Leidos Holdings (LDOS) Soars 2.09% on Earnings Surprise

Leidos Holdings (LDOS) shares surged 2.09% today, marking an eighth consecutive day of gains and an 8.56% increase over the past eight days. The stock price reached its highest level since January 2025, with an intraday gain of 2.13%.

The strategy of buying LDOS shares after they reached a recent high and holding for 1 week showed underperformance over the past 5 years. The annualized return was -1.2%, significantly lower than the market average. This indicates that relying on recent highs as a buying trigger and holding for a short duration is not an effective strategy for LDOS.

Leidos Holdings' stock price is poised for a positive shift due to several key factors. The company has a strong track record of exceeding earnings estimates, with an average surprise of 14.48% over the past two quarters. In the last reported quarter, Leidos achieved an earnings per share of $2.97, surpassing the consensus estimate of $2.47 by 20.24%. This positive performance has contributed to a bullish outlook on its near-term earnings potential.

Additionally, six analysts have revised their earnings estimates upwards for fiscal 2025 in the last 60 days, leading to an increase in the consensus estimate by $0.24 to $10.75 per share. This upward revision reflects growing confidence in the company's future performance and indicates positive momentum in the market.

Leidos Holdings has also demonstrated strong stock movement in recent trading sessions, outperforming the broader market and showing consistent increases in its closing prices. These factors collectively suggest a favorable outlook for Leidos Holdings, potentially driving its stock price higher in the near term.