple moving average is $71.31 and its 200 day simple moving average is $79.02. The company has a debt-to-equity ratio of 3.55, a current ratio of 1.78 and a quick ratio of 1.78. Booz Allen Hamilton has a 1 year low of $59.50 and a 1 year high of $120.04. The firm has a market cap of $7.82 billion, a price-to-earnings ratio of 9.48, a PEG ratio of 3.64 and a beta of 0.36.

Booz Allen Hamilton (NYSE:BAH – Get Free Report) last announced its quarterly earnings results on Friday, May 22nd. The business services provider reported $1.78 EPS for the quarter, topping analysts’ consensus estimates of $1.32 by $0.46. Booz Allen Hamilton had a return on equity of 76.07% and a net margin of 7.59%.The business had revenue of $1.91 billion for the quarter, compared to analysts’ expectations of $2.87 billion. During the same period in the previous year, the firm earned $1.61 EPS. The business’s quarterly revenue was down 5.9% on a year-over-year basis. Booz Allen Hamilton has set its FY 2027 guidance at 6.000-6.350 EPS. As a group, analysts predict that Booz Allen Hamilton will post 6.24 earnings per share for the current year.

Booz Allen Hamilton Dividend Announcement The firm also recently declared a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Wednesday, June 10th were issued a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a yield of 3.6%. The ex-dividend date was Wednesday, June 10th. Booz Allen Hamilton’s payout ratio is currently 34.25%.

Institutional Investors Weigh In On Booz Allen Hamilton Institutional investors and hedge funds have recently bought and sold shares of the business. Activest Wealth Management raised its holdings in shares of Booz Allen Hamilton by 141.3% during the fourth quarter. Activest Wealth Management now owns 304 shares of the business services provider’s stock valued at $26,000 after acquiring an additional 178 shares in the last quarter. Torren Management LLC purchased a new position in Booz Allen Hamilton during the 4th quarter valued at $26,000. Rakuten Securities Inc. increased its position in Booz Allen Hamilton by 414.6% during the 2nd quarter. Rakuten Securities Inc. now owns 247 shares of the business services provider’s stock valued at $26,000 after purchasing an additional 199 shares during the period. Aventura Private Wealth LLC bought a new position in Booz Allen Hamilton in the 4th quarter worth $27,000. Finally, PenderFund Capital Management Ltd. bought a new position in Booz Allen Hamilton in the 4th quarter worth $30,000. Hedge funds and other institutional investors own 91.82% of the company’s stock.

About Booz Allen Hamilton (Get Free Report)

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.

Read More Five stocks we like better than Booz Allen Hamilton Why Abbott Laboratories Stock Is Suddenly Winning Back Wall Street Revving Up Returns: Big Banks Race Through the Rate Plateau Why Uber’s Biggest Deal Yet Could Unlock Its Next Growth Phase Why Microsoft Is Playing a Different AI Game Than Big Tech—and Cash Flow Is the Test

Receive News & Ratings for Booz Allen Hamilton Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Booz Allen Hamilton and related companies with MarketBeat.com's FREE daily email newsletter.

« PREVIOUS HEADLINETD Cowen Cuts Tilray Brands (NASDAQ:TLRY) Price Target to $5.00

NEXT HEADLINE »Citizens Financial Group (NYSE:CFG) Stock Price Expected to Rise, Cantor Fitzgerald Analyst Says

Booz Allen Hamilton (BAH - Free Report) closed at $63.56 in the latest trading session, marking a -1.91% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.38%. Meanwhile, the Dow gained 0.02%, and the Nasdaq, a tech-heavy index, added 0.9%.

The stock of defense contractor has fallen by 13.08% in the past month, lagging the Business Services sector's gain of 3.64% and the S&P 500's gain of 1.27%.

Market participants will be closely following the financial results of Booz Allen Hamilton in its upcoming release. The company plans to announce its earnings on July 24, 2026. In that report, analysts expect Booz Allen Hamilton to post earnings of $1.49 per share. This would mark year-over-year growth of 0.68%. Simultaneously, our latest consensus estimate expects the revenue to be $2.8 billion, showing a 4.24% drop compared to the year-ago quarter.

