Executive Brief: In the latest trading session, Leidos (LDOS) closed at $195.58, reflecting a 1.39% increase from the previous day, surpassing the S&P 500’s marginal gain of 0.01%. The company’s stock has risen by 8.01% over the past month, although it trails the Computer and Technology sector’s 10.49% gain.
Open Foresight: How will Leidos’ upcoming earnings report impact its stock performance and investor sentiment?
Facts: On the recent trading day, Leidos (LDOS) saw its stock price close at $195.58, marking a 1.39% increase from the previous day. This performance outpaced the S&P 500’s slight gain of 0.01%. Meanwhile, the Dow Jones Industrial Average experienced a 0.51% rise, and the Nasdaq Composite fell by 0.28%. Over the past month, Leidos’ stock has appreciated by 8.01%, which is less than the 10.49% gain of the broader Computer and Technology sector but exceeds the S&P 500’s 4.83% increase.
Leidos, a security and engineering company, is set to announce its earnings on November 4, 2025. The company is anticipated to report earnings per share (EPS) of $2.62, a decrease of 10.58% from the same quarter last year. The consensus estimate for quarterly revenue is $4.28 billion, representing a 2.06% increase from the previous year. For the full year, the Zacks Consensus Estimates project earnings of $11.22 per share and revenue of $17.15 billion, indicating year-over-year growth of 9.89% and 2.95%, respectively.
Investors should monitor any recent changes in analyst estimates for Leidos, as these revisions often reflect current business trends. Positive changes in estimates suggest a favorable outlook on the company’s health and profitability. Research shows that these estimate revisions are closely linked to short-term share price momentum. The Zacks Rank, a proprietary model that evaluates these estimate changes, provides an operational rating system. The Zacks Rank ranges from #1 (Strong Buy) to #5 (Strong Sell), with #1 stocks historically delivering an average annual return of 25% since 1988. Currently, Leidos holds a Zacks Rank of #2 (Buy), with a 0.26% increase in the Zacks Consensus EPS estimate over the past 30 days.
From a valuation standpoint, Leidos is trading at a Forward P/E ratio of 17.19, aligning with the industry average. The stock’s PEG ratio stands at 1.84, which considers the expected earnings growth rate. The average PEG ratio for the Computers – IT Services industry was 1.99 at the market’s close yesterday. This industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 74, placing it in the top 30% of over 250 industries. The Zacks Industry Rank evaluates the strength of industry groups by calculating the average Zacks Rank of the stocks within them. Research indicates that industries in the top 50% outperform those in the bottom half by a factor of 2 to 1.
Strategic Takeaways:
– Monitor Leidos’ upcoming earnings report for potential impacts on stock performance and investor sentiment.
– Keep an eye on analyst estimate revisions for insights into business trends and profitability outlook.
– Consider the Zacks Rank as a tool for evaluating investment opportunities in the fintech and technology sectors.
– Evaluate Leidos’ valuation metrics, such as the Forward P/E and PEG ratios, in comparison to industry averages.
– Stay informed about the Computers – IT Services industry’s performance within the broader Computer and Technology sector.
_Insight: Capital Market Google News, source article: Google News; Image credit: OpenForesight visual / Capital Market Google News_