NYSE:LDOS

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Executive Summary

Leidos Holdings, Inc. provides services and solutions in the defense, intelligence, civil, and health markets in the United States and internationally. More Details


Snowflake Analysis

Slightly overvalued with limited growth.


Similar Companies

Share Price & News

How has Leidos Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LDOS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: LDOS's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-0.9%

LDOS

1.7%

US IT

0.6%

US Market


1 Year Return

13.4%

LDOS

30.7%

US IT

22.7%

US Market

Return vs Industry: LDOS underperformed the US IT industry which returned 29.9% over the past year.

Return vs Market: LDOS underperformed the US Market which returned 21% over the past year.


Shareholder returns

LDOSIndustryMarket
7 Day-0.9%1.7%0.6%
30 Day22.5%16.9%13.1%
90 Day10.9%1.9%4.5%
1 Year15.1%13.4%32.0%30.7%25.5%22.7%
3 Year69.2%60.5%103.7%95.7%49.0%39.1%
5 Year164.7%75.7%180.0%160.5%98.3%76.5%

Long-Term Price Volatility Vs. Market

How volatile is Leidos Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Leidos Holdings undervalued compared to its fair value and its price relative to the market?

19.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LDOS ($101.64) is trading below our estimate of fair value ($126.43)

Significantly Below Fair Value: LDOS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LDOS is good value based on its PE Ratio (23.5x) compared to the US IT industry average (35.7x).

PE vs Market: LDOS is poor value based on its PE Ratio (23.5x) compared to the US market (19.3x).


Price to Earnings Growth Ratio

PEG Ratio: LDOS is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: LDOS's PB Ratio (3.9x) is in line with the US IT industry average.


Next Steps

Future Growth

How is Leidos Holdings forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

15.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LDOS's forecast earnings growth (15% per year) is above the savings rate (2.2%).

Earnings vs Market: LDOS's earnings (15% per year) are forecast to grow slower than the US market (21.9% per year).

High Growth Earnings: LDOS's earnings are forecast to grow, but not significantly.

Revenue vs Market: LDOS's revenue (8.8% per year) is forecast to grow slower than the US market (10.3% per year).

High Growth Revenue: LDOS's revenue (8.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LDOS's Return on Equity is forecast to be high in 3 years time (24.5%)


Next Steps

Past Performance

How has Leidos Holdings performed over the past 5 years?

21.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LDOS has high quality earnings.

Growing Profit Margin: LDOS's current net profit margins (5.1%) are lower than last year (6.2%).


Past Earnings Growth Analysis

Earnings Trend: LDOS's earnings have grown significantly by 21.9% per year over the past 5 years.

Accelerating Growth: LDOS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: LDOS had negative earnings growth (-9.1%) over the past year, making it difficult to compare to the IT industry average (3.2%).


Return on Equity

High ROE: LDOS's Return on Equity (16.5%) is considered low.


Next Steps

Financial Health

How is Leidos Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: LDOS's short term assets ($3.2B) do not cover its short term liabilities ($3.4B).

Long Term Liabilities: LDOS's short term assets ($3.2B) do not cover its long term liabilities ($5.2B).


Debt to Equity History and Analysis

Debt Level: LDOS's debt to equity ratio (121.2%) is considered high.

Reducing Debt: LDOS's debt to equity ratio has increased from 105.2% to 121.2% over the past 5 years.

Debt Coverage: LDOS's debt is well covered by operating cash flow (34.5%).

Interest Coverage: LDOS's interest payments on its debt are well covered by EBIT (6x coverage).


Balance Sheet


Next Steps

Dividend

What is Leidos Holdings's current dividend yield, its reliability and sustainability?

1.34%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: LDOS's dividend (1.34%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.5%).

High Dividend: LDOS's dividend (1.34%) is low compared to the top 25% of dividend payers in the US market (4.18%).


