What is Leidos Holdings, Inc. (LDOS) DCF Fair Value and Intrinsic Value in 2026?

Leidos Holdings, Inc. (LDOS) intrinsic value is calculated using conservative multi-stage Discounted Cash Flow (DCF) models, 5-year free cash flow trajectories, Graham Numbers, and owner earnings multiples. LocalAlpha tracks real-time margin of safety against live market prices.

What is Leidos Holdings, Inc.'s historical Return on Invested Capital (ROIC) and Moat Rating?

Leidos Holdings, Inc. operates in the Industrials sector (Information Technology Services) with an economic moat rating of NARROW. LocalAlpha tracks 5-year audited quarterly ROIC, operating margin stability, and balance sheet solvency ratios.

What is Leidos Holdings, Inc.'s financial health rating and Piotroski F-Score?

Leidos Holdings, Inc.'s balance sheet quality is evaluated using the 9-point Piotroski F-Score, Altman Z-Score solvency model, debt-to-equity ratio, and quick/current liquidity coverage to guard against financial distress.

How does LocalAlpha monitor Leidos Holdings, Inc. (LDOS) for quarterly SEC filing thesis breaks?

LocalAlpha audits Leidos Holdings, Inc.'s 10-K, 10-Q, and 8-K regulatory filings on SEC EDGAR within 15 minutes of release. If reported metrics breach an investor's custom ROIC floor, operating margin boundary, or qualitative risk criteria, an autonomous breach audit is dispatched immediately.

StocksLDOS

LDOS

Leidos Holdings, Inc.Technology / Information Technology ServicesINTACT

Leidos Holdings, Inc., together with its subsidiaries, provides services and solutions for government and commercial customers in the United States and internationally. The National Security & Digital segment provides national security software; services by using artificial intelligence and machine learning to coordinate sea, ground, air, and space to help warfighters; offensive, defensive, and physical cyber operation solutions; intelligence analysis, operational support, logistics operations, security, linguistics, force production, biometrics, chemical, biological, radiological, nuclear, and explosives, energetics, training, and other services; and Digital Modernization and transformation services. The Health & Civil segment offers air traffic control systems; health mission software; managed health services; infrastructure management and operation; logistical operations and information technology support; and life science research and development support services. The Commercial & International segment provides power grid engineering and design, grid modernization, utility planning and consulting, energy management and efficiency, technology-driven innovation, and software and application development; people scanners, computed tomography carry-on baggage scanners, checked baggage scanners, and explosive trace detectors; mobile, non-intrusive ports and borders inspection systems; and open-architecture platform that transforms airport security by integrating disparate devices and technologies into a unified management system. The Defense Systems segment offers air and missile defense, maritime, aerospace, and cyber and threat systems; offers airborne training, intelligence, surveillance, and reconnaissance missions; and provides space-based electro-optic infrared systems, multi/hyperspectral, electronic warfare and signals intelligence, and communications payloads. Leidos Holdings, Inc. was founded in 1969 and is headquartered in Reston, Virginia.

Share Price

$128.86

52W: $98.86 - $205.77

DCF Fair Value

$130.91

+1.6%

Thesis Hub

P/E (TTM)

12x

ROIC

8.8%

Operating Margin

11.7%

FCF Yield

7.1%

Debt / Equity

1.23x

Piotroski Score

6/9

Altman Z-Score

4.24

Market Cap

$16.2B

Price vs. Intrinsic Value Corridor

Modest Value ($128.86 vs $130.91 DCF)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)

—()

Period Range

$— - $—

DCF Fair Value

$130.91

MOS Buy Target (-25%)

$98.18

Valuation Overlays: DCF Fair Value ($130.91) 25% MOS Buy Target ($98.18) Revised Graham ($169.84) Graham Number ($100.73)

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price

$128.86

DCF Fair Value

$130.38

+1.2%

Starting Free Cash Flow ($M)$1,147M

$100M$1,147M (Reported)$50,000M

Stage 1 Growth (Years 1-5)5.9%

-5%10% (Target)35%

Stage 2 Growth (Years 6-10)4.5%

0%5%20%

Discount Rate (WACC / Hurdle)9.0%

6%9% (Standard)15% (High Risk)

Terminal Perpetual Growth2.5%

1% (GDP Floor)2.5% (Inflation)4.0%

Net Debt ($M)$5,900M

-$100B CashBalance Sheet+$150B Debt

10-Yr PV of Cash Flows

$9.6B

PV of Terminal Value

$12.7B

Implied Enterprise Value

$22.3B

Implied Equity Value

$16.4B

Year	Yr 1	Yr 2	Yr 3	Yr 4	Yr 5	Yr 6	Yr 7	Yr 8	Yr 9	Yr 10
Projected FCF ($M)	$1,215	$1,286	$1,362	$1,443	$1,528	$1,596	$1,668	$1,743	$1,822	$1,904
Present Value (PV)	$1,114	$1,083	$1,052	$1,022	$993	$952	$913	$875	$839	$804

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number-27.9% Premium

$100.73

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

EPS: $10.71BVPS: $42.11

Revised Graham Formula+24.1% MoS

$169.84

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Growth Rate (g%)

Bond Yield (Y%)

Buffett Owner Earnings6.7% Yield

$8.65 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $1.1BYield: 6.7%

Reverse DCF: Market Growth Expectation

EXTREMELY LOW BARRIER

1.1% CAGR (Next 10 Yrs)

At the current price of $128.86, the market is assuming the business will compound Free Cash Flow at 1.1% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict

✓ Low market hurdle: Easy for a wide-moat compounder to beat.

Autonomous Thesis Underwriting

Surveil LDOS with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for Leidos Holdings, Inc.. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 11.7% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

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Frequently Asked Questions: Leidos Holdings, Inc. (LDOS) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Leidos Holdings, Inc..

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, Leidos Holdings, Inc. has an estimated DCF intrinsic fair value of $130.91 per share compared to its current market price of $128.86. This represents an estimated 1.6% margin of safety (trading below fair value). Additionally, its classic Benjamin Graham Number stands at $100.73.