BAH's full-year Zacks Consensus Estimates are calling for earnings of $6.24 per share and revenue of $11.41 billion. These results would represent year-over-year changes of -4.15% and +1.74%, respectively.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Booz Allen Hamilton. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.18% higher. Currently, Booz Allen Hamilton is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Booz Allen Hamilton is presently being traded at a Forward P/E ratio of 10.38. For comparison, its industry has an average Forward P/E of 12.77, which means Booz Allen Hamilton is trading at a discount to the group.

We can additionally observe that BAH currently boasts a PEG ratio of 3.69. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Consulting Services industry currently had an average PEG ratio of 1.05 as of yesterday's close.

The Consulting Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 107, finds itself in the top 44% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

Accelerating secure AI deployment for U.S. agencies and commercial enterprises

MCLEAN, Va.--(BUSINESS WIRE)--Booz Allen Hamilton (NYSE: BAH) today announced a new partnership with OpenAI to promote advanced AI innovation across national security and critical infrastructure missions. With OpenAI, Booz Allen will share mission and model insights that enable faster, more secure deployment of AI solutions tailored to defense, intelligence, and commercial operations.

"Keeping pace with fast‑moving frontier models is mission‑critical for our customers... Our partnership gives agencies and enterprises the edge to move faster and drive AI adoption across the most complex operating environments." -Bryce Pippert, Booz Allen

Share“Keeping pace with fast-moving frontier models is mission-critical for our customers. They need the best AI ready for real-world operations. Our partnership gives agencies and enterprises the edge to move faster and drive AI adoption across the most complex operating environments,” said Bryce Pippert, executive vice president leading ventures and partnerships at Booz Allen.

The partnership creates a powerful feedback loop between model developers and frontline practitioners, enabling both organizations to move at the speed of technological change while delivering scalable AI that meets the highest standards for security, reliability, and impact.

“AI is only as strong as the environment it runs in. Our partnership with Booz Allen brings secure AI to the frontlines of national security missions and beyond,” said Joe Larson, vice president, OpenAI for Government.

The partnership expands on existing collaboration between the companies, giving Booz Allen engineers new access to OpenAI’s roadmap insights, technical enablement, and training resources. This builds on the multi-tier AI upskilling programs, digital badging, and Technical Experience Groups (TXGs) that connect Booz Allen’s top technical talent with emerging mission needs to accelerate secure AI deployment for customers.

About Booz Allen Hamilton

Booz Allen is an advanced technology company. We build commercial-grade products and solutions for America’s most critical defense, civil, and national security priorities. For more information, visit www.boozallen.com. (NYSE: BAH)

BAHPR-CO

Booz Allen Hamilton (BAH - Free Report) ended the recent trading session at $63.33, demonstrating a -4.57% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.37%. On the other hand, the Dow registered a gain of 0.29%, and the technology-centric Nasdaq decreased by 1.33%.

Heading into today, shares of the defense contractor had lost 15.66% over the past month, lagging the Business Services sector's loss of 1.59% and the S&P 500's gain of 2.02%.

The upcoming earnings release of Booz Allen Hamilton will be of great interest to investors. The company's earnings report is expected on July 24, 2026. The company is predicted to post an EPS of $1.49, indicating a 0.68% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $2.8 billion, showing a 4.24% drop compared to the year-ago quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.23 per share and a revenue of $11.41 billion, representing changes of -4.3% and +1.74%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Booz Allen Hamilton. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the 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, 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. Within the past 30 days, our consensus EPS projection has moved 1.07% higher. Currently, Booz Allen Hamilton is carrying a Zacks Rank of #3 (Hold).

In the context of valuation, Booz Allen Hamilton is at present trading with a Forward P/E ratio of 10.65. This valuation marks a discount compared to its industry average Forward P/E of 10.91.

One should further note that BAH currently holds a PEG ratio of 3.79. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Consulting Services industry currently had an average PEG ratio of 0.86 as of yesterday's close.

The Consulting Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 195, positioning it in the bottom 21% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

23.7K Followers

Analyst’s Disclosure: I/we have a beneficial long position in the shares of BAH.CRM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

In the latest close session, Booz Allen Hamilton (BAH - Free Report) was down 3.69% at $74.55. This change lagged the S&P 500's 1.65% gain on the day. On the other hand, the Dow registered a gain of 0.92%, and the technology-centric Nasdaq increased by 3.07%.

