Last Updated: 19 Sep 2024
Executive Summary
Science Applications International Corporation (SAIC) is a leading provider of technical, engineering, and IT services with a market capitalization of $6.66 billion. The company has a strong financial position with an EBITDA of $643 million and a profit margin of 3.97%. SAIC's stock is currently trading at $134.51, within its 52-week range of $102.99 to $144.28.
Company Overview
SAIC is headquartered in Reston, Virginia, and provides services to government and commercial clients worldwide. The company's core capabilities include systems engineering, IT modernization, cybersecurity, and data analytics. SAIC has a track record of innovation and has been recognized for its work in areas such as artificial intelligence and machine learning.
Fundamental Analysis
SAIC's financial performance has been solid in recent years. The company has reported positive revenue and earnings growth, and its profitability metrics are strong. SAIC's trailing PE ratio of 24.06 is in line with industry averages, and its forward PE ratio of 13.48 suggests that the stock may be undervalued.
Technical Analysis
SAIC's stock price has been trending sideways in recent months, but it has recently broken above its 50-day moving average. The stock is currently trading near its 200-day moving average, which could provide support in the event of a pullback.
Short Term Outlook
In the short term, SAIC's stock price is likely to remain range-bound between $130 and $140. The company's upcoming earnings report could provide a catalyst for movement in either direction.
Long Term Outlook
In the long term, SAIC is well-positioned to benefit from the growing demand for IT services. The company's strong financial position and track record of innovation should allow it to continue to grow its market share.
Analyst Recommendations
Analysts have a mixed view on SAIC's stock. One analyst has a Strong Buy rating, one has a Buy rating, eight have a Hold rating, and one has a Sell rating. The average analyst target price is $139.38, which implies a potential upside of 3.6%.
