(SAIC) Science Applications - Overview
Sector: Technology | Industry: Information Technology Services | Exchange: NASDAQ (USA) | Market Cap: 4.106m USD | Total Return: -15.4% in 12m
Avg Turnover: 43.2M
EPS Trend: 83.2%
Qual. Beats: 1
Rev. Trend: -66.1%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Science Applications International Corporation (SAIC) is a Reston, Virginia-based provider of technical, engineering, and enterprise IT services primarily serving the U.S. government. The company operates through two core segments: Defense and Intelligence, and Civilian. Its portfolio includes IT modernization, digital engineering, artificial intelligence solutions, and mission systems support for various branches of the military and federal agencies such as NASA and the Department of State.
The government services sector typically relies on long-term, multi-year contracts that provide high revenue visibility but are subject to federal budget cycles and procurement shifts. As a prime contractor, SAIC utilizes a business model focused on high-end systems integration, managing complex IT infrastructure and cybersecurity frameworks for the Department of Defense and the Intelligence Community.
Investors may find additional valuation metrics and historical performance data on ValueRay to assist in their due diligence.
- Growth in Department of Defense spending on CJADC2 and digital engineering programs
- Shift toward high-margin systems integration and AI services improves EBITDA margins
- Backlog conversion rates and contract win velocity dictate near-term revenue growth
- Federal budgetary cycles and continuing resolutions impact award timing and cash flow
- Competitive labor market for cleared technical talent increases operating cost pressures
| Net Income: 358.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA 2.64 > 1.0 |
| NWC/Revenue: 2.71% < 20% (prev -3.24%; Δ 5.95% < -1%) |
| CFO/TA 0.11 > 3% & CFO 609.0m > Net Income 358.0m |
| Net Debt (2.72b) to EBITDA (660.0m): 4.12 < 3 |
| Current Ratio: 1.20 > 1.5 & < 3 |
| Outstanding Shares: last quarter (45.4m) vs 12m ago -7.35% < -2% |
| Gross Margin: 12.01% > 18% (prev 0.12%; Δ 1.19k% > 0.5%) |
| Asset Turnover: 137.0% > 50% (prev 142.6%; Δ -5.55% > 0%) |
| Interest Coverage Ratio: 3.99 > 6 (EBITDA TTM 660.0m / Interest Expense TTM 128.0m) |
| A: 0.04 (Total Current Assets 1.18b - Total Current Liabilities 982.0m) / Total Assets 5.35b |
| B: 0.28 (Retained Earnings 1.49b / Total Assets 5.35b) |
| C: 0.10 (EBIT TTM 511.0m / Avg Total Assets 5.30b) |
| D: 0.39 (Book Value of Equity 1.50b / Total Liabilities 3.85b) |
| Altman-Z'' = 2.21 = BBB |
| DSRI: 0.88 (Receivables 853.0m/1.00b, Revenue 7.26b/7.48b) |
| GMI: 0.99 (GM 12.01% / 11.93%) |
| AQI: 0.99 (AQ_t 0.72 / AQ_t-1 0.73) |
| SGI: 0.97 (Revenue 7.26b / 7.48b) |
| TATA: -0.05 (NI 358.0m - CFO 609.0m) / TA 5.35b) |
| Beneish M = -3.21 (Cap -4..+1) = AA |
As of May 25, 2026, the stock is trading at USD 100.01 with a total of 400,762 shares traded.
Over the past week, the price has changed by +7.62%,
over one month by +4.60%,
over three months by +14.64% and
over the past year by -15.42%.
Science Applications has received a consensus analysts rating of 3.42. Therefore, it is recommended to hold SAIC.
- StrongBuy: 2
- Buy: 2
- Hold: 7
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 109.8 | 9.8% |
P/E Trailing = 12.3714
P/E Forward = 10.0
P/S = 0.5654
P/B = 2.7384
P/EG = 3.67
Revenue TTM = 7.26b USD
EBIT TTM = 511.0m USD
EBITDA TTM = 660.0m USD
Long Term Debt = 2.47b USD (from longTermDebt, last quarter)
Short Term Debt = 40.0m USD (from shortTermDebt, last quarter)
Debt = 2.90b USD (from shortLongTermDebtTotal, last quarter) + Leases 198.0m
Net Debt = 2.72b USD (calculated: Debt 2.90b - CCE 182.0m)
Enterprise Value = 6.83b USD (4.11b + Debt 2.90b - CCE 182.0m)
Interest Coverage Ratio = 3.99 (Ebit TTM 511.0m / Interest Expense TTM 128.0m)
EV/FCF = 11.21x (Enterprise Value 6.83b / FCF TTM 609.0m)
FCF Yield = 8.92% (FCF TTM 609.0m / Enterprise Value 6.83b)
FCF Margin = 8.39% (FCF TTM 609.0m / Revenue TTM 7.26b)
Net Margin = 4.93% (Net Income TTM 358.0m / Revenue TTM 7.26b)
Gross Margin = 12.01% ((Revenue TTM 7.26b - Cost of Revenue TTM 6.39b) / Revenue TTM)
Gross Margin QoQ = 12.63% (prev 12.17%)
Tobins Q-Ratio = 1.28 (Enterprise Value 6.83b / Total Assets 5.35b)
Interest Expense / Debt = 4.41% (Interest Expense 128.0m / Debt 2.90b)
Taxrate = 14.14% (14.0m / 99.0m)
NOPAT = 438.7m (EBIT 511.0m * (1 - 14.14%))
Current Ratio = 1.20 (Total Current Assets 1.18b / Total Current Liabilities 982.0m)
Debt / Equity = 1.94 (Debt 2.90b / totalStockholderEquity, last quarter 1.50b)
Debt / EBITDA = 4.12 (Net Debt 2.72b / EBITDA 660.0m)
Debt / FCF = 4.47 (Net Debt 2.72b / FCF TTM 609.0m)
Total Stockholder Equity = 1.51b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.75% (Net Income 358.0m / Total Assets 5.35b)
RoE = 23.73% (Net Income TTM 358.0m / Total Stockholder Equity 1.51b)
RoCE = 12.85% (EBIT 511.0m / Capital Employed (Equity 1.51b + L.T.Debt 2.47b))
RoIC = 10.32% (NOPAT 438.7m / Invested Capital 4.25b)
WACC = 5.36% (E(4.11b)/V(7.01b) * Re(6.48%) + D(2.90b)/V(7.01b) * Rd(4.41%) * (1-Tc(0.14)))
Discount Rate = 6.48% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -95.56 | Cagr: -6.88%
[DCF] Terminal Value 77.97% ; FCFF base≈548.6m ; Y1≈628.9m ; Y5≈925.5m
[DCF] Fair Price = 260.0 (EV 13.9b - Net Debt 2.72b = Equity 11.2b / Shares 43.1m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 83.20 | EPS CAGR: 13.26% | SUE: 1.56 | # QB: 1
Revenue Correlation: -66.09 | Revenue CAGR: -1.61% | SUE: 0.10 | # QB: 0
EPS current Quarter (2026-07-31): EPS=2.30 | Chg30d=-0.58% | Revisions=+0% | Analysts=8
EPS current Year (2027-01-31): EPS=9.63 | Chg30d=+0.17% | Revisions=+25% | GrowthEPS=-10.4% | GrowthRev=-2.0%
EPS next Year (2028-01-31): EPS=10.80 | Chg30d=+1.53% | Revisions=+33% | GrowthEPS=+12.1% | GrowthRev=+1.7%
[Analyst] Revisions Ratio: +33%