BAHBooz Allen Hamilton Holding Corporation
Is the business good?
The checks split: earnings fully cash-backed (1.3×) and margins widening, but returns that lean on debt.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
Operating margin has widened over the past few years, the business is getting more profitable per dollar of sales.
Leverage-amplified, a high assets-to-equity ratio does much of the work. ROE 77% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is BAH?
Booz Allen Hamilton Holding Corporation earns 18% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 9.1 points above what the capital costs: growth creates value
- Operating margin
- 9.5%
Operating margin · Consulting Services median 10.0% · 12 months to Q1 2027
- Cash conversion
- 1.31×
Cash conversion · 0.92× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −3.5%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2021 | 9.6% |
| FY2022 | 8.2% |
| FY2023 | 4.8% |
| FY2024 | 9.5% |
| FY2025 | 11% |
| FY2026 | 9.2% |
Details›
- Gross margin12 months to Q1 2027
- 53%
- Operating margin12 months to Q1 2027
- 9.5%
- Net margin12 months to Q1 2027
- 7.0%
- Free cash flow margin
- 10%
- Revenue, trailing twelve months
- $11.1B
- Free cash flow, trailing twelve months
- $1.12B
- Net income, trailing twelve months
- $778M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 18%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.