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Aggressive Growth

CACI International, Inc. (CACI - Analyst Report) continues to post better than expected earnings and estimates are up sharply. But shares remain a great value as well as a growth story. This Zacks #1 Rank (Strong Buy) is worth revisiting here.

Company Description

CACI offers professional and IT services for defense, intelligence, homeland security, and IT modernization and government transformation.

Another Surprise

Since being featured back in September, CACI has posted yet another earnings surprise, putting the streak at 15 consecutive quarters.

On Nov 2 the company showed an 11% increase in revenues for the first fiscal quarter, to $924 million. Net income spiked 47% to $42.1 million. Earnings per share came in at $1.40, well ahead of the $1.11 analysts were expecting.

Business is Only Getting Better

The company went on to raise its full-year guidance in light of the record quarter and the accelerating M&A activity.

Analysts polled by Zacks agreed in unison for fiscal 2012. This year's consensus estimate jumped 57 cents, to $5.69. There was on downward revision for fiscal 2013, compared to 13 upward. As a result the consensus is up 53 cents, to $5.97 on the earnings news.

Last year the company made $4.45, so the projected growth rates are 28% for this year and 5% for next year.

And Shares are Cheap?

Right now the stock is trading at just 10 times this year's estimates. That gives CACI a PEG of just 0.6. On top of that, the P/S is only 0.4 and the P/B is just 1.3.

The Chart

CACI saw some ups and downs in the wake of the earnings news, but right now it looks like shares are back on track. The MACD is pointing to a shift in momentum and is about to produce a buy signal.

Read the September 20th Feature Here

CACI International, Inc. - ticker CACI >
 
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Bill Wilton is the Aggressive Growth Stock Strategist for Zacks.com. He is also the Editor in charge of the Zacks Small Cap Trader service

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