Leidos (NYSE:LDOS) Updates FY 2026 Earnings Guidance

Leidos (NYSE:LDOS) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 12.100-12.500 for the period, compared to the consensus earnings per share estimate of 12.300. The company issued revenue guidance of $18.0 billion-$18.4 billion, compared to the consensus revenue estimate of $18.2 billion.

Leidos Price Performance

Leidos stock traded down $4.40 during trading hours on Wednesday, reaching $132.80. 351,407 shares of the stock were exchanged, compared to its average volume of 1,074,887. The stock has a 50 day moving average of $161.74 and a two-hundred day moving average of $178.93. The company has a market cap of $16.75 billion, a P/E ratio of 11.96, a price-to-earnings-growth ratio of 1.89 and a beta of 0.56. Leidos has a twelve month low of $129.74 and a twelve month high of $205.77. The company has a current ratio of 1.70, a quick ratio of 1.58 and a debt-to-equity ratio of 0.93.

Leidos (NYSE:LDOS) last issued its earnings results on Tuesday, May 5th. The aerospace company reported $3.13 earnings per share for the quarter, beating analysts’ consensus estimates of $2.88 by $0.25. The firm had revenue of $4.40 billion for the quarter, compared to the consensus estimate of $4.28 billion. Leidos had a return on equity of 32.95% and a net margin of 8.43%.The company’s revenue was up 3.7% compared to the same quarter last year. During the same quarter last year, the business posted $2.97 EPS. Leidos has set its FY 2026 guidance at 12.100-12.500 EPS. Equities analysts expect that Leidos will post 12.26 EPS for the current fiscal year.

Leidos Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be issued a $0.43 dividend. This represents a $1.72 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date of this dividend is Monday, June 15th. Leidos’s dividend payout ratio (DPR) is currently 15.45%.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on LDOS shares. Stifel Nicolaus reduced their price target on shares of Leidos from $220.00 to $205.00 and set a “hold” rating on the stock in a research note on Wednesday, February 18th. Wall Street Zen upgraded shares of Leidos from a “hold” rating to a “buy” rating in a research note on Saturday, April 18th. Robert W. Baird reduced their price target on shares of Leidos from $215.00 to $195.00 and set a “neutral” rating on the stock in a research note on Wednesday, February 18th. Argus upgraded shares of Leidos to a “strong-buy” rating in a research note on Tuesday, March 31st. Finally, Truist Financial reduced their price target on shares of Leidos from $220.00 to $195.00 and set a “buy” rating on the stock in a research note on Monday, April 20th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $202.82.

Insider Buying and Selling at Leidos

In related news, insider Elizabeth A. Porter sold 2,000 shares of Leidos stock in a transaction that occurred on Tuesday, April 7th. The shares were sold at an average price of $158.78, for a total transaction of $317,560.00. Following the sale, the insider directly owned 49,476 shares in the company, valued at $7,855,799.28. This trade represents a 3.89% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.77% of the stock is currently owned by company insiders.

Key Leidos News

Here are the key news stories impacting Leidos this week:

• Positive Sentiment: Q1 beat — Leidos posted EPS of $3.13 (vs. ~$2.88 est.) and revenue of $4.40B (vs. ~$4.28B), with non‑GAAP EPS and cash flow strength highlighted by management. Leidos Posts Strong First Quarter Results and Raises Full-Year Guidance
• Positive Sentiment: Backlog & contract momentum — Backlog rose (reported at about $48.4B) with wins across intelligence, energy infrastructure and ATC that support multi‑year revenue visibility. LDOS Q1 Earnings Beat on Backlog Scale and Key Contract Wins
• Positive Sentiment: Raised FY‑2026 guidance — Leidos lifted full‑year revenue and EPS guidance (EPS to $12.10–12.50), signaling management expects stronger demand overall. Defense contractor Leidos raises 2026 forecast on strong demand
• Neutral Sentiment: Acquisition contribution — Management said much of the guidance lift reflects the Entrust acquisition (and related security product JV) rather than a material step‑up in organic margins, making the quality of the beat and guide mixed. Leidos falls 7.8% as investors parse Q1 margin pressure and acquisition-driven guidance raise
• Neutral Sentiment: Earnings call tone — Management delivered a confident outlook on the call, but provided granular color that left room for investor debate on near‑term margin trends. Leidos Holdings Earnings Call Signals Confident Outlook
• Negative Sentiment: GAAP profit & margin pressure — GAAP net income and GAAP EPS declined year‑over‑year (management cited ~$39M of acquisition/JV costs) and the Defense segment showed margin declines tied to program wind‑downs and timing on fixed‑price development work. Investors focused on these signs of margin stress. Leidos falls 7.8% as investors parse Q1 margin pressure and acquisition-driven guidance raise
• Negative Sentiment: Sentiment/flow risks — Some investors interpreted the guide bump as acquisition‑driven, triggering a sell‑the‑news reaction; recent insider sales were also noted by data providers. Leidos falls 7.8% as investors parse Q1 margin pressure and acquisition-driven guidance raise

Institutional Investors Weigh In On Leidos

Several hedge funds have recently added to or reduced their stakes in the business. Focus Partners Wealth lifted its holdings in Leidos by 46.5% during the 1st quarter. Focus Partners Wealth now owns 3,073 shares of the aerospace company’s stock worth $415,000 after buying an additional 976 shares during the period. Marshall Wace LLP lifted its holdings in Leidos by 86.3% during the 2nd quarter. Marshall Wace LLP now owns 14,250 shares of the aerospace company’s stock worth $2,248,000 after buying an additional 6,600 shares during the period. Cresset Asset Management LLC lifted its holdings in Leidos by 2.7% during the 2nd quarter. Cresset Asset Management LLC now owns 3,399 shares of the aerospace company’s stock worth $536,000 after buying an additional 90 shares during the period. Cerity Partners LLC lifted its position in shares of Leidos by 20.2% in the 2nd quarter. Cerity Partners LLC now owns 41,405 shares of the aerospace company’s stock worth $6,532,000 after purchasing an additional 6,962 shares during the period. Finally, Natixis lifted its position in shares of Leidos by 222.3% in the 2nd quarter. Natixis now owns 8,155 shares of the aerospace company’s stock worth $1,287,000 after purchasing an additional 5,625 shares during the period. 76.12% of the stock is currently owned by institutional investors and hedge funds.

Leidos Company Profile

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.