-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
LDOS delivered solid Q1 results with adjusted EPS of $3.13 vs $2.97 prior year, beating consensus by $0.22. Revenue grew 4% Y/Y (+3% organic) to $4.40B, exceeding estimates by $110M, driven by Intelligence, commercial energy infrastructure, and air traffic management demand. The quarter's standout performance was exceptional cash generation, with operating cash flow reaching $301M vs $58M prior year and free cash flow improving to $270M from $36M, delivering 67% conversion driven by solid EBITDA generation and effective working capital management. However, adjusted EBITDA margin contracted 20 bps to 14.0% due to acquisition-related costs. Net bookings of $3.3B resulted in quarterly book-to-bill of 0.8x, though trailing-12-month ratio remained healthy at 1.1x. Total backlog reached $48.4B with funded backlog of $9.6B, representing 4% and 31% Y/Y growth respectively, providing enhanced revenue visibility going forward.