RESTON, Va. - CACI International Inc (NYSE: CACI) has completed the acquisition of Applied Insight, a company specializing in cloud migration and transformation services for the Department of Defense (DoD) and Intelligence Communities (IC). The all-cash transaction is aimed at strengthening CACI's position in delivering technology and expertise for national security challenges.
John Mengucci, President and CEO of CACI, emphasized that the acquisition would enhance the company's ability to modernize enterprise IT infrastructure across secure networks, thereby improving decision-making and mission outcomes for analysts and warfighters globally.
The synergy between CACI and Applied Insight is highlighted by their shared focus on deep technical expertise and customer knowledge, as well as employee-centric cultures dedicated to national security.
Mengucci welcomed Applied Insight's employees to CACI, expressing confidence in their potential for success within the company's culture.
CACI is recognized for its commitment to innovation and excellence, earning accolades such as a Fortune World's Most Admired Company. It is also listed among the Fortune 1000 Largest Companies, the Russell 1000 Index, and the S&P MidCap 400 Index.
The acquisition's financial details were not disclosed. However, CACI has cautioned that certain statements regarding the acquisition could be seen as forward-looking and are subject to factors that could cause actual results to differ from expectations. These factors include those outlined in CACI’s Annual Report on Form 10-K for the fiscal year ended June 30, 2024, and subsequent filings with the Securities and Exchange Commission.
This news is based on a press release statement from CACI International Inc.
In other recent news, CACI International has secured two significant task orders, one valued at $314 million from the U.S. Navy for engineering services and technology support, and another worth $273 million from the U.S. Army Intelligence and Security Command for intelligence support services. These developments were followed by the announcement of CACI's intention to acquire Azure Summit Technology for $1.275 billion, a move expected to enhance its defense technology capabilities. Analysts from BofA Securities, TD Cowen, and Baird have expressed confidence in CACI's strategic decisions, with BofA Securities raising its price target to $555. CACI's recent financial performance showed a 20% increase in Q4 revenue and a 14% rise for the full fiscal year. For fiscal year 2025, CACI projects a revenue growth of 6% to 8.5%, with revenue estimated to be between $7.9 billion and $8.1 billion, and adjusted net income projected between $505 million and $525 million. These recent developments provide a snapshot of CACI's current activities.
InvestingPro Insights
CACI International Inc's recent acquisition of Applied Insight aligns well with the company's strong financial performance and market position. According to InvestingPro data, CACI has demonstrated impressive growth, with a revenue increase of 14.28% over the last twelve months, reaching $7.66 billion. This growth trajectory is further emphasized by a robust quarterly revenue growth of 19.68% in Q4 2024, indicating the company's successful expansion strategies.
The acquisition is likely to contribute to CACI's already solid profitability. With an operating income of $649.71 million and an EBITDA of $791.85 million in the last twelve months, CACI has shown its ability to generate substantial earnings from its operations. This financial strength provides a solid foundation for integrating Applied Insight and potentially realizing synergies in cloud migration and transformation services for defense and intelligence sectors.
InvestingPro Tips highlight CACI's strong market performance, noting that the stock is trading near its 52-week high and has shown a high return over the last year. This positive momentum is reflected in the stock's impressive 60.72% price return over the past year. Additionally, CACI's profitability over the last twelve months and analysts' predictions of continued profitability this year suggest that the company is well-positioned to leverage this acquisition for further growth.
It's worth noting that InvestingPro offers 13 additional tips for CACI, providing investors with a comprehensive analysis of the company's financial health and market position. These insights can be valuable for understanding the full impact of strategic moves like the Applied Insight acquisition.
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