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Caci International (CACI)
NYSE:CACI

Caci International (CACI) AI Stock Analysis

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Caci International

(NYSE:CACI)

Rating:76Outperform
Price Target:
CACI International shows robust financial performance with strong revenue and profit growth. The technical indicators suggest strong momentum, but caution is advised due to overbought signals. Valuation remains a concern given its high P/E ratio. The positive earnings call, with raised guidance and strategic alignment, supports a strong growth outlook. Overall, CACI is a strong performer with some short-term technical caution.
Positive Factors
Financial Performance
CACI reported a beat and raise quarter with 6% organic growth and a strong bookings-to-billings ratio, which helps alleviate concerns related to defense budget cuts.
Shareholder Returns
Free cash flow per share is expected to grow at a compound annual growth rate of 12%, highlighting strong financial health and potential for shareholder returns.
Strategic Acquisitions
CACI acquired E2E Limited, a biometrics and cloud engineering firm, which is a positive strategic move.
Negative Factors
Contract Risks
Contracts identified by CACI to be at potential risk from the GSA program review total $158M over ~6 contracts, two of which are mission critical.

Caci International (CACI) vs. SPDR S&P 500 ETF (SPY)

Caci International Business Overview & Revenue Model

Company DescriptionCACI International Inc is a technology company based in the United States that provides information solutions and services to support national security missions and government transformation for Intelligence, Defense, and Federal Civilian customers. The company offers a wide range of services, including enterprise IT, cyber security, data analytics, and software development, aiming to support critical missions and enhance decision-making capabilities for its clients.
How the Company Makes MoneyCACI International makes money primarily by providing IT solutions and professional services to the U.S. government, which constitutes the majority of its revenue. The company operates on a contract basis, securing multi-year agreements with various governmental agencies, particularly within the defense and intelligence sectors. Revenue streams are driven by its ability to deliver customized, mission-critical technology solutions and services, including network modernization, cyber security, and data management. CACI's business model also includes partnerships with technology vendors and subcontractors, which allow it to expand its service offerings and enhance its capability to meet complex government requirements.

Caci International Financial Statement Overview

Summary
Caci International exhibits strong financial performance with robust revenue and profit growth, efficient cost management, and a solid balance sheet characterized by low leverage and strong returns. The income statement is particularly strong due to revenue growth and profitability. However, cash flow generation shows some recent declines, indicating room for improvement.
Income Statement
82
Very Positive
Caci International demonstrates strong revenue growth with a TTM increase of 9.15% from the previous year, indicating robust demand for its services. The gross profit margin for the TTM is 14.73%, reflecting efficient cost management. The net profit margin has improved to 5.70%, showcasing enhanced profitability. EBIT and EBITDA margins of 9.03% and 11.12% respectively underline solid operational performance. Overall, the income statement metrics indicate a well-performing company with strong growth and profitability trends.
Balance Sheet
78
Positive
The balance sheet shows a healthy equity position with a debt-to-equity ratio of 0.12, indicating low leverage and reduced financial risk. Return on equity stands at 12.86%, reflecting strong returns to shareholders. The equity ratio of 43.18% suggests a balanced capital structure. The company maintains a solid equity base, which supports its growth initiatives. Overall, the balance sheet is robust with favorable leverage and return metrics, though maintaining a higher equity ratio could enhance financial stability further.
Cash Flow
75
Positive
Caci International reports a free cash flow growth rate of -36.76% in the TTM, indicating a decline in cash generation relative to the previous year. The operating cash flow to net income ratio is 0.67, and the free cash flow to net income ratio is 0.57, both of which suggest adequate cash generation relative to earnings, albeit with room for improvement. While the cash flow metrics reveal some volatility, the company's ability to generate cash remains relatively stable despite recent declines.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
8.36B7.66B6.70B6.20B6.04B5.72B
Gross Profit
1.23B2.37B567.50M496.33M539.45M457.70M
EBIT
755.26M649.71M567.50M496.33M539.45M457.70M
EBITDA
930.28M791.85M709.06M631.01M664.81M568.38M
Net Income Common Stockholders
476.63M419.92M384.74M366.79M457.44M321.48M
Balance SheetCash, Cash Equivalents and Short-Term Investments
223.90M133.96M115.78M114.80M88.03M107.24M
Total Assets
8.58B6.80B6.60B6.63B6.17B5.54B
Total Debt
3.48B1.92B2.03B2.05B1.74B1.40B
Net Debt
3.26B1.78B1.91B1.93B1.65B1.30B
Total Liabilities
4.88B3.28B3.38B3.58B3.51B2.88B
Stockholders Equity
3.70B3.52B3.22B3.05B2.67B2.66B
Cash FlowFree Cash Flow
488.00M433.64M324.34M670.99M519.09M446.40M
Operating Cash Flow
548.24M497.33M388.06M745.55M592.22M518.71M
Investing Cash Flow
-1.71B-151.95M-75.72M-689.15M-426.65M-178.53M
Financing Cash Flow
1.22B-326.89M-316.11M-21.21M-190.60M-303.39M

Caci International Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price461.62
Price Trends
50DMA
425.04
Positive
100DMA
405.11
Positive
200DMA
445.03
Positive
Market Momentum
MACD
13.17
Positive
RSI
54.35
Neutral
STOCH
54.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CACI, the sentiment is Neutral. The current price of 461.62 is below the 20-day moving average (MA) of 468.21, above the 50-day MA of 425.04, and above the 200-day MA of 445.03, indicating a neutral trend. The MACD of 13.17 indicates Positive momentum. The RSI at 54.35 is Neutral, neither overbought nor oversold. The STOCH value of 54.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CACI.

