Science Applications International (NASDAQ:SAIC) Stock Price Up 3% on Insider Buying Activity

Key Points

• SAIC shares rose 3% after Director C. David Cush purchased 1,000 shares at an average price of $132.50, investing $132,500 and establishing a new direct position.
• The company’s latest quarterly results exceeded expectations, with EPS of $3.01 versus the $2.31 consensus and revenue of $1.88 billion versus $1.76 billion expected; revenue increased 6.3% year over year.
• Analyst sentiment remains cautious, with a consensus “Hold” rating and an average price target of $125.22, below the stock’s recent trading level near $130.

Science Applications International Corporation (NASDAQ:SAIC - Get Free Report)'s share price was up 3% on Wednesday after an insider bought additional shares in the company. The company traded as high as $132.12 and last traded at $133.5990. Approximately 30,764 shares traded hands during mid-day trading, a decline of 95% from the average daily volume of 569,832 shares. The stock had previously closed at $129.69.

Specifically, Director C. David Cush purchased 1,000 shares of the stock in a transaction that occurred on Tuesday, September 22nd. The stock was bought at an average cost of $132.50 per share, for a total transaction of $132,500.00. Following the completion of the transaction, the director directly owned 1,000 shares in the company, valued at $132,500. This represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. Weiss Ratings upgraded shares of Science Applications International from a "hold (c)" rating to a "hold (c+)" rating in a research report on Monday, August 24th. Jefferies Financial Group lifted their price target on shares of Science Applications International from $130.00 to $140.00 and gave the stock a "hold" rating in a research note on Tuesday, September 1st. Wall Street Zen downgraded shares of Science Applications International from a "strong-buy" rating to a "buy" rating in a report on Saturday. JPMorgan Chase & Co. increased their price objective on shares of Science Applications International from $110.00 to $125.00 and gave the stock a "neutral" rating in a research report on Tuesday, June 2nd. Finally, UBS Group increased their price objective on shares of Science Applications International from $108.00 to $123.00 and gave the stock a "neutral" rating in a research report on Tuesday, September 1st. Two equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $125.22.

Science Applications International News Roundup

Here are the key news stories impacting Science Applications International this week:

• Positive Sentiment: Director C. David Cush purchased 1,000 SAIC shares at an average price of $132.50, investing $132,500. The open-market purchase increases his position from zero shares and may signal confidence in the company’s valuation and outlook. Insider purchase report
• Positive Sentiment: Zacks Research raised its full-year EPS forecasts for FY2027, FY2028 and FY2029 to $10.70, $10.74 and $11.70, respectively. The FY2027 increase—from $9.98—was particularly significant and suggests improving expectations for SAIC’s longer-term earnings potential.
• Positive Sentiment: The company’s latest quarterly results exceeded expectations, with EPS of $3.01 versus the $2.31 consensus estimate and revenue of $1.88 billion versus $1.76 billion expected. Revenue increased 6.3% year over year, providing a favorable operating backdrop.
• Neutral Sentiment: SAIC declared a quarterly dividend of $0.37 per share, payable October 23 to shareholders of record October 9. The annualized dividend is $1.48, representing a yield of approximately 1.1%.
• Negative Sentiment: Zacks reduced several quarterly estimates, including Q3 FY2027 EPS to $2.30 from $2.42, Q4 FY2027 to $2.16 from $2.18, and Q3 FY2028 to $2.75 from $2.81. These cuts point to potentially uneven near-term earnings momentum.
• Negative Sentiment: Analyst sentiment remains cautious: SAIC has a consensus “Hold” rating and an average price target of $125.22, below the roughly $130 area where the stock recently traded. That gap may limit upside despite the improved long-term forecasts.

Science Applications International Stock Performance

The firm has a market cap of $5.63 billion, a PE ratio of 15.69 and a beta of 0.30. The business has a 50 day simple moving average of $124.53 and a two-hundred day simple moving average of $109.38. The company has a quick ratio of 1.20, a current ratio of 1.20 and a debt-to-equity ratio of 1.71.

Science Applications International (NASDAQ:SAIC - Get Free Report) last posted its quarterly earnings results on Monday, August 31st. The company reported $3.01 EPS for the quarter, topping analysts' consensus estimates of $2.31 by $0.70. The firm had revenue of $1.88 billion for the quarter, compared to analysts' expectations of $1.76 billion. Science Applications International had a net margin of 5.13% and a return on equity of 34.68%. The business's revenue for the quarter was up 6.3% on a year-over-year basis. During the same period in the prior year, the business posted $3.63 earnings per share. As a group, equities research analysts forecast that Science Applications International Corporation will post 10.77 earnings per share for the current fiscal year.

Science Applications International Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 9th will be given a dividend of $0.37 per share. The ex-dividend date of this dividend is Friday, October 9th. This represents a $1.48 dividend on an annualized basis and a yield of 1.1%. Science Applications International's dividend payout ratio (DPR) is 17.31%.

Institutional Investors Weigh In On Science Applications International

Several hedge funds have recently modified their holdings of the business. Norges Bank purchased a new stake in Science Applications International during the 4th quarter valued at about $53,403,000. Bank of New York Mellon Corp purchased a new position in shares of Science Applications International in the second quarter worth about $44,044,000. Dimensional Fund Advisors LP raised its position in Science Applications International by 13.7% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,535,288 shares of the company's stock worth $145,730,000 after buying an additional 185,066 shares during the last quarter. River Road Asset Management LLC lifted its position in Science Applications International by 44.4% during the fourth quarter. River Road Asset Management LLC now owns 479,677 shares of the company's stock valued at $48,284,000 after purchasing an additional 147,438 shares during the period. Finally, Fifth Third Bancorp lifted its holdings in shares of Science Applications International by 13,176.6% in the 1st quarter. Fifth Third Bancorp now owns 63,064 shares of the company's stock valued at $5,986,000 after buying an additional 62,589 shares during the period. Hedge funds and other institutional investors own 76.00% of the company's stock.

Science Applications International Company Profile

Science Applications International Corporation (SAIC) is a technology integrator and government services contractor that provides mission-critical solutions to the U.S. government. The company supports defense, intelligence, space, civilian, and federal law enforcement organizations with services designed to improve operational performance, modernize legacy systems, and address complex national security and public-sector challenges.

SAIC's offerings include information technology modernization, cloud computing, cybersecurity, artificial intelligence and data analytics, digital engineering, software development, systems integration, and enterprise IT services.

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