Stability and Growth of Payments

Stable Dividend: LDOS has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: LDOS has only been paying a dividend for 9 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.4%), LDOS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LDOS's dividends in 3 years are forecast to be well covered by earnings (21.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Roger Krone (63 yo)

6.33yrs

Tenure

US$10,671,271

Compensation

Mr. Roger A. Krone has been the Chief Executive Officer of Leidos, Inc. since July, 2014. Mr. Krone has been the Chief Executive Officer of Leidos Holdings, Inc. since July 14, 2014. He has been a Director...


CEO Compensation Analysis

Compensation vs Market: Roger's total compensation ($USD10.67M) is about average for companies of similar size in the US market ($USD10.98M).

Compensation vs Earnings: Roger's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Roger Krone
Chairman & CEO6.33yrsUS$10.67m0.15%
$ 21.6m
James Reagan
Executive VP & CFO5.33yrsUS$3.11m0.023%
$ 3.3m
Jerald Howe
Executive VP & General Counsel3.33yrsUS$2.27m0.0014%
$ 202.1k
Gerard Fasano
Group President of Defense Group4.25yrsUS$2.19m0.030%
$ 4.3m
Christopher Cage
Senior VP1.42yrsno data0.0042%
$ 606.2k
James Carlini
Chief Technology Officer1.83yrsno datano data
Steve Hull
Senior VP & Chief Information Officerno datano datano data
Peter Berl
Head of Investor Relationsno datano datano data
Michele Brown
Chief Ethics & Compliance Officer and Senior VP4.5yrsno datano data
Melissa Koskovich
SVP & Director of Corporate Communications and Marketingno datano datano data
Randy Phillips
Senior Vice President of Corporate Development2.25yrsno datano data
Paul Engola
Executive VP1.83yrsno data0.0092%
$ 1.3m

3.3yrs

Average Tenure

61yo

Average Age

Experienced Management: LDOS's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Roger Krone
Chairman & CEO6.33yrsUS$10.67m0.15%
$ 21.6m
Noel Williams
Independent Director7.17yrsUS$290.00k0.018%
$ 2.6m
Surya Mohapatra
Independent Director4.25yrsUS$275.00k0.011%
$ 1.5m
Robert Shapard
Independent Lead Director2.83yrsUS$320.00k0.019%
$ 2.7m
Harry M. Kraemer
Independent Director23.58yrsUS$275.00k0.053%
$ 7.6m
Susan Stalnecker
Independent Director4.25yrsUS$275.00k0.0059%
$ 851.3k
Miriam John
Independent Director13.42yrsUS$290.00k0.015%
$ 2.1m
Frank Kendall
Independent Director3.42yrsUS$282.50k0%
$ 0
Gregory Dahlberg
Independent Director4.25yrsUS$275.00k0.0059%
$ 851.3k
Robert Kovarik
Independent Director2.42yrsUS$275.00k0.0027%
$ 388.4k
David Fubini
Independent Director7.17yrsUS$275.00k0.0077%
$ 1.1m
Gary May
Independent Director5.75yrsUS$282.50k0.0064%
$ 917.2k

5.0yrs

Average Tenure

66.5yo

Average Age

Experienced Board: LDOS's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: LDOS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Leidos Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Leidos Holdings, Inc.
  • Ticker: LDOS
  • Exchange: NYSE
  • Founded: 1969
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: US$14.332b
  • Shares outstanding: 142.32m
  • Website: https://www.leidos.com

Number of Employees


Location

  • Leidos Holdings, Inc.
  • 11951 Freedom Drive
  • Reston
  • Virginia
  • 20190
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
S6IADB (Deutsche Boerse AG)YesCommon StockDEEUROct 2006
LDOSNYSE (New York Stock Exchange)YesCommon StockUSUSDOct 2006
LDOS *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNOct 2006
L1DO34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 10 REPR 1 COM NPVBRBRLOct 2020

Biography

Leidos Holdings, Inc. provides services and solutions in the defense, intelligence, civil, and health markets in the United States and internationally. It operates through three segments: Defense Solutions...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/01 23:04
End of Day Share Price2020/12/01 00:00
Earnings2020/10/02
Annual Earnings2020/01/03


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.