Booz Allen Hamilton (NYSE:BAH) Issues Quarterly Earnings Results

Booz Allen Hamilton (NYSE:BAH) announced its quarterly earnings results on Friday. The business services provider reported $1.78 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.32 by $0.46, FiscalAI reports. Booz Allen Hamilton had a net margin of 7.35% and a return on equity of 76.79%. The firm had revenue of $1.91 billion during the quarter, compared to analysts’ expectations of $2.87 billion. During the same period in the prior year, the company posted $1.61 EPS. The company’s revenue was down 5.9% on a year-over-year basis. Booz Allen Hamilton updated its FY 2027 guidance to 6.000-6.350 EPS.

Here are the key takeaways from Booz Allen Hamilton’s conference call:

• Booz Allen said fiscal 2026 was the most challenging year since going public, with revenue declining as the civil business faced unprecedented headwinds and contract roll-offs.
• Despite lower revenue, the company beat profitability expectations, delivering $1.2 billion of adjusted EBITDA, an 11% adjusted margin, and strong free cash flow of $951 million for the year.
• Management highlighted improving demand in national security, including $1.7 billion of fourth-quarter wins, a $38 billion backlog, and a 1.1x trailing 12-month book-to-bill ratio.
• For fiscal 2027, Booz Allen guided to $11.2 billion to $11.7 billion of revenue, with national security expected to grow mid-single digits while civil is expected to decline high single digits, especially in the first half.
• The company is leaning into AI-enabled cyber, defense tech, and outcome-based procurement, citing rapid growth in OTA submissions and awards, the Vellox product suite, and strategic wins like the Golden Dome OTA and the $937 million BEATS contract.

Booz Allen Hamilton Stock Up 3.1%

Booz Allen Hamilton stock opened at $78.70 on Friday. Booz Allen Hamilton has a 1-year low of $68.83 and a 1-year high of $120.04. The firm has a market capitalization of $9.49 billion, a price-to-earnings ratio of 11.42, a price-to-earnings-growth ratio of 4.54 and a beta of 0.32. The firm’s fifty day moving average price is $78.57 and its two-hundred day moving average price is $83.25. The company has a current ratio of 1.81, a quick ratio of 1.81 and a debt-to-equity ratio of 3.76.

Booz Allen Hamilton Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Wednesday, June 10th will be paid a $0.59 dividend. This represents a $2.36 dividend on an annualized basis and a dividend yield of 3.0%. The ex-dividend date of this dividend is Wednesday, June 10th. Booz Allen Hamilton’s dividend payout ratio (DPR) is 34.25%.

Booz Allen Hamilton News Summary

Here are the key news stories impacting Booz Allen Hamilton this week:

• Positive Sentiment: BAH reported quarterly EPS of $1.78, well above the $1.32 consensus, suggesting stronger-than-expected profitability. Booz Allen Hamilton (BAH) Q4 Earnings Surpass Estimates
• Positive Sentiment: Management said cost-cutting helped lift fiscal fourth-quarter profit, which likely reassured investors about margin resilience despite softer sales. Booz Allen Profit Rises Amid Cost Cutting
• Positive Sentiment: The company also guided FY 2027 EPS in a range of 6.00 to 6.35, which brackets the consensus estimate and signals continued earnings stability. Booz Allen Hamilton Announces Fourth Quarter and Full Year Fiscal 2026 Results
• Neutral Sentiment: Revenue of $1.91 billion missed expectations of $2.86 billion and was down 5.9% year over year, offsetting part of the earnings beat. Booz Allen Hamilton Earnings Report and Conference Call
• Neutral Sentiment: FY 2027 revenue guidance of $11.2 billion to $11.7 billion was roughly in line with expectations, limiting the upside from the outlook. Booz Allen Hamilton Announces Fourth Quarter and Full Year Fiscal 2026 Results
• Negative Sentiment: The revenue shortfall highlights ongoing demand pressure in Booz Allen’s government services business, which may temper enthusiasm if growth does not reaccelerate. Booz Allen Hamilton Rises After Earnings. Has the Stock Hit Bottom?

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. Rakuten Securities Inc. raised its holdings in shares of Booz Allen Hamilton by 414.6% in the second 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 last quarter. PenderFund Capital Management Ltd. purchased a new stake in shares of Booz Allen Hamilton in the fourth quarter valued at about $30,000. Fulcrum Asset Management LLP purchased a new stake in shares of Booz Allen Hamilton in the third quarter valued at about $32,000. Transamerica Financial Advisors LLC purchased a new stake in shares of Booz Allen Hamilton in the second quarter valued at about $41,000. Finally, Larson Financial Group LLC raised its holdings in shares of Booz Allen Hamilton by 365.6% in the third quarter. Larson Financial Group LLC now owns 433 shares of the business services provider’s stock valued at $43,000 after purchasing an additional 340 shares during the last quarter. 91.82% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of research firms have recently commented on BAH. Stifel Nicolaus upped their price objective on shares of Booz Allen Hamilton from $106.00 to $115.00 and gave the company a “hold” rating in a research note on Monday, January 26th. UBS Group reaffirmed a “neutral” rating and issued a $97.00 price objective on shares of Booz Allen Hamilton in a research note on Tuesday, January 27th. Jefferies Financial Group set a $85.00 price objective on shares of Booz Allen Hamilton in a research note on Monday, May 11th. Wells Fargo & Company began coverage on shares of Booz Allen Hamilton in a research note on Wednesday, April 1st. They issued an “equal weight” rating and a $85.00 price objective on the stock. Finally, Citigroup reduced their price objective on shares of Booz Allen Hamilton from $109.00 to $87.00 and set a “neutral” rating on the stock in a research note on Thursday, April 2nd. One investment analyst has rated the stock with a Buy rating, nine have issued a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Reduce” and an average price target of $93.33.

Booz Allen Hamilton Company Profile

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.