The defense contractor's stock has climbed by 6.52% in the past month, exceeding the Business Services sector's loss of 1.04% and the S&P 500's gain of 0.48%.

The investment community will be paying close attention to the earnings performance of Booz Allen Hamilton in its upcoming release. The company is slated to reveal its earnings on July 24, 2026. On that day, Booz Allen Hamilton is projected to report earnings of $1.49 per share, which would represent year-over-year growth of 0.68%. Meanwhile, the latest consensus estimate predicts the revenue to be $2.81 billion, indicating a 4% decrease compared to the same quarter of the previous year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.23 per share and a revenue of $11.44 billion, signifying shifts of -4.3% and +1.97%, respectively, from the last year.

Investors should also pay attention to any latest changes in analyst estimates for Booz Allen Hamilton. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.07% higher. Booz Allen Hamilton is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, Booz Allen Hamilton is currently trading at a Forward P/E ratio of 12.42. This represents a discount compared to its industry average Forward P/E of 12.56.

One should further note that BAH currently holds a PEG ratio of 4.42. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Consulting Services industry held an average PEG ratio of 0.96.

The Consulting Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 190, which puts it in the bottom 23% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.

MCLEAN, Va.--(BUSINESS WIRE)--Booz Allen Hamilton Holding Corporation (NYSE: BAH), the parent company of advanced technology company Booz Allen Hamilton Inc., today announced preliminary results for the fourth quarter and full fiscal year 2026.

"We enter FY27 with momentum and are well-positioned for the year ahead," said Horacio Rozanski, Booz Allen Chairman and CEO. "We’re investing in proven growth areas and building tech to create long-term value for our shareholders and our nation.”

Share Booz Allen’s press release is available at:
newsroom.boozallen.com
investors.boozallen.com

Booz Allen’s earnings presentation is available at investors.boozallen.com.

Booz Allen will host a conference call at 8 a.m. EDT on Friday, May 22, 2026, to discuss its financial results. Analysts and institutional investors may participate by registering online at investors.boozallen.com. Participants are requested to register a minimum of 15 minutes before the start of the call.

The conference call will be webcast simultaneously to the public through a link at investors.boozallen.com. A replay of the conference call will also be available on the site beginning at 11 a.m. EDT on Friday, May 22, 2026, and continuing for 12 months.

About Booz Allen Hamilton

Booz Allen is an advanced technology company delivering outcomes with speed for America’s most critical defense, civil, and national security priorities. We build technology solutions using AI, cyber, and other cutting-edge technologies to advance and protect the nation and its citizens. By focusing on outcomes, we enable our people, clients, and their missions to succeed—accelerating the nation to realize our purpose: Empower People to Change the World®.

With global headquarters in McLean, Virginia, our company employs approximately 31,500 people globally as of March 31, 2026, and had revenue of $11.2 billion for the 12 months ended March 31, 2026. To learn more, visit www.boozallen.com. (NYSE: BAH)

BAHPR-FI

Booz Allen Hamilton reported higher fiscal fourth-quarter profit as its cost-cutting initiatives helped to offset declines in revenue.

The Pentagon's AI Pivot Supercharges Defense StocksBooz Allen Hamilton NYSE: BAH executives said the government technology contractor exited what Chief Executive Horacio Rozanski called its “most challenging year” as a public company with stronger profitability than expected, even as revenue declined because of weakness in its civil business.

On the company’s fiscal fourth-quarter 2026 earnings call, Rozanski said Booz Allen faced “unprecedented headwinds” in civil work and significant changes across its markets, but responded through cost discipline, contract execution and continued investment in cyber, defense technology and artificial intelligence. He said the company is entering fiscal 2027 with “both momentum and focus,” while acknowledging continued uncertainty as federal customers adjust procurement approaches.

Get Booz Allen Hamilton alerts:

Catching Falling Knives: Is It Time to Buy These Beaten-Down Stocks?“Despite declining revenue, profitability exceeded our revised expectations,” Rozanski said. “What’s particularly notable is that we delivered this bottom-line performance while continuing to invest for future growth.”

Revenue Declines, But Profitability Tops Expectations Chief Financial Officer Troy Lahr, who joined Booz Allen earlier this month, said fiscal 2026 gross revenue was $11.2 billion, with the year-over-year decline driven by the company’s civil business. Adjusted EBITDA was $1.2 billion, with an adjusted margin of 11%, and adjusted diluted earnings per share were $6.51. Free cash flow totaled $951 million.

Booz Allen Hamilton Earnings: 3 Bullish Signals for BAH StockFor the fourth quarter, revenue declined 6.4% year over year to $2.8 billion. Revenue excluding billable expenses fell approximately 7% from the prior-year period. Lahr said the national security portfolio grew 1.6% year over year in the quarter, supported by demand for intelligence work and partially offset by lower billable expenses for defense customers. Civil revenue declined 23% year over year, which he attributed to the roll-off of the PTEMS contract and reductions on other contracts.

Adjusted EBITDA in the quarter was $309 million, with an adjusted EBITDA margin of 11.1%, up 50 basis points from a year earlier. Adjusted diluted EPS rose roughly 11% year over year to $1.78. Lahr said the increase reflected stronger profitability, a lower tax rate, a reduced share count and $12 million of pre-tax unrealized gains tied to Booz Allen’s ventures portfolio.

Net bookings in the quarter were $2.5 billion, producing a quarterly book-to-bill ratio of 0.9 times and a trailing 12-month book-to-bill ratio of 1.1 times. Backlog ended the fiscal year at $38 billion, up about 3% year over year. Funded backlog increased sequentially to $4.3 billion.

Fiscal 2027 Guidance Calls for Uneven Recovery For fiscal 2027, Booz Allen guided for revenue of $11.2 billion to $11.7 billion. Lahr said recent divestitures and acquisitions are expected to roughly offset each other. The company expects its national security portfolio to grow in the mid-single digits, while civil revenue is projected to decline in the high single digits as the business works through difficult comparisons, particularly in the first half of the year.

Lahr said the first quarter is expected to be the “low point for growth,” with sequential improvement through the year. Adjusted EBITDA is expected to range from $1.24 billion to $1.29 billion, implying an adjusted EBITDA margin of about 11%. Adjusted EPS is expected to be between $6.00 and $6.35. Free cash flow is forecast at $825 million to $925 million, including estimated fiscal 2027 expenditures for the company’s new Reston headquarters. The guidance excludes a previously disclosed $170 million IRS refund, which Lahr said is now expected in fiscal 2028.

During the question-and-answer portion, Lahr said the guidance reflects what Booz Allen sees in the market today and does not assume “edge cases.” Rozanski added that the company is operating in a fluid environment, including potential budget uncertainty tied to an election year.

Civil Business Remains Under Pressure President and Chief Operating Officer Kristine Martin Anderson said Booz Allen’s civil and national security markets remain “bifurcated,” with different near-term dynamics. Civil demand remains below historical levels, but she said the company is seeing acceleration, including a fourth-quarter civil book-to-bill of 1.2 times led by the health business.

Martin Anderson said the volume of civil awards is high, but many recompetes are coming with shorter periods of performance and smaller scopes. She said this means it will take time for improved demand to translate into growth. The business also faces difficult comparisons tied to last year’s contract cuts and reductions in work at Treasury.

In response to an analyst question, Martin Anderson said the company is seeing headwinds from prior-year contract reductions, Treasury-related reductions, smaller recompetes, fewer new starts because of last year’s weak award environment and budget challenges at the Department of Homeland Security. She also cited tailwinds including recent wins, an expanding customer base, a larger pipeline and strong recompete win rates.

Rozanski said Booz Allen is in “close contact” with customers and has had productive conversations following reputational issues raised by an analyst. “We are letting our work speak for itself,” he said, adding that even at Treasury the company is looking for opportunities to “turn the page.”

National Security, Cyber and Defense Tech Drive Optimism Executives repeatedly pointed to national security, cyber and defense technology as the main growth drivers for fiscal 2027 and beyond. Martin Anderson said Booz Allen won $1.7 billion of national security work in the fourth quarter and is well positioned against priorities including cyber and defense tech.

She highlighted increasing demand for AI-enabled cyber solutions, saying Booz Allen supports important cyber missions in national security, defends federal agencies from cyberattacks, serves Fortune 500 companies across all 16 critical infrastructure areas and responds to more than 1,000 cyber incidents a year.

