Leidos Holdings' Quarterly Earnings Preview: What You Need to Know

With a market cap of $15.6 billion, Leidos Holdings, Inc. (LDOS) is a global science and technology leader serving government and commercial customers across defense, intelligence, civil, health, and international markets. The company delivers advanced solutions in areas such as cybersecurity, digital modernization, data analytics, systems engineering, and mission-critical operations worldwide.

The Reston, Virginia-based company is expected to release its fiscal Q3 2026 results before the market opens on Tuesday, Nov. 3. Ahead of this event, analysts project LDOS to report an adjusted EPS of $3.06, a marginal rise from $3.05 in the year-ago quarter. The company has exceeded Wall Street's bottom-line estimates in each of the last four quarters. 

For fiscal 2026, analysts forecast the security and engineering company to post adjusted EPS of $12.36, up 3.1% from $11.99 in fiscal 2025. 

LDOS stock has decreased 31.7% over the past 52 weeks, lagging behind the broader S&P 500 Index's ($SPX) 16.8% return and the State Street Industrial Select Sector SPDR ETF's (XLI) 11.7% gain over the same period. 

Leidos Holdings shares jumped 10% on Aug. 4 after the defense contractor raised the lower end of its 2026 adjusted EPS forecast to $12.20, while maintaining the upper end at $12.50, putting the forecast midpoint above analysts’ expectations. Investor sentiment was further boosted by strong Q2 2026 results, with revenue rising 7% year-over-year to $4.56 billion, beating Wall Street’s estimate. 

The company also raised its full-year revenue forecast to $18.2 billion - $18.4 billion, citing robust demand for defense technology, intelligence mission support, energy solutions, and air traffic management amid heightened geopolitical tensions and expectations of a proposed $1.5 trillion U.S. military budget for fiscal 2027.

Analysts' consensus view on LDOS stock is cautiously optimistic, with a "Moderate Buy" rating overall. Among 18 analysts covering the stock, six suggest a "Strong Buy," one gives a "Moderate Buy," and 11 provide a "Hold" rating. This configuration is slightly less bullish than three months ago, with seven analysts suggesting a "Strong Buy."

The average analyst price target is $154.35, suggesting a potential upside of 23.3% from current levels. 

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.