Add as a preferred source on GoogleTruist Upgrades Booz Allen Hamilton to Buy on Federal Outlook
The rating change reflects signs that federal civilian spending may be nearing a bottom and that fixed-price contracts could improve margins by 70 basis points.
Truist Securities upgraded Booz Allen Hamilton Holding Corp. to Buy from Hold. Federal civilian spending may be nearing a bottom, and the contractor has room to improve profit margins.
The rating change applies to Booz Allen Hamilton (BAH) and reflects a potentially stabilizing civilian business. The company’s shift toward fixed-price contracts could expand its operating margin by 70 basis points if it meets its conversion goals.
National-security demand is also improving, while high bookings are expected to support mid-single-digit revenue growth in that segment.
The report was published Oct. 8 at 8:29 a.m. ET (12:29 UTC).
Enna Lee
ReporterEnna Lee reports on investing and digital-asset markets for TokenPost. Send corrections or tips to info@tokenpost.com.