Leidos (NYSE:LDOS) Shares Gap Up – Time to Buy?

Leidos Holdings, Inc. (NYSE:LDOS) gapped up before the market opened on Monday . The stock had previously closed at $126.82, but opened at $131.26. Leidos shares last traded at $128.19, with a volume of 294,577 shares traded.

Wall Street Analysts Forecast Growth

LDOS has been the subject of several recent analyst reports. StockNews.com upgraded Leidos from a “buy” rating to a “strong-buy” rating in a research note on Thursday, February 20th. Citigroup upped their target price on shares of Leidos from $194.00 to $220.00 and gave the company a “buy” rating in a report on Wednesday, October 30th. William Blair lowered shares of Leidos from an “outperform” rating to a “market perform” rating in a research note on Friday, February 21st. Truist Financial decreased their price objective on shares of Leidos from $185.00 to $165.00 and set a “buy” rating for the company in a research note on Wednesday, February 12th. Finally, Wells Fargo & Company cut their target price on Leidos from $197.00 to $191.00 and set an “overweight” rating on the stock in a research report on Wednesday. Six investment analysts have rated the stock with a hold rating, nine have assigned a buy rating and two have given a strong buy rating to the company’s stock. According to data from MarketBeat.com, Leidos presently has an average rating of “Moderate Buy” and a consensus target price of $175.87.

Leidos Stock Performance

The stock has a market cap of $17.14 billion, a PE ratio of 14.14, a PEG ratio of 1.65 and a beta of 0.66. The stock has a fifty day simple moving average of $143.49 and a two-hundred day simple moving average of $156.63. The company has a debt-to-equity ratio of 0.91, a quick ratio of 1.13 and a current ratio of 1.21.

Leidos (NYSE:LDOS) last released its quarterly earnings results on Tuesday, February 11th. The aerospace company reported $2.37 EPS for the quarter, topping the consensus estimate of $2.24 by $0.13. Leidos had a return on equity of 30.93% and a net margin of 7.53%. Equities analysts anticipate that Leidos Holdings, Inc. will post 10.62 EPS for the current fiscal year.

Leidos Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 28th. Shareholders of record on Friday, March 14th will be issued a dividend of $0.40 per share. The ex-dividend date is Friday, March 14th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 1.22%. Leidos’s dividend payout ratio (DPR) is 17.32%.

Insider Activity at Leidos

In related news, Director Gary Stephen May sold 2,128 shares of the stock in a transaction dated Tuesday, February 18th. The stock was sold at an average price of $131.24, for a total value of $279,278.72. Following the completion of the sale, the director now directly owns 11,264 shares of the company’s stock, valued at approximately $1,478,287.36. This represents a 15.89 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Robert C. Kovarik, Jr. sold 1,511 shares of the company’s stock in a transaction that occurred on Thursday, February 13th. The shares were sold at an average price of $134.56, for a total transaction of $203,320.16. Following the completion of the transaction, the director now owns 6,408 shares in the company, valued at approximately $862,260.48. This represents a 19.08 % decrease in their position. The disclosure for this sale can be found here. Company insiders own 0.96% of the company’s stock.

Hedge Funds Weigh In On Leidos

Institutional investors and hedge funds have recently modified their holdings of the stock. Rakuten Securities Inc. raised its holdings in shares of Leidos by 1,460.0% during the third quarter. Rakuten Securities Inc. now owns 156 shares of the aerospace company’s stock worth $25,000 after acquiring an additional 146 shares in the last quarter. Marshall & Sterling Wealth Advisors Inc. acquired a new stake in shares of Leidos during the 4th quarter valued at about $25,000. Duncker Streett & Co. Inc. bought a new stake in shares of Leidos in the 4th quarter valued at approximately $27,000. Ashton Thomas Securities LLC acquired a new position in Leidos in the third quarter worth approximately $29,000. Finally, Berbice Capital Management LLC bought a new position in Leidos during the fourth quarter valued at approximately $29,000. 76.12% of the stock is currently owned by hedge funds and other institutional investors.

Leidos Company Profile

Leidos Holdings, Inc, together with its subsidiaries, provides services and solutions in the defense, intelligence, civil, and health markets in the United States and internationally. The company operates through Defense Solutions, Civil, and Health segments. The Defense Solutions segment offers national security solutions and systems for air, land, sea, space, and cyberspace for the U.S.