U.S. Markets closed
  • S&P 500

    3,825.33
    +39.95 (+1.06%)
     
  • Dow 30

    31,097.26
    +321.83 (+1.05%)
     
  • Nasdaq

    11,127.84
    +99.11 (+0.90%)
     
  • Russell 2000

    1,727.76
    +19.77 (+1.16%)
     
  • Crude Oil

    108.46
    +2.70 (+2.55%)
     
  • Gold

    1,812.90
    +5.60 (+0.31%)
     
  • Silver

    19.77
    -0.51 (-2.50%)
     
  • EUR/USD

    1.0426
    -0.0057 (-0.5422%)
     
  • 10-Yr Bond

    2.8890
    -0.0830 (-2.79%)
     
  • Vix

    26.70
    -2.01 (-7.00%)
     
  • GBP/USD

    1.2103
    -0.0072 (-0.5930%)
     
  • USD/JPY

    135.1750
    -0.5530 (-0.4074%)
     
  • BTC-USD

    19,257.60
    -139.84 (-0.72%)
     
  • CMC Crypto 200

    420.84
    +0.70 (+0.17%)
     
  • FTSE 100

    7,168.65
    -0.63 (-0.01%)
     
  • Nikkei 225

    25,935.62
    -457.42 (-1.73%)
     

SAIC Wins County of Orange's $64-Million IT Services Contract

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·4 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Science Applications SAIC recently secured a $64-million contract from California’s County of Orange to provide information technology (IT) managed services. Per the firm-fixed-price extended contract, SAIC will offer IT solutions to the county’s agencies and departments.

The contract will ensure efficiency in the county’s operations, including data center, desktop, service desk, applications, networks, voice environment and security. Thereby, it will optimize the county’s cost structures and better serve its residents.

The latest order has a performance period of two years with two one-year options. The move further reinforces SAIC’s position as a reliable IT solution contractor.

The company is focused on the federal government marketplace and capturing more market share. It intends to drive operational excellence by intensively focusing on its organic and inorganic growth strategy and strengthening existing customer relationships while building newer ones. Higher spending as proposed in the latest federal government budget is anticipated to accelerate the pace of contract awards, which will be beneficial for SAIC’s top-line growth.

Science Applications International Corporation Price and Consensus

Science Applications International Corporation Price and Consensus
Science Applications International Corporation Price and Consensus

Science Applications International Corporation price-consensus-chart | Science Applications International Corporation Quote

SAIC won $410 million in contract awards from space and intelligence community organizations for the fourth quarter of fiscal 2022. In December 2021, the company received a $99-million contract from the U.S. Air Force. In the same month, it secured a $1.1-billion contract to produce, assemble, test and deliver the U.S. Navy’s MK 48 MOD 7 Torpedo Afterbody Tailcones (AB/TC) and MK29 Mod 0 Warshot Fuel Tanks.

During fourth-quarter fiscal 2022, SAIC reported revenues of $1.8 billion, witnessing a 4% rise from the year-ago quarter. This was mainly driven by contributions from the newly acquired Halfaker business and the ramp-up of new and existing contracts.

The Zacks Consensus estimate for SAIC’s first-quarter fiscal 2023 revenues is pegged at $1.93 billion, suggesting year-over-year growth of 2.8%.

Zacks Rank & Key Picks

SAIC currently carries a Zacks Rank #3 (Hold). Shares of SAIC have declined 1% in the past year.

Some better-ranked stocks from the broader Computer and Technology sector are Arista Networks ANET and Gogo GOGO, each sporting a Zacks Rank #1 (Strong Buy), and Analog Devices ADI carrying a Zacks Rank of 2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Arista Networks' first-quarter 2022 earnings has been revised upward by 4 cents to 81 cents per share over the past 60 days. For 2022, earnings estimates have moved 4.5% north to $3.69 per share in the past 60 days.

Arista Networks' earnings beat the Zacks Consensus Estimate in the preceding four quarters, the average surprise being 7.7%. Shares of ANET have rallied 60.9% in the past year.

The Zacks Consensus Estimate for Gogo's first-quarter 2022 earnings has been revised a penny downward to 13 cents per share over the past seven days. For 2022, Gogo's earnings estimates have moved north by 25% to 65 cents per share in the past 60 days.

Gogo's earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 65%. Shares of GOGO have soared 123.4% in the past year.

The Zacks Consensus Estimate for Analog Devices' second-quarter fiscal 2022 earnings has been revised upward by 4 cents to $2.12 per share over the past seven days. For fiscal 2022, earnings estimates have moved north by 11 cents to $8.43 per share in the past seven days.

Analog Devices' earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 6%. Shares of ADI have fallen 0.2% in the past year.


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

Analog Devices, Inc. (ADI) : Free Stock Analysis Report

Science Applications International Corporation (SAIC) : Free Stock Analysis Report

Gogo Inc. (GOGO) : Free Stock Analysis Report

Arista Networks, Inc. (ANET) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research