Booz Allen (NYSE:BAH) Hamilton Holding Corp's (NYSE:BAH) Executive Vice President and Chief Financial Officer, Matthew Calderone, has sold 3,865 shares of the company's Class A Common Stock for a total value of $618,400. The transaction took place on September 23, 2024, at a price of $160 per share.
The sale was conducted according to a Rule 10b5-1 trading plan, which Calderone had adopted earlier on June 5, 2024. Following the sale, Calderone's remaining holdings in the company include 33,683 shares of Class A Common Stock, a portion of which consists of restricted stock units.
Investors often monitor insider transactions as they can provide insights into how executives perceive the company's stock value and future prospects. While the reasons for Calderone's sale are not disclosed, the execution of the trade under a pre-arranged trading plan provides a structured approach for insiders to sell shares over a determined period of time, reducing the potential for market speculation or concerns about the timing of such transactions.
Booz Allen Hamilton Holding Corp , headquartered in McLean, Virginia, is known for providing management consulting services to governments, corporations, and not-for-profit organizations. The company's stock is publicly traded under the ticker symbol BAH on the New York Stock Exchange.
Investors and stakeholders of Booz Allen Hamilton will continue to observe insider transaction activity as part of their analysis of the company's financial health and management actions.
In other recent news, Booz Allen Hamilton has been making significant strides in its business operations. Truist Securities has maintained a Hold rating on the company's stock, raising the price target from $140 to $165. This comes after a robust Q1 FY2025 earnings report, revealing a total revenue of $2.9 billion, marking a year-over-year increase of 11%. Despite a 3% decline in the intelligence sector, the defense business saw a 16% surge in revenue.
The company has also secured several significant contracts. These include a $1.2 billion task order from the U.S. Department of Homeland Security to bolster the country's cyber defense, and a $506 million contract with the U.S. Army, marking the company's largest Information Analysis Center Multiple Award Contract Task Order to date. TD Cowen maintains a Buy rating and $165.00 price target, suggesting that Booz Allen is likely to meet or exceed expectations in the upcoming quarter.
Moreover, Booz Allen Hamilton has appointed Bill Vass as the new Chief Technology Officer. These recent developments underscore the company's ongoing commitment to advancing technology solutions for the U.S. Department of Defense and delivering on its financial goals.
InvestingPro Insights
As investors digest the news of Executive Vice President and Chief Financial Officer Matthew Calderone's recent sale of Booz Allen Hamilton (NYSE:BAH) shares, it's worth considering the company's financial health and market performance through key metrics. Booz Allen Hamilton has a robust market capitalization of $20.67 billion, reflecting its significant presence in the consulting industry.
The company's commitment to shareholder returns is evident, with a track record of raising its dividend for 8 consecutive years and maintaining dividend payments for 13 consecutive years, indicating a stable and shareholder-friendly policy. This is underscored by a dividend yield of 1.28%, which may appeal to income-focused investors. These are among several InvestingPro Tips, which provide deeper insights into the company's financials and market position. In fact, there are 13 additional InvestingPro Tips available for Booz Allen Hamilton, which can be found at https://www.investing.com/pro/BAH.
From a valuation perspective, Booz Allen Hamilton is trading at a P/E ratio of 34.31, which is considered low relative to its near-term earnings growth, suggesting potential undervaluation. This is complemented by a PEG ratio of 0.31 for the last twelve months as of Q1 2025, pointing to a favorable growth trajectory when factoring in earnings growth. Additionally, the company's price is at 97.25% of its 52-week high, indicating strong investor confidence and a recent positive performance trend.
Investors will also note the company's revenue growth of 13.3% over the last twelve months as of Q1 2025, a sign of Booz Allen Hamilton's ability to expand its business and increase sales effectively. With these financial indicators in mind, stakeholders can gain a comprehensive understanding of Booz Allen Hamilton's current market standing and future potential.
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