UBS raises Booz Allen Hamilton stock price target on backlog growth
UBS raised its price target for Booz Allen Hamilton (NYSE:BAH) to $86 from $79, citing backlog growth. The stock trades at $82.34 with a $9.76B market cap. National Security revenue grew 6%, but total revenue declined 6.19% YoY. Analysts have mixed outlooks, with TD Cowen upgrading to Buy and BofA lowering its target to $68.
How this was made
The 30-second read
Why it matters
Analyst upgrades and target raises may attract buying interest, while the downgrade could limit upside, leading to a potentially volatile trading day.
Market read
Analyst actions provide fresh guidance that can influence BAH's short-term price movement.
What to watch
Tax benefits from FDII planning and the impact of the Ultra acquisition on future earnings.
Background
The article reports recent analyst rating and price target changes for Booz Allen Hamilton after its fiscal Q2 earnings beat and backlog growth.
Ticker impact
UBS raised its price target to $86, TD Cowen upgraded to Buy with a $95 target, and BofA cut its target to $68, all following the latest earnings beat and backlog growth.
potential upside pressure from the target raises and upgrade, tempered by downside from the downgrade
Price target changes and rating upgrades/downgrades are fresh analyst actions that can move the stock in the short term.
Market effects
Backlog growth signals strength in the defense sector, potentially benefiting peers.
U.S. defense contractors may see modest interest as analysts adjust expectations.
Limited to U.S. defense and government contracting markets.
Counterpoint
Despite the earnings beat, the revenue decline and civil business headwinds could justify a more cautious stance.
Key entities
- analystUBS
Raised price target to $86, maintains Neutral rating.
- analystTD Cowen
Upgraded rating to Buy, raised target to $95.
- analystBofA Securities
Lowered price target to $68, maintains Underperform rating.
