We recently published a list of 8 Stocks on Jim Cramer’s Radar. In this article, we are going to take a look at where Leidos Holdings, Inc. (NYSE:LDOS) stands against other stocks on Jim Cramer’s radar.
When a caller inquired after Cramer’s thoughts on Leidos Holdings, Inc., he said:
“Leidos, I like it. You know, look, I am worried that the defense budget may be cut, but this is homeland security. I think it’s a good opportunity. The stock’s come down a great deal. Let’s pull the trigger.”
A close-up of an engineer working on the development of a new air navigation system.
Leidos offers advanced technology and engineering solutions across defense, cybersecurity, healthcare, energy, and infrastructure, serving both government and commercial clients. The company’s offerings include national security software, air traffic systems, power grid services, and border security technologies.
On May 27, Baird downgraded Leidos to Neutral from Outperform and reduced its target price to $163 from $176. The firm pointed to growing risks in the government services sector and noted a downturn in contract activity beginning in the first quarter. Its research indicates several contracts have been canceled in Q2, federal spending has slowed, and recent IDIQ terminations have impacted the backlog. Given these developments, the firm sees reason to be more reserved on the stock.
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This article is originally published at Insider Monkey.
