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Leidos secures $13.7M Army National Guard aviation training deal

EditorIsmeta Mujdragic
Published 04/09/2024, 08:21 AM
LDOS
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RESTON, Va. - Leidos (NYSE:LDOS), a company known for its focus on national security and health, has been awarded a prime contract to provide aviation training services and operational support for the Army National Guard. The contract, valued at approximately $13.7 million, is set to last for one year and is structured as a cost-plus-award-fee agreement.

Under the terms of the contract, Leidos will be responsible for supporting aviation institutional training for both officers and enlisted personnel. The scope of services includes flight and simulation training, classroom instruction, and information technology support. Additionally, the company will assist with the integration of the One Army School System (OASS) and maintain Aviation Life Support Equipment (ALSE).

Tim Freeman, Leidos senior vice president and airborne systems business area lead, expressed the company's commitment to enhancing the National Guard's readiness. COL A.C. Schilleci, Army National Guard chief aviation and safety division, also commented on the partnership, noting Leidos' capabilities in meeting the Guard's training requirements for Large Scale Combat Operations in a multi-domain operational environment.

Leidos, headquartered in Reston, Virginia, employs a global workforce of approximately 47,000. The company reported annual revenues of around $15.4 billion for the fiscal year ending December 29, 2023. It is recognized for its contributions to heavily regulated industries and is tackling some of the most challenging problems in the realms of national security and health.

The information for this report is based on a press release statement from Leidos Holdings (NYSE:LDOS), Inc.

InvestingPro Insights

Leidos (NYSE:LDOS), a key player in the Professional Services industry, has recently secured a prime contract to support the Army National Guard, which complements its robust portfolio of services. With a market capitalization of $17.45 billion and annual revenues approximating $15.4 billion, Leidos demonstrates a stable financial standing. The company's commitment to dividend growth is evident, as it has raised its dividend for 5 consecutive years and maintained payments for 13 consecutive years, showcasing a reliable return to investors.

InvestingPro data indicates that Leidos has a Price/Earnings (P/E) ratio of 25.09 based on the last twelve months as of Q4 2023. This high earnings multiple may reflect market confidence in the company's future growth prospects, which is supported by analysts' expectations of net income growth this year. Additionally, the company's stock has experienced a significant price uptick over the last six months, with a 37.77% total return, and is trading near its 52-week high, currently at 98.28% of this peak.

InvestingPro Tips suggest that while Leidos is trading at a high Price/Book multiple of 4.15, it operates with a moderate level of debt, which could be a sign of prudent financial management. However, the company does face challenges with weak gross profit margins, currently at 14.54%. Investors should note that there are 9 additional InvestingPro Tips available, which could provide deeper insights into Leidos' performance and potential investment opportunities. To access these tips and more, visit InvestingPro and consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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