As the stock market is in a correction phase, most of the top-rated stocks are showing sell signals. Given the state of the market, this is expected as every major index is showing a drop ever since the coronavirus fears struck bay. However, Booz Allen Hamilton (BAH) is one of those stocks that has received positive patronage at the market. It has been able to hold its 200 – day moving average quite steady in this correction phase even.
The Dow Jones and the S&P 500 index is rightfully below its 200 – day lines at this moment which is why it isn’t easy to find a stock that’s performing well. Amidst all of this, the stocks of Booze Allen Hamilton are showing positive trending.
About Booze Allen Hamilton (BAH)
Booze Allen Hamilton is a consultancy firm that deals with analytics, cybersecurity, and engineering. It is based in Virginia and started operating from the year 1914. In recent times, the management of the business has been helmed by a few young guns which has brought about such tremendous positivity. CEO Horacio Rozanski and CFO Llyod Howell are aged 52 and 53 years respectively.
In the previous month, the company announced a huge contract worth $147 million for the next five years from National Institute Health for IT support. Also, the company recently bagged a staggering $113 million deal from the Securities and Exchange Commission for cybersecurity services. As of now, the stocks of this company are in numerous portfolios and is touted as the long-term leader in this domain.
Composite rating value
One of the best ways to know whether a stock deserves your money or not during a market correction period is to track its composite rating. BAH’s composite rating is at 96, this is due to its consistent performance and also the fact that it has been a strong price performer in its own domain i.e., a consultancy.
The stocks of BAH reported an 11% rise in terms of adjusted profit. The dividend value of the stocks went from 4 cents to a whopping 31 cents/ share. This, in turn, makes the annualized dividend yield around 1.6%. The annual earnings look solid for this stock and it is expected that the income will rise by 15% in 2020 and around 12% in 2021, as per early estimates.
The relative strength of BAH has been impressive but in this market correction moment, it is advised that investors wait for a new base to form. After all your money needs to be in the best place so that it yields you good in the long run.