Booz Allen Hamilton Holding Corporation (NYSE:BAH) Stock Update and Earnings Forecast

Booz Allen Hamilton Holding Corporation, listed as NYSE:BAH, is a prominent consulting firm and government contractor based in McLean, Virginia. The company specializes in providing management and technology consulting services to the U.S. government and commercial clients. Booz Allen Hamilton competes with other consulting giants like Accenture and Deloitte in the industry.

On May 23, 2025, Booz Allen Hamilton reported earnings per share (EPS) of $1.61, surpassing the estimated $1.59. This marks a positive trend, as the company has exceeded consensus EPS estimates three times in the past four quarters. Despite this, the company's revenue of $2.97 billion fell short of the estimated $3.16 billion, missing the Zacks Consensus Estimate by 1.50%.

The company's fiscal 2026 outlook has raised concerns among investors. Booz Allen Hamilton projects adjusted EPS between $6.20 and $6.55, with revenue expected to range from $12 billion to $12.5 billion. These figures are below analysts' expectations of $6.92 EPS and $12.82 billion in revenue, leading to a decline in the company's stock during pre-market trading.

CEO Horacio Rozanski attributes the disappointing outlook to the Trump administration's cost-cutting measures, which have impacted contracts with civilian agencies. In response, Booz Allen Hamilton plans to restructure its civil business, implementing cost reductions and layoffs. CFO Matt Calderone announced a 7% workforce reduction in the first quarter, primarily affecting the civil business.

Despite these challenges, Booz Allen Hamilton anticipates growth in its defense and intelligence segments. The company's financial metrics, such as a P/E ratio of 16.4 and a price-to-sales ratio of 1.20, reflect the market's valuation of its earnings and revenue. Additionally, the company's debt-to-equity ratio of 2.97 highlights its financial leverage, while a current ratio of 1.57 indicates its ability to cover short-term liabilities.

Booz Allen Hamilton Holding Corporation, listed on the NYSE as BAH, is a leading management and technology consulting firm. The company provides services to government and commercial clients, focusing on analytics, digital solutions, engineering, and cyber expertise. Booz Allen competes with firms like Accenture and Deloitte in the consulting industry.

Booz Allen Hamilton is set to release its quarterly earnings on May 23, 2025, before the market opens. Analysts expect the earnings per share (EPS) to be $1.59, marking a 19.4% increase from the previous year. This growth is supported by a 0.5% upward revision in the EPS estimate over the past 30 days, indicating positive analyst sentiment.

The company's revenue is projected to be approximately $3.03 billion, reflecting an 8.9% increase from the same quarter last year. This growth is driven by strong service demand, an increase in headcount, and higher billable expenses. The consensus revenue estimate is slightly lower at $3.02 billion, but still highlights the company's positive trajectory.

Booz Allen has a strong track record of exceeding expectations, having surpassed the Zacks Consensus Estimate in three of the last four quarters, with an average surprise of 6.7%. This history of outperformance may influence investor confidence and stock price movements following the earnings release.

Financially, Booz Allen has a price-to-earnings (P/E) ratio of 18.80 and a price-to-sales ratio of 1.38, indicating the market's valuation of its revenue. The company's debt-to-equity ratio is high at 2.97, suggesting a reliance on debt financing. However, with a current ratio of 1.57, Booz Allen demonstrates its ability to cover short-term liabilities with short-term assets.

Booz Allen Hamilton (NYSE:BAH) is a leading consulting firm that primarily serves the U.S. government. The company is renowned for its extensive consulting services, with long-term government contracts making up 98% of its revenue. This focus ensures revenue stability, as highlighted by its consistent financial performance. Booz Allen operates in the competitive Zacks Consulting Services industry, where it has demonstrated strong growth.

On January 31, 2025, Booz Allen Hamilton reported earnings per share (EPS) of $1.45, slightly below the estimated $1.48. Despite this, the company has a history of exceeding expectations, as seen in its fiscal 2025 third quarter. During this period, Booz Allen reported an adjusted EPS of $1.55, surpassing the forecasted $1.52, and marking a 4.73% earnings surprise. This performance reflects the company's ability to deliver strong financial results.

Booz Allen Hamilton generated revenue of approximately $2.92 billion, which fell short of the estimated $3.09 billion. However, this figure still represents a 13.5% increase compared to the previous year. The company has consistently surpassed consensus revenue estimates in each of the last four quarters, demonstrating its capacity for growth. In the quarter ending December 2024, Booz Allen's revenue was 2.71% above the Zacks Consensus Estimate.

Despite the positive quarterly performance, Booz Allen Hamilton's stock price experienced a decline of 0.55%. This drop occurred as the company's future guidance fell short of the elevated expectations set by analysts. The market's reaction underscores the importance of meeting or exceeding analyst expectations for future performance, even when current results are strong.

Booz Allen Hamilton's financial metrics provide further insight into its market position. The company has a price-to-earnings (P/E) ratio of approximately 19.44, indicating the market's valuation of its earnings. Its price-to-sales ratio stands at about 1.42, while the enterprise value to sales ratio is around 1.40. These figures suggest how investors value the company's sales and overall valuation. Additionally, Booz Allen's debt-to-equity ratio of approximately 0.25 indicates a relatively low level of debt compared to equity, reflecting financial stability.

