Leidos Holdings to Report Q1 Earnings: What's in the Cards?

Leidos Holdings, Inc. LDOS is scheduled to release first-quarter 2025 results on May 6, before market open.The company boasts a four-quarter average earnings surprise of 28.34%. Solid sales growth expectations, along with strong adjusted EBITDA generation, are likely to have contributed favorably to the bottom line.(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)Factors Likely to Influence LDOS’ Q1 ResultsNet increase in volumes of certain programs and net write-ups are likely to have boosted the National Security and Digital segment’s top-line performance in the first quarter.The Zacks Consensus Estimate for this segment’s revenues is pegged at $1.85 billion, which indicates growth of 3.1% from the year-ago quarter’s figure.Higher demand for the company’s managed health services, along with an increase in net write-ups on certain programs, is likely to have boosted the Health & Civil segment’s top-line performance.The Zacks Consensus Estimate for this segment’s revenues is pegged at $1.22 billion, which indicates growth of 1.6% from the year-ago quarter’s figure.Higher volumes from certain programs and growth across all business areas within this segment are likely to have boosted the Commercial & International unit’s top-line performance.The Zacks Consensus Estimate for this segment’s revenues is pegged at $536 million, which indicates growth of 5.3% from the year-ago quarter’s figure.Higher volumes from the IFPC Enduring Shield program are likely to have boosted the Defense Systems’ top-line performance.The Zacks Consensus Estimate for this segment’s revenues is pegged at $493.6 million, which indicates growth of 4.1% from the year-ago quarter’s figure.Leidos Holdings, Inc. Price and EPS Surprise Leidos Holdings, Inc. price-eps-surprise | Leidos Holdings, Inc. QuoteQ1 EstimatesThe robust revenue performance in all four of its major business segments is likely to have bolstered LDOS’ overall top line.The Zacks Consensus Estimate for revenues is pegged at $4.08 billion, indicating an increase of 2.7% from the year-ago level.Solid sales growth expectations, along with strong adjusted EBITDA generation, are likely to have contributed favorably to the company’s bottom line.The Zacks Consensus Estimate for earnings is pegged at $2.47 per share, indicating growth of 7.9% from the figure recorded a year ago.Backlog Projections Suggest GrowthOur model expects Leidos’ backlog to increase 1.4% year over year to $37.07 billion.What the Zacks Model UnveilsOur proven model does not conclusively predict an earnings beat for LDOS this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is not the case here, as you will see below.Earnings ESP: Leidos has an Earnings ESP of -0.03%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.Zacks Rank: LDOS currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.Stocks to ConsiderBelow, we have mentioned players from the same sector that have the right combination of elements to beat on earnings in the upcoming releases.Axon Enterprise AXON is set to report first-quarter 2025 earnings on May 7, 2025, after market close. It has an Earnings ESP of +9.28% and a Zacks Rank of 2 at present.The Zacks Consensus Estimate for AXON’s earnings is pegged at $1.27 per share, indicating year-over-year growth of 10.4%. The consensus estimate for its sales is pegged at $589.1 million, indicating year-over-year growth of 27.9%.CAE CAE is set to report its fiscal fourth-quarter 2025 results on May 13, after market close. It has an Earnings ESP of +4.91% and a Zacks Rank of 3 at present.The Zacks Consensus Estimate for CAE’s earnings is pegged at 31 cents per share, indicating year-over-year growth of 244.4%. The consensus estimate for its sales is pegged at $906.7 million, indicating year-over-year growth of 8.5%.Transdigm Group TDG is expected to report fiscal second-quarter earnings on May 6, before market close. It has an Earnings ESP of +6.22% and carries a Zacks Rank of 3 at present.The Zacks Consensus Estimate for TDG’s earnings is pegged at $8.85 per share, indicating year-over-year growth of 10.8%. The consensus estimate for sales is pegged at $2.17 billion, indicating year-over-year growth of 12.9%.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Transdigm Group Incorporated (TDG): Free Stock Analysis Report CAE Inc (CAE): Free Stock Analysis Report Leidos Holdings, Inc. (LDOS): Free Stock Analysis Report Axon Enterprise, Inc (AXON): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks