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Leidos (LDOS) Registers a Bigger Fall Than the Market: Important Facts to Note

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Leidos (LDOS - Free Report) closed at $119.70 in the latest trading session, marking a -1.56% move from the prior day. This move lagged the S&P 500's daily loss of 0.02%. On the other hand, the Dow registered a loss of 0.35%, and the technology-centric Nasdaq decreased by 0.15%.

The stock of security and engineering company has fallen by 8.45% in the past month, lagging the Computer and Technology sector's gain of 3.58% and the S&P 500's gain of 2.05%.

Analysts and investors alike will be keeping a close eye on the performance of Leidos in its upcoming earnings disclosure. The company's earnings report is set to go public on November 3, 2026. The company's earnings per share (EPS) are projected to be $3.09, reflecting a 1.31% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $4.71 billion, indicating a 5.29% growth compared to the corresponding quarter of the prior year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $12.39 per share and a revenue of $18.33 billion, signifying shifts of +3.34% and +6.71%, respectively, from the last year.

Investors should also take note of any recent adjustments to analyst estimates for Leidos. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.9% increase. Right now, Leidos possesses a Zacks Rank of #3 (Hold).

With respect to valuation, Leidos is currently being traded at a Forward P/E ratio of 9.82. This expresses a discount compared to the average Forward P/E of 13.43 of its industry.

It is also worth noting that LDOS currently has a PEG ratio of 1.35. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computers - IT Services industry had an average PEG ratio of 1.33 as trading concluded yesterday.

The Computers - IT Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 30% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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