Booz Allen Hamilton (NYSE:BAH) is a leading consulting firm that primarily serves the U.S. government. The company is renowned for its extensive consulting services, with long-term government contracts making up 98% of its revenue. This focus ensures revenue stability, as highlighted by its consistent financial performance. Booz Allen operates in the competitive Zacks Consulting Services industry, where it has demonstrated strong growth.

On January 31, 2025, Booz Allen Hamilton reported earnings per share (EPS) of $1.45, slightly below the estimated $1.48. Despite this, the company has a history of exceeding expectations, as seen in its fiscal 2025 third quarter. During this period, Booz Allen reported an adjusted EPS of $1.55, surpassing the forecasted $1.52, and marking a 4.73% earnings surprise. This performance reflects the company's ability to deliver strong financial results.

Booz Allen Hamilton generated revenue of approximately $2.92 billion, which fell short of the estimated $3.09 billion. However, this figure still represents a 13.5% increase compared to the previous year. The company has consistently surpassed consensus revenue estimates in each of the last four quarters, demonstrating its capacity for growth. In the quarter ending December 2024, Booz Allen's revenue was 2.71% above the Zacks Consensus Estimate.

Despite the positive quarterly performance, Booz Allen Hamilton's stock price experienced a decline of 0.55%. This drop occurred as the company's future guidance fell short of the elevated expectations set by analysts. The market's reaction underscores the importance of meeting or exceeding analyst expectations for future performance, even when current results are strong.

Booz Allen Hamilton's financial metrics provide further insight into its market position. The company has a price-to-earnings (P/E) ratio of approximately 19.44, indicating the market's valuation of its earnings. Its price-to-sales ratio stands at about 1.42, while the enterprise value to sales ratio is around 1.40. These figures suggest how investors value the company's sales and overall valuation. Additionally, Booz Allen's debt-to-equity ratio of approximately 0.25 indicates a relatively low level of debt compared to equity, reflecting financial stability.

Booz Allen Hamilton Holding Corporation (NYSE:BAH), a leading management and information technology consulting firm, primarily serves the U.S. government, including defense, intelligence, and civil markets. Competing with giants like Accenture and Deloitte, Booz Allen Hamilton is renowned for its robust performance and ability to surpass market expectations.

As the firm approaches its quarterly earnings release on January 31, 2025, analysts are forecasting an EPS of $1.48 and expect revenues to hit around $2.87 billion. Historically, the company has outperformed the Zacks Consensus Estimate in three of the last four quarters, boasting an average surprise of 11.7%.

For the forthcoming quarter, revenue estimates are pegged at $2.84 billion, indicating a 10.5% year-over-year growth. This anticipated increase is attributed to robust service demand, an uptick in headcount, and higher billable expenses. Consequently, the expected rise in earnings is linked to these increased revenues for the quarter ending December 2024.

Examining Booz Allen Hamilton's financial metrics offers insights into its market valuation. The firm's P/E ratio stands at approximately 19.87, its price-to-sales ratio at about 1.42, and its enterprise value to sales ratio is around 1.69. These figures indicate the market's valuation of the company's earnings and sales.

Notably, Booz Allen Hamilton's debt-to-equity ratio is high at approximately 3.01, suggesting a significant level of debt. However, with a current ratio of about 1.56, the company maintains a reasonable level of short-term assets to cover its short-term liabilities. The earnings yield is calculated to be around 5.03%, providing an insight into the return on investment.

Booz Allen Hamilton Holding Corporation (NYSE:BAH), a leading management and information technology consulting firm, primarily serves the U.S. government, including defense, intelligence, and civil markets. Competing with giants like Accenture and Deloitte, Booz Allen Hamilton is renowned for its robust performance and ability to surpass market expectations.

As the firm approaches its quarterly earnings release on January 31, 2025, analysts are forecasting an EPS of $1.48 and expect revenues to hit around $2.87 billion. Historically, the company has outperformed the Zacks Consensus Estimate in three of the last four quarters, boasting an average surprise of 11.7%.

For the forthcoming quarter, revenue estimates are pegged at $2.84 billion, indicating a 10.5% year-over-year growth. This anticipated increase is attributed to robust service demand, an uptick in headcount, and higher billable expenses. Consequently, the expected rise in earnings is linked to these increased revenues for the quarter ending December 2024.

Examining Booz Allen Hamilton's financial metrics offers insights into its market valuation. The firm's P/E ratio stands at approximately 19.87, its price-to-sales ratio at about 1.42, and its enterprise value to sales ratio is around 1.69. These figures indicate the market's valuation of the company's earnings and sales.

Notably, Booz Allen Hamilton's debt-to-equity ratio is high at approximately 3.01, suggesting a significant level of debt. However, with a current ratio of about 1.56, the company maintains a reasonable level of short-term assets to cover its short-term liabilities. The earnings yield is calculated to be around 5.03%, providing an insight into the return on investment.