SAIC's $130B Pipeline Boosts Outlook, Booz Allen Faces Valuation Challenge, Says JP Morgan
SAIC's $130B Pipeline Boosts Outlook, Booz Allen Faces Valuation Challenge, Says JP Morgan
Seifman writes that they see it in the qualified pipeline growing from approximately $115 billion in FY24 to $130 billion and in the planned increase in submitted bids from $17 billion last year to $22 billion this year.JP Morgan analyst Seth M. Seifman changed the rating on federal IT services companies, Science Applications International Corporation (NASDAQ:SAIC) and Booz Allen Hamilton Holding Corporation (NYSE:BAH).
JP Morgan分析師Seth M. Seifman改變了對聯邦IT服務公司科學應用國際公司（納斯達克：SAIC）和Booz Allen Hamilton控股公司（紐交所：BAH）的評級。
The analyst upgraded Science Applications to Overweight from Neutral and raised the price target to $170 from $150.
分析師將科學應用公司的評級從中立調升至增持，並將目標股價從150美元提高至170美元。
During the April Investor Day, management emphasized plans to transition SAIC toward higher-value work, which is still in its early stages. Meanwhile, the analyst notes that last quarter's results showed that SAIC is progressing.
在4月的投資者日上，管理層強調了將SAIC轉向更高價值工作的計劃，目前仍處於早期階段。與此同時，分析師指出上一季度的業績表現顯示SAIC正在取得進展。
Seifman writes that they see it in the qualified pipeline growing from approximately $115 billion in FY24 to $130 billion and in the planned increase in submitted bids from $17 billion last year to $22 billion this year.
Seifman寫道，他們看到合格的銷售訂單從約1150億美元增至到1300億美元，並計劃遞交投標額從去年的170億美元增至今年的220億美元。
The analyst says that SAIC must secure new contracts and effectively execute them, as some projects may carry higher risks and technical demands, though they offer the potential for improved margins.
分析師表示，SAIC必須獲得新合同並有效執行，因爲一些項目可能承載更高的風險和技術需求，儘管這些項目有望提高利潤率。
Seifman says that SAIC should overcome challenges from lost recompetes that are currently suppressing organic growth by about five points this fiscal year. However, the risk of recompete losses is expected to decline next year, adds the analyst.
Seifman表示SAIC應該克服由於目前約減五個百分點的有機增長，出現的從頭再來的挑戰。然而，分析師補充說，明年再度競標損失的風險預計將下降。
Also Read: Deep Dive Into Booz Allen Hamilton Stock: Analyst Perspectives (8 Ratings)
此外閱讀：深入研究Booz Allen Hamilton股票：分析師觀點（8個評級）
On the other hand, Seifman downgraded Booz Allen Hamilton to Underweight from Neutral but raised the price target to $158 from $154.
另一方面，Seifman將Booz Allen Hamilton的評級從中立調降至賣出，但將目標股價從154美元提高至158美元。
BAH has experienced several quarters of exceptional growth, but the analyst expects this growth to normalize to a level more in line with peers, which may pose a challenge for its relative valuation.
BAH經歷了幾個季度的異常增長，但分析師預計這種增長將趨於正常，與同行更加接近，這可能會對其相對估值構成挑戰。
The analyst says that last quarter, the company reported a revenue shortfall, excluding billable expenses, along with higher-than-expected costs, resulting in an adjusted EBITDA miss. Despite this, the stock has rebounded to an all-time high.
分析師表示，上個季度，該公司報告了營業收入短缺，不包括可計費費用，以及超出預期的成本，導致調整後的EBITDA不達預期。儘管如此，該股已反彈至歷史新高。
The analyst's fiscal second-quarter estimate aligns with consensus, and they do not view this quarter as a negative catalyst.
分析師的財季第二季度估計與共識一致，他們認爲這一季度不會成爲負面催化劑。
However, Seifman notes BAH faces a high bar for performance and could be vulnerable to signs of decelerating growth.
然而，Seifman指出BAH面臨着高績效標準，並可能對增長放緩的跡象持有脆弱態度。
Price Action: BAH shares are down 1.01% at $161.74, while SAIC shares are up 0.86% at $141.99 at the last check Wednesday.
股價走勢：BAH股價下跌1.01%，爲161.74美元，而science applications international股價上漲0.86%，報141.99美元，在上週三的最新檢查時。
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