Jefferies lowers Booz Allen Hamilton stock price target on civil revenue headwinds
Jefferies cut Booz Allen Hamilton's (BAH) price target to $75 from $80, citing civil revenue declines. Analyst Sheila Kahyaoglu noted a 22% sales drop in fiscal 2026, hurting growth. BAH trades at $67.64, down 33% YoY, with a 3.5% dividend yield. Q1 fiscal 2027 EPS beat estimates at $1.81, while revenue matched at $2.8B. UBS raised its target to $78, citing a 15% YoY increase in funded backlog.
How this was made
The 30-second read
Why it matters
Analyst target changes and contract news provide fresh valuation inputs that could move the stock.
Market read
New analyst guidance and a sizable contract award create immediate trading considerations for BAH.
What to watch
The new $85 million Department of War contract could offset civil segment weakness.
Background
The article summarizes recent analyst actions and a new government contract for Booz Allen Hamilton.
Ticker impact
Jefferies lowered its price target to $75 and reinstated coverage, while UBS raised its target to $78, providing new analyst guidance for Booz Allen Hamilton.
potential downside as the market prices in Jefferies' lower target, tempered by UBS's higher target
Price target changes are fresh primary disclosures that can shift valuation expectations in the short term.
Market effects
Defense and consulting sector may see re‑rating as analysts adjust expectations for civil segment performance.
U.S. defense contractors could experience modest volatility following the target revisions.
Limited to U.S. equities; no broader macro impact.
Counterpoint
Investors might view the UBS upgrade as a catalyst for a short‑term rally despite Jefferies' downgrade.
Key entities
- analystJefferies
Lowered price target to $75 and reinstated coverage.
- analystUBS
Raised price target to $78.
- governmentU.S. Department of War
Awarded an $85 million contract to Booz Allen Hamilton.