Rozanski said cyber demand is expected to accelerate across national security, civil and commercial markets. He said offensive cyber tools are becoming agentic faster than defensive tools, creating a need for Booz Allen’s cyber offerings, including its Vellox suite. The company is accelerating the release schedule for multiple Vellox products because “the demand is now,” he said.

Martin Anderson also cited Booz Allen’s award of an other transaction authority contract on Golden Dome for America’s Space-Based Interceptor program and the fourth-quarter award of Breakthrough Engineering and Advanced Technology Solutions, or BEATS, a $937 million single-award engineering and technology contract supporting Army modernization priorities.

Procurement Shift and Capital Deployment Rozanski said Booz Allen is preparing for a market in which federal customers buy differently, with more emphasis on speed, commercial solutions and accountability for outcomes. He said the company drove a nearly 90% increase in OTA proposal submissions and about a 50% increase in OTA awards from the prior year.

He said Booz Allen expects productivity gains over time from delayering, “agentifying” its business, moving toward outcome-based and fixed-price work, and monetizing intellectual property. He said those trends should eventually cause revenue growth to outpace headcount growth, and profit growth to outpace revenue growth.

Lahr said Booz Allen deployed $366 million of capital in the fourth quarter, including $219 million in strategic investments through Booz Allen Ventures and venture partnerships, and $147 million in dividends and share repurchases. The company ended the quarter with $728 million in cash, total liquidity of $2.2 billion and a net leverage ratio of 2.6 times trailing 12-month adjusted EBITDA.

Rozanski closed the call by saying Booz Allen is focused on returning to growth while investing in cyber, defense technology, AI, quantum, 6G and related areas. “We’re moving faster, we’re investing with focus, and we’re building the technologies that make America safer and stronger,” he said.

About Booz Allen Hamilton NYSE: BAHBooz 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Booz Allen Hamilton Right Now?Before you consider Booz Allen Hamilton, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Booz Allen Hamilton wasn't on the list.

While Booz Allen Hamilton currently has a Reduce rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Just getting into the stock market? These 10 simple stocks can help beginning investors build long-term wealth without knowing options, technicals, or other advanced strategies.

Get This Free Report

Booz Allen Hamilton Holding Corporation (BAH) Q4 2026 Earnings Call Transcript

Key Takeaways Booz Allen topped EPS estimates as margins improved despite a 6.4% year-over-year revenue decline.BAH's Civil business faced contract cuts, while demand in National Security remained strong.Booz Allen's backlog reached a record $38B as demand for AI-native cyber & defense technologies accelerated. Booz Allen Hamilton Holding Corporation (BAH - Free Report) reported mixed fourth-quarter fiscal 2026 results, with earnings beating the Zacks Consensus Estimate but revenues missing the same.

The company’s fourth-quarter fiscal 2026 adjusted earnings per share of $1.78 surpassed the consensus mark of $1.32 and increased 10.6% year over year.

Revenues of $2.78 billion missed the consensus estimate of $2.88 billion and declined 6.4% from the year-ago quarter. BAH continued to benefit from strength in its National Security business, while Civil operations remained under pressure amid difficult market conditions.

BAH’s Margins Expand Despite Revenue PressureAdjusted EBITDA declined 2.2% year over year to $309 million. The adjusted EBITDA margin on revenues expanded 50 basis points to 11.1% due to disciplined cost management and strong contract execution.

Adjusted net income increased 5.9% year over year to $215 million. GAAP net income rose 6.2% to $205 million, while GAAP earnings per share improved 10.5% to $1.68.

The company noted that profitability benefited from lower taxes, a reduced share count and unrealized investment gains. Operating income totaled $263 million compared with $274 million in the prior-year quarter.

Booz Allen Faces Civil Market HeadwindsBooz Allen’s revenues, excluding billable expenses, decreased 6.8% year over year to $1.91 billion. Per management, the Civil business continued to face challenging comparisons and lower demand levels.

Civil operations were affected by contract reductions and lower Treasury-related work. Management expects the Civil portfolio to remain under pressure in the first half of fiscal 2027, although demand trends are improving gradually.

Meanwhile, the National Security portfolio continued to support overall performance. The business benefited from strong demand in intelligence, cyber and defense technology programs.

