Booz Allen Hamilton Holding Corporation [NYSE:BAH]: Analyst Rating and Earnings
Equities traders often pay a significant amount of attention to what top market analysts have to say about a potential stock investment. In regards to Booz Allen Hamilton Holding Corporation [BAH], the most recent average analyst recommendation we can read comes from the fiscal quarter ending in March. On average, stock market experts give BAH an Outperform rating. Its stock price has been found in the range of 14.13 to 56.85. This is compared to its latest closing price of $53.46.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Booz Allen Hamilton Holding Corporation [BAH] is sitting at 2.00. This is compared to 1 month ago, when its average rating was 1.92.
For the quarter ending in Dec-18 Booz Allen Hamilton Holding Corporation [BAH] generated $1.66 billion in sales. That’s 3.66% higher than the average estimate of $1.6 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep your eyes on this company’s next financial results, which are scheduled to be made public on Tue 4 Jun (In 112 Days).
Fundamental Analysis of Booz Allen Hamilton Holding Corporation [BAH]
Now let’s turn to look at profitability: with a current Operating Margin for Booz Allen Hamilton Holding Corporation [BAH] sitting at +8.43 and its Gross Margin at +22.34, this company’s Net Margin is now 6.60%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 22.56, and its Return on Invested Capital has reached 15.90%. Its Return on Equity is 53.75, and its Return on Assets is 8.42. These metrics all suggest that Booz Allen Hamilton Holding Corporation is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Booz Allen Hamilton Holding Corporation [BAH] has generated a Total Debt to Total Equity ratio of 327.89. Similarly, its Total Debt to Total Capital is 76.63, while its Total Debt to Total Assets stands at 50.47. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 316.51, and its Long-Term Debt to Total Capital is 73.97. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 15.66 and its Total Debt to EBITDA Value is 3.11. The Enterprise Value to Sales for this firm is now 1.40, and its Total Debt to Enterprise Value stands at 0.25. Booz Allen Hamilton Holding Corporation [BAH] has a Price to Book Ratio of 10.01, a Price to Cash Flow Ratio of 15.50 and P/E Ratio of 18.77. These metrics all suggest that Booz Allen Hamilton Holding Corporation is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Booz Allen Hamilton Holding Corporation [BAH] earns $250,888 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 5.82 and its Total Asset Turnover is 1.71. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.44 and its Current Ratio is 1.44. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Let’s now turn our attention to trading performance: Booz Allen Hamilton Holding Corporation [BAH] has 139.26M shares outstanding, amounting to a total market cap of $7.44B. Its stock price has been found in the range of 36.78 to 54.74. At its current price, it has moved by -2.03% from its 52-week high, and it has moved 45.81% from its 52-week low.
This stock’s Beta value is currently 1.06, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 69.48. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Booz Allen Hamilton Holding Corporation [BAH] a Reliable Buy?
Shares of Booz Allen Hamilton Holding Corporation [BAH], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.