RESTON, VA – Natarajan Prabu, the Executive Vice President and Chief Financial Officer of Science Applications (NASDAQ:SAIC) International Corp (NYSE:SAIC), has made a significant investment in the company's stock, according to a recent filing with the Securities and Exchange Commission. The transaction, which took place on June 10, 2024, involved the purchase of 2,000 shares at a price of $114.85 per share, totaling $229,700.
This move by the CFO of SAIC, a prominent player in the computer integrated systems design industry, showcases a strong vote of confidence in the company's future prospects. Following the transaction, Prabu's total holdings in SAIC common stock have increased to 60,630 shares.
Investors often keep a close eye on insider transactions as they can provide insights into the company's health and the confidence level of its senior executives. Prabu's decision to acquire additional shares at the reported price point may be perceived as a positive signal.
The detailed filing did not indicate any sales of stock by Prabu, focusing solely on the purchase. It's worth noting that transactions of this nature are publicly disclosed for transparency and to maintain fair trading practices in the market.
Science Applications International Corp, headquartered in Reston, Virginia, continues to be a key player in its sector, with its executives actively participating in the company's stock market activities. As the market processes this new information, investors and analysts will be watching SAIC's performance and any further insider transactions closely.
For further details on the company's financial movements and executive stock ownership, interested parties can refer to the full SEC Form 4 filing.
In other recent news, Science Applications International Corp. (SAIC) announced solid financial performance for the first quarter of fiscal year 2025. The company reported a revenue of $1.85 billion and an adjusted EBITDA of $166 million, reflecting a 9% margin. As part of its growth strategy, SAIC is targeting a bid volume of $30 billion by fiscal year 2027 and planning to repurchase $350 million to $400 million in shares this fiscal year.
Recent developments at SAIC include a 40 basis point increase in pro-forma organic growth and the execution of a multi-year strategy focused on national imperatives and growth vectors. The company has also reiterated its financial guidance for fiscal year 2025 and expects mid-single-digit growth in the second half of the year.
In analyst notes, the company's first-quarter performance and strategic focus suggest a commitment to long-term growth and market competitiveness. SAIC is also planning for capability-focused mergers and acquisitions and has a strong pipeline to capitalize on opportunities aligned with customer priorities. These are all recent developments that investors should take into account.
InvestingPro Insights
Science Applications International Corp's (NYSE:SAIC) recent insider purchase by CFO Natarajan Prabu is complemented by a broader context of the company's financial health and market performance. According to InvestingPro data, SAIC has a market capitalization of $5.92 billion and is currently trading at a P/E ratio of 13.3, which is notably low relative to near-term earnings growth. This aligns with one of the InvestingPro Tips highlighting the company's trading at a low P/E ratio in comparison to its earnings growth potential.
Moreover, SAIC's management has demonstrated a commitment to shareholder value through aggressive share buybacks and a consistent dividend payment history, having maintained dividend distributions for 12 consecutive years. The company's shareholder yield is considered high, which is another positive aspect for investors, as noted in the InvestingPro Tips. However, it's important to note that seven analysts have revised their earnings expectations downwards for the upcoming period, a factor that investors may want to consider.
The company's stock has experienced a decline over the last month, with a 1-month price total return of -14.35%. Despite this recent performance, the InvestingPro Tips suggest that the stock is currently in oversold territory according to the Relative Strength Index (RSI), which could indicate a potential buying opportunity for investors.
For those looking to delve deeper into SAIC's financials and stock performance, InvestingPro offers additional tips and insights. By using the coupon code PRONEWS24, readers can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, providing access to a wealth of data and expert analysis to inform investment decisions. With 10 more tips available on InvestingPro, investors can gain a comprehensive understanding of SAIC's position in the market.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.