BAH’s Backlog & Demand Trends Stay HealthyTotal backlog increased 3.1% year over year to a record $38 billion. The company reported a quarterly book-to-bill ratio of 0.9X and a trailing 12-month book-to-bill ratio of 1.1X.

Management highlighted strong momentum in cyber and defense technology opportunities. During the quarter, Booz Allen secured a $937 million engineering and technology contract supporting the U.S. Army’s modernization initiatives.

The company continued investing in AI-enabled cyber offerings and advanced technology solutions. Management stated that demand for AI-native cyber products and outcomes-based contracts is accelerating across government and commercial markets.

Booz Allen Generates Strong Cash FlowBooz Allen generated $240 million in operating cash flow during the quarter compared with $218 million in the prior-year period. Free cash flow improved 9.3% year over year to $212 million.

For fiscal 2026, free cash flow totaled $951 million, compared with $911 million in the prior year. The company attributed the improvement to billing efficiencies and strong collections activity.

BAH exited fiscal 2026 with cash and cash equivalents of $728 million compared with $885 million at fiscal 2025-end. Long-term debt, net of current portion, was $3.92 billion compared with $3.91 billion a year ago.

BAH Initiates Fiscal 2027 OutlookFor fiscal 2027, BAH expects revenues to be between $11.2 billion and $11.7 billion, indicating 0% to 4% year-over-year growth, with the midpoint of $11.45 billion below the Zacks Consensus Estimate of $11.55 billion. The company guided adjusted earnings per share between $6.00 and $6.35, with the midpoint of $6.18 marginally above the Zacks Consensus Estimate of $6.17.

The company projects adjusted EBITDA in the range of $1.24-$1.29 billion with an adjusted EBITDA margin of nearly 11%.

Management expects free cash flow to be between $825 million and $925 million. Booz Allen expects continued growth in its National Security business, while the Civil portfolio is likely to remain challenged in the near term.

The company continued returning capital to its shareholders. During fiscal 2026, Booz Allen deployed $1.1 billion through strategic investments, share repurchases and dividends.

Booz Allen carries a Zacks Rank #4 (Sell) at present.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Earnings SnapshotsRollins, Inc. (ROL - Free Report) reported impressive first-quarter 2026 results. ROL’s adjusted earnings of 24 cents per share matched the consensus mark and rose 9.1% from the year-ago quarter. ROL’s total revenues of $906.4 million surpassed the consensus mark by 1.3% and increased 10.2% year over year.

Waste Connections, Inc. (WCN - Free Report) posted impressive first-quarter 2026 results. WCN’s adjusted earnings of $1.23 per share outpaced the consensus mark by 3.4% and rose 8.9% from the year-ago quarter. WCN’s total revenues of $2.37 billion beat the consensus mark by 0.7% and increased 6.4% year over year.

Booz Allen Hamilton is a market-leading government consulting firm, currently trading at a significant discount to historical valuation multiples. BAH boasts a 14-year dividend growth streak, strong dividend safety, and the highest yield in a decade, supporting its status as a long-term dividend growth play. Recent headwinds from government unpredictability and contract losses have stabilized, with defense and intelligence segments showing resilience and civil business signaling some recovery.

On June 01, 2026, Booz Allen Hamilton Holding Corp BAH shares rose 6.2% to a current price of $84.05. This price is situated within a 52-week range of $68.84 to $120.05, reflecting notable volatility over the past year.

GF Value™ verdict: The current price is $84.05, which is 39.9% below the GF Value™ estimate of $139.80.GF Score™: 76/100, indicating an above-average potential for long-term returns.Most notable signal: There have been no insider transactions in the last 3 months. Is BAH Overvalued or Undervalued? With a current price of $84.05 compared to a GF Value™ of $139.80, Booz Allen Hamilton Holding Corp BAH appears to be significantly undervalued, presenting a margin of safety of approximately 39.9%. The GF Valuation label indicates that the stock is significantly undervalued, which suggests that there is substantial upside potential if the market corrects itself toward the intrinsic value. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

However, while the undervaluation presents an opportunity, it is important to consider potential risks associated with the company’s recent performance. The stock has experienced a decline of 18.9% over the past year, indicating it may be facing challenges that could affect its recovery and the realization of its intrinsic value.

