Booz Allen Hamilton (NYSE:BAH) Shares Down 5.8% - Here's Why

Key Points

• Booz Allen Hamilton's shares dropped 5.8% to $106.51 as of midday trading, with a significant decline in trading volume compared to its average.
• Analyst ratings show a mixed sentiment, with a consensus rating of "Hold" and a consensus price target of $134.00, reflecting various adjustments from firms like Goldman Sachs and Wells Fargo.
• The company reported earnings of $1.48 per share, slightly beating estimates, but revenue fell short of expectations, highlighting challenges despite a positive EPS surprise.

Booz Allen Hamilton Holding Corporation (NYSE:BAH - Get Free Report) was down 5.8% on Monday . The company traded as low as $107.10 and last traded at $106.51. Approximately 1,501,401 shares traded hands during trading, a decline of 36% from the average daily volume of 2,353,051 shares. The stock had previously closed at $113.05.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on BAH shares. Barclays lowered their price objective on Booz Allen Hamilton from $140.00 to $120.00 and set an "equal weight" rating for the company in a research note on Wednesday, May 28th. William Blair upgraded Booz Allen Hamilton from a "market perform" rating to an "outperform" rating in a research note on Monday, July 21st. Wells Fargo & Company lowered their price objective on Booz Allen Hamilton from $148.00 to $135.00 and set an "overweight" rating for the company in a research note on Friday, May 23rd. Wall Street Zen downgraded Booz Allen Hamilton from a "buy" rating to a "hold" rating in a report on Saturday, May 24th. Finally, Raymond James Financial reaffirmed a "market perform" rating on shares of Booz Allen Hamilton in a report on Friday, May 23rd. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating, three have given a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $134.00.

Booz Allen Hamilton Price Performance

The firm has a market capitalization of $13.23 billion, a P/E ratio of 13.16, a price-to-earnings-growth ratio of 1.68 and a beta of 0.48. The business has a fifty day moving average of $105.83 and a 200-day moving average of $114.16. The company has a debt-to-equity ratio of 3.66, a quick ratio of 1.79 and a current ratio of 1.78.

Booz Allen Hamilton (NYSE:BAH - Get Free Report) last issued its quarterly earnings data on Friday, July 25th. The business services provider reported $1.48 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.45 by $0.03. Booz Allen Hamilton had a return on equity of 73.05% and a net margin of 8.70%. The business had revenue of $2.92 billion during the quarter, compared to analyst estimates of $2.96 billion. During the same period in the prior year, the company posted $1.38 EPS. The business's revenue for the quarter was down .6% compared to the same quarter last year. On average, sell-side analysts forecast that Booz Allen Hamilton Holding Corporation will post 6.44 EPS for the current fiscal year.

Booz Allen Hamilton Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, August 29th. Shareholders of record on Thursday, August 14th will be given a $0.55 dividend. This represents a $2.20 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date is Thursday, August 14th. Booz Allen Hamilton's dividend payout ratio is 27.03%.

Institutional Investors Weigh In On Booz Allen Hamilton

A number of institutional investors have recently added to or reduced their stakes in BAH. LPL Financial LLC lifted its position in Booz Allen Hamilton by 17.1% in the fourth quarter. LPL Financial LLC now owns 107,690 shares of the business services provider's stock worth $13,860,000 after purchasing an additional 15,756 shares during the period. Pictet Asset Management Holding SA boosted its holdings in Booz Allen Hamilton by 10.8% during the fourth quarter. Pictet Asset Management Holding SA now owns 52,834 shares of the business services provider's stock worth $6,800,000 after buying an additional 5,161 shares in the last quarter. Brown Brothers Harriman & Co. boosted its holdings in Booz Allen Hamilton by 1,132.0% during the fourth quarter. Brown Brothers Harriman & Co. now owns 308 shares of the business services provider's stock worth $40,000 after buying an additional 283 shares in the last quarter. Schroder Investment Management Group increased its holdings in shares of Booz Allen Hamilton by 51.7% in the fourth quarter. Schroder Investment Management Group now owns 4,253 shares of the business services provider's stock valued at $546,000 after buying an additional 1,449 shares in the last quarter. Finally, Alliancebernstein L.P. increased its holdings in shares of Booz Allen Hamilton by 78.8% in the fourth quarter. Alliancebernstein L.P. now owns 1,033,475 shares of the business services provider's stock valued at $133,008,000 after buying an additional 455,605 shares in the last quarter. 91.82% of the stock is currently owned by institutional investors and hedge funds.

About Booz Allen Hamilton

Booz Allen Hamilton Holding Corporation provides management and technology consulting, analytics, engineering, digital solutions, mission operations, and cyber services to governments, corporations, and not-for-profit organizations in the United States and internationally. It focuses on artificial intelligence services comprising of machine learning, predictive modeling, automation and decision analytics, and quantum computing.