New contracts boost Leidos’s appeal

Article Excerpt

LEIDOS HOLDINGS $62 (New York symbol LDOS; Manufacturing sector; Shares outstanding: 151.2 million; Market cap: $9.5 billion; Dividend yield: 2.1%; Takeover Target Rating: Highest; TSINetwork Rating: Average; www.leidos.com) is a Virginia-based provider of information technology services to three main groups of clients: The Defence and Intelligence segment (48% of revenue) provides software and systems for air, land, sea, space and cyberspace surveillance; and security and controls for the U.S. intelligence community, the military services and the U.S. Department of Homeland security. The Civil unit (33%) provides a range of systems and support services for aviation, facility and campus management, energy engineering and environmental management. The Health segment (19%) provides services, systems and software to commercial hospitals and the U.S. Department of Defense as well as conducts research and development for U.S. government and commercial enterprises in the life sciences field. Lockheed Martin (New York symbol LMT) separated its Information Systems & Global Solutions (IS&GS) business and merged it with Leidos in August 2016 through…