Caci International Risk Analysis

Caci International disclosed 36 risk factors in its most recent earnings report. Caci International reported the most risks in the “Legal & Regulatory” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Caci International Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$7.42B34.4323.81%14.18%21.49%
PSPSN
78
Outperform
$7.07B17.9017.75%16.61%1279.09%
78
Outperform
$5.53B16.3621.53%1.26%0.47%-18.98%
GG
76
Outperform
$7.61B14.8122.21%1.44%7.31%-15.86%
76
Outperform
$10.15B21.7813.48%14.16%22.25%
61
Neutral
$11.29B10.07-7.05%2.96%7.47%-10.75%
57
Neutral
$7.43B-34.18%24.11%21.87%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CACI
Caci International
461.62
38.51
9.10%
EXLS
Exlservice Holdings
45.58
15.35
50.78%
G
Genpact
43.51
10.77
32.90%
SAIC
Science Applications
117.28
-16.14
-12.10%
PSN
Parsons
66.17
-11.20
-14.48%
CFLT
Confluent
21.84
-7.99
-26.79%

Caci International Earnings Call Summary

Earnings Call Date:Apr 23, 2025
(Q3-2025)
|
% Change Since: 9.03%|
Next Earnings Date:Aug 06, 2025
Earnings Call Sentiment Positive
CACI International reported robust financial performance and strategic alignment with government priorities, securing significant contract wins and raising its guidance for fiscal year 2025. Despite facing potential challenges from government reviews and administrative slowdowns, the company's strong pipeline and strategic positioning suggest continued growth and resilience.
Q3-2025 Updates
Positive Updates
Strong Financial Performance
CACI delivered revenue growth of 12%, EBITDA margin of 11.7%, and free cash flow of $188 million. The company raised its fiscal year 2025 guidance for revenue, adjusted EPS, and free cash flow.
Significant Contract Wins
CACI won $2.5 billion of awards for the quarter, representing a book-to-bill ratio of 1.2 times, and 1.5 times on a trailing twelve-month basis. An additional $1.3 billion in awards was secured in the fourth quarter.
Strategic Alignment with Government Priorities
CACI's strategy and capabilities are well-aligned with the new administration's priorities, focusing on software-defined capabilities and national security.
Notable Achievements in Key Programs
The TLS Manpack technology and the Navy spectrum program showed significant progress, with increased demand and program milestones achieved.
Positive Outlook for Future Growth
The company has $17 billion of bids under evaluation and expects to submit another $10 billion in bids over the next two quarters, indicating a strong pipeline for future growth.
Negative Updates
Challenges with Government Reviews
The Department of Government Efficiency (DOGE) reviews and GSA contract scrutinies pose potential challenges, although CACI reports minimal impact so far.
Administrative Slowdowns
There have been slight slowdowns in administrative processes such as invoice approvals and funding modifications, attributed to the current governmental environment.
Company Guidance
During the CACI International Fiscal 2025 Third Quarter Conference Call, the company provided guidance with several key metrics. CACI reported a 12% revenue growth and an EBITDA margin of 11.7%, delivering a free cash flow of $188 million. The company won $2.5 billion in awards, achieving a book-to-bill ratio of 1.2 for the quarter and 1.5 over the trailing twelve months. Due to strong execution and a healthy pipeline, CACI raised its fiscal year 2025 guidance for revenue, adjusted EPS, and free cash flow, expecting revenue between $8.55 billion and $8.65 billion, adjusted EPS between $24.24 and $24.87, and free cash flow of at least $465 million. The company highlighted a strong backlog of $31 billion and a pipeline with $17 billion of bids under evaluation, further supporting its optimistic outlook.

Caci International Corporate Events

Private Placements and Financing
CACI International Upsizes Senior Notes Offering
Neutral
May 21, 2025

On May 21, 2025, CACI International Inc announced the pricing of a $1.0 billion upsized offering of 6.375% senior notes due in 2033, which marks a $250 million increase from its initial offering size. The proceeds from this offering are intended to partially repay the company’s revolving credit facility, potentially impacting its financial flexibility and debt management strategy.

The most recent analyst rating on (CACI) stock is a Buy with a $475.00 price target. To see the full list of analyst forecasts on Caci International stock, see the CACI Stock Forecast page.

Private Placements and Financing
CACI International Announces $750M Senior Notes Offering
Neutral
May 20, 2025

On May 20, 2025, CACI International Inc announced its intention to offer $750 million in unsecured senior notes due 2033, subject to market conditions. The proceeds from this offering are planned to be used to partially repay the company’s revolving credit facility, potentially impacting its financial structure and market positioning.

The most recent analyst rating on (CACI) stock is a Buy with a $475.00 price target. To see the full list of analyst forecasts on Caci International stock, see the CACI Stock Forecast page.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.