Why Leidos Stock Is Higher Today
Government information technology (IT) and defense vendor Leidos Holdings (NYSE: LDOS) easily topped quarterly expectations and raised guidance for the full year. Investors are buying in, sending shares of Leidos up 7% in the first half hour of trading on Tuesday.
Although most of the attention is focused on Palantir Technologies, Leidos is actually the largest provider of tech and systems management for the Pentagon and other government agencies. The company earned $2.29 per share in the first quarter on revenue of $3.98 billion, topping Wall Street's consensus $1.70 per share in earnings on sales of $3.8 billion. Revenue was up 7% year over year, led by significant strength in the company's health and civil agency business.
"Our strong start to the year demonstrates the team's ability to deliver for its employees, customers, and shareholders," CEO Thomas Bell said in a statement. "We fully expect that 2024 will showcase our commitment to profitable growth."
Source Fool.com
