| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 83 | 15.2x | 17.8x | Top tier | |
Growth | 22 | -0.8% | 7.1% | Bottom tier | |
Quality | 71 | 12.0% | 4.5% | Top tier | |
Safety | 56 | 3.5x | 2.6x | Around median | |
Capital Return | 61 | 1.13% | 2.12% | Around median | |
Momentum | 89 | 6.6% | 2.9% | Top tier | |
Sentiment | 76 | 7 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Science Applications International Corporation provides advanced engineering and technology services to government agencies in the defense, intelligence, and civilian markets, combining software, hardware, and specialized expertise to execute national security missions. Its activities mentioned in the fiscal Q2 2027 call include systems integration for the Army, border security programs, intelligence space engineering, artificial intelligence applications, and quantum solutions, while revenue comes from executing existing contracts, winning new contracts, and recompeting for current programs.
In fiscal Q2 2027, ended July 31, 2026, SAIC recorded revenue of $1.9 billion, with reported growth of 6.3% and organic growth of approximately 5.3%. Gross profit was $239 million, equivalent to a calculated gross margin of approximately 12.6%, net income was $102 million, and EDGAR EPS was $2.38, while adjusted EPS was $3.01, exceeding the analyst estimate of $2.25. The company also recorded adjusted earnings before interest, taxes, depreciation, and amortization of $193 million and an adjusted margin of 10.3%, with growth split between a 5% increase in defense and intelligence and 9% in civilian operations, despite a 20% year-over-year decline in net income.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $117, compared with a wide range of $95 to $154 and a neutral consensus, while the average is below the 52-week range high of $142.66 and above its low of $81.08. No P/E ratio is available in the data, so the valuation rests on SAIC's ability to offset pressure from the RITS contract, convert delayed bookings into revenue, and achieve the margin trajectory from the mid-10% range in fiscal 2028 to approximately 11% in fiscal 2030.
Figures in the text are as of 2026-09-02; the live price is shown at the top of the page.
SAIC recorded revenue of $1.9 billion in fiscal Q2 2027, ended July 31, 2026, with reported growth of 6.3% and organic growth of approximately 5.3%. Gross profit was $239 million and net income was $102 million, while EDGAR EPS was $2.38. Adjusted EPS was $3.01, exceeding the analyst estimate of $2.25, but net income declined 20% year over year.
Growth came from improved spending on existing contracts, with growth within contracts reaching 9% in fiscal Q2 2027. Programs won by SAIC in fiscal 2025 and 2026 generated approximately $240 million in the first half, and the company expects them to reach $500 million during fiscal 2027. Defense and intelligence revenue also grew 5% and civilian operations grew 9%, while the company booked $1.6 billion in intelligence space engineering awards during the first half.
The expiration of the RITS contract imposes approximately 350 basis points of pressure on revenue growth in the second half of fiscal 2027. Accordingly, the guidance midpoint of $7.25 billion includes annual organic performance ranging from a 2% contraction to flat growth, despite the strength of Q2. Management also expects margins to decline to the high-9% range due to targeted investments in areas of increasing demand and strategic importance.
SAIC is targeting annual run-rate savings of approximately $150 million by the end of Project Orbit's three-year implementation period. The company plans to reinvest approximately $100 million of those savings in new initiatives, increased capacity on current contracts, and improved competitiveness, while the remainder supports margin expansion. Management is targeting a margin in the mid-10% range in fiscal 2028 and a path to approximately 11% in fiscal 2030.
The book-to-bill ratio was 0.6 times in fiscal Q2 2027 and 0.8 times for the twelve months ended that quarter. The company attributed this to delays in requests for proposals and awards and said the ratio would have approached 1.0 times if not for the delay of a major recompete contract that was booked two days after the quarter closed. In contrast, the recompete win rate exceeded 90%, and the company is targeting a win rate of at least 30% in new business.
The analyst consensus on SAIC is neutral, and the average price target is $117. The target range extends from $95 to $154, revealing significant differences in estimates of the impact of contract growth, Project Orbit, and pressure from the RITS contract. The average target is below the 52-week range high of $142.66, and no P/E ratio is available in the data to provide an additional valuation anchor.