How Does BAH's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 12.2x 23.9x Forward P/E 13.4x N/A BAH's current P/E (TTM) of 12.2x is significantly below its 5-year median P/E of 23.9x, indicating that the stock is trading at a substantial discount relative to its historical valuation. This analysis aligns with the GF Value™ verdict, reinforcing the notion that the stock is undervalued and may present a buying opportunity for investors who are willing to navigate the associated risks.

What Does BAH's GF Score™ Tell Us? Metric Rating GF Score™ 76 Financial Strength 5/10 Profitability 9/10 Growth 9/10 Valuation 4/10 Momentum 1/10 The GF Score™ of 76/100 indicates that Booz Allen Hamilton Holding Corp BAH has a strong potential for long-term returns, particularly highlighted by its high profitability rank (9/10) and growth rank (9/10). However, it shows weakness in momentum (1/10) and valuation (4/10), suggesting that while the fundamentals are solid, the stock may not be experiencing favorable market trends at this time.

What Are Insiders Doing with BAH Stock? In the last three months, there have been no insider transactions reported for Booz Allen Hamilton Holding Corp BAH . This lack of activity may suggest that insiders are not currently taking positions in the stock, which could indicate either a lack of confidence in the near-term prospects or a wait-and-see approach amidst market fluctuations.

What This Means for Investors Based on the GF Value™ assessment, Booz Allen Hamilton Holding Corp BAH appears to be undervalued at its current price of $84.05, suggesting a significant opportunity for investors who can withstand potential volatility. However, it’s crucial for potential investors to consider the recent performance trends and the lack of insider activity before making any decisions.

For the complete analysis, visit the Booz Allen Hamilton Holding Corp BAH stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is BAH's GF Score™?

BAH's GF Score™ is 76/100, indicating an above-average potential for long-term returns based on key financial metrics.

Is BAH overvalued or undervalued?

BAH is undervalued according to the GF Value™ estimate, with a current price of $84.05 being 39.9% below its intrinsic value of $139.80.

What is BAH's P/E ratio?

The P/E ratio for BAH is currently 12.2x, which is significantly below its 5-year median P/E of 23.9x, indicating that the stock is trading at a discount compared to its historical valuation.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

First head-to-head analysis finds Chinese LLMs produced and obfuscated vulnerable code for U.S. applications

MCLEAN, Va.--(BUSINESS WIRE)--Booz Allen has released a new report, What's In America's Code?, examining the national security implications of popular Chinese large language models (LLMs) used in software development and security workflows. Using its AI-native testing platform, Booz Allen evaluated four Chinese frontier models and one American model to assess code quality, security, and model behavior.

Following comparative testing and scenario-driven analysis across more than 2,800 trials and nearly 450,000 lines of code, the research revealed that three of four Chinese models produced significantly more vulnerable code when prompted with a U.S. government persona, and the vulnerabilities were highly obfuscated.

Key takeaways and recommendations from the report include:

Chinese LLMs generated more vulnerable code for U.S. government users. The models produced less secure code overall, with vulnerabilities increasing when prompted by users identifying as members of the U.S. government. Chinese LLMs exhibited PRC-aligned political bias. The models refused certain politically sensitive requests and incorporated China-aligned perspectives into generated outputs. Ban untrusted AI models from government and critical infrastructure environments. Models that cannot demonstrate trustworthy and reliable behavior should not be used in systems supporting national security or critical functions. Invest To Make Trusted American AI Models the Global Default. To drive adoption, American AI companies must collaborate with the U.S. government to ensure American models are both commercially compelling and economically viable. The findings raise concerns about the growing access and use of foreign-developed AI models across software supply chains supporting critical infrastructure and national security missions that security processes cannot detect. Read the full report.

About Booz Allen Hamilton

Booz Allen is an advanced technology company delivering outcomes with speed for America’s most critical defense, civil, and national security priorities. We build technology solutions using AI, cyber, and other cutting-edge technologies to advance and protect the nation and its citizens. By focusing on outcomes, we enable our people, clients, and their missions to succeed—accelerating the nation to realize our purpose: Empower People to Change the World®.

