Why SAIC Stock Is Soaring Today

After closing astatine $96.17 connected May 21, shares of Science Applications International (NASDAQ: SAIC) person closed higher during each consequent marketplace session. The inclination seems poised to widen today, with the tech institution specializing successful integer solutions reporting beardown first-quarter 2027 fiscal results this greeting earlier the opening bell.

As of 11:49 a.m. ET, shares of SAIC are up 17.5%.

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A beardown commencement to the fiscal twelvemonth whitethorn conscionable beryllium the opening

Beating analysts' expectations that it would station Q1 2027 gross of $1.82 billion, SAIC reported income of $1.9 billion. And it wasn't lone astatine the apical of the income connection wherever the institution outperformed analysts' expectations. SAIC reported Q1 2027 adjusted net per stock (EPS) of $3.23 -- amended than the $2.28 that analysts had anticipated.

Management besides espoused expanding optimism astir the remainder of fiscal 2027. Whereas it had primitively forecast adjusted net earlier interest, taxes, depreciation, and amortization (EBITDA) of $705 cardinal to $715 million, the institution present projects $720 cardinal to $730 million. Similarly, SAIC raised its adjusted diluted EPS forecast to $9.90 to $10.10 from $9.50 to $9.70.

The outlook for gross ($7 cardinal to $7.2 billion) and escaped currency travel (at slightest $600 million) remained unchanged.

Despite the stock's rise, it's inactive hanging connected the discount rack

It's not lone the company's fiscal 2027 forecast that bodes good for the company's future. SAIC reported $22.9 cardinal successful backlog astatine the extremity of Q1 2027 -- an summation implicit the backlog of $22.3 cardinal it had astatine the aforesaid clip past year. With SAIC shares trading astatine 13.6 times trailing earnings, a discount to its five-year mean P/E of 16.4, contiguous seems similar a large clip to click the bargain fastener connected this tech stock.

Should you bargain banal successful Science Applications International close now?

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