With global headquarters in McLean, Virginia, our firm employs approximately 31,500 people globally as of March 31, 2026, and had revenue of $11.2 billion for the 12 months ended March 31, 2026. To learn more, visit www.boozallen.com. (NYSE: BAH)

BAHPR-CO

Have you ever heard of Succession Risk? It occurs when key leaders of a company leave their position—whether expected or not—and a clear successor isn’t already in place.

When key leaders leave, there is a loss of both knowledge and experience that can be hard to replace. And there is always a lag getting someone new up to speed, even though that can be minimized with an internal promotion.

It often creates uncertainty among shareholders that ends up being priced into shares.

That’s exactly what happened to The Clorox Company (CLX) last week. Chairman and Chief Executive Officer Linda Rendle decided to step down for health reasons. The plan is for her to remain in office while a search is conducted and then through a period where she will act as an advisor.

The stock was already struggling, and CLX shares slid another 6% on Friday on the news.

Now, I still like CLX as a long-term holding, and I think some new blood in the C-suite could be a good thing. But still, markets are clearly trying to quantify the risks during this succession period and price it into the shares.

Personally, I will grab a few more shares at an even lower price.

This is another example of “hidden risks” that can sneak into your portfolio. On the surface, they can spook investors and erase your gains, even if just temporarily. On a deeper level, they can disrupt a company’s operations, negatively impact earnings, and cause our dividend payments to become vulnerable.

Let’s take a look at other risks.

Some Risks Can Be Measured It is hard to put a specific dollar amount on the succession risk for Clorox (despite the market trying anyway). But there are risks that can be measured.

One is key customer concentration risk. This becomes an issue when a few customers—or maybe even a single customer—make up a large share of a company’s revenue. This also applies if your customers are concentrated in a specific industry or geographic location.

An example in the news is Booz Allen Hamilton Holding Corp. (BAH). Roughly 98% of its revenue comes from government contracts, and dozens of them were cancelled over the past year. This included 31 contracts with the Treasury Department cancelled in January. Shares are down 20% over the past year while the overall market is at all-time highs.

We can put into numbers the revenue that would be lost if a specific customer or contract falls off the balance sheet.

Another risk that’s incredibly relevant right now is refinancing risk. This occurs when a company has debt maturing that must be refinanced. Debt issued at low interest rates during 2020-2021 may end up being replaced by debt at much higher interest rates. That raises finance costs and can eat into free cash flow and possibly into our dividends.

Lastly, there’s currency risk. As a dividend investor who looks for long-term holdings, I always hold some global consumer staples giants.

These companies earn revenue in multiple currencies that must be converted into their reporting currency. Changes in exchanges rates can impact both earnings and forward guidance numbers. This is another thing to consider when investing in foreign companies.

Analysts are continually running the numbers to estimate the impact these risks will have on future earnings and dividend health. Some risks, however, require a more creative approach.

And Other Risks, Not So Much Potential hazards such as regulatory risk and litigation risk are much harder to measure. Instead of the spread between interest rates or the percentage of revenues, we are talking about complex probability models.

Both of these risks can severely impact a company’s future profits and be largely beyond its control. I always have pharmaceutical and tobacco companies in my portfolio. They both rely heavily on the decisions of regulators, specifically the FDA.

Pfizer (PFE) needs approvals on new drugs in its pipeline to offset patent cliffs. And Philip Morris (PM) still sells its outdated IQOS heated tobacco device here in the US because it’s waiting on approval for its new model.

Litigation risks are even harder to measure as they can pop up out of nowhere.

That brings me to the most top-of-mind risk—technology disruption risk. These days, it might be more accurate to call it AI adoption risk. This concern ripped through software stocks in the first quarter and is far from over.

I’m still not convinced that AI is ready to take on most tasks today… or in the near term. But it will for sure change the future of many companies, industries, and professions. And analysts are trying to measure the risk.

None of these risks should be instant deal breakers when screening for stocks to add to your portfolio, but you want to recognize when they are present. For some stocks, you might be able to use temporary risk speculation to lock in an even better price, and in turn a higher yield.

Do you consider these risks when you add new positions to your portfolio? What other hidden risks are you watching for in the current economy?

For more income, now and in the future,

Kelly Green

Originally published June 3, 2026

For more news, information, and strategy, visit ETF Trends.