LDOS
Leidos Holdings, Inc.
LDOS offers stronger valuation, but that advantage does not outweigh its weaker overall profile.
MSFT
Microsoft Corporation
MSFT has the edge over LDOS overall, supported by stronger modeled upside and stronger fundamentals.
LDOS Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Healthy | |
| Healthy | |
| Stable |
LDOS's profitability and cash flow are currently healthy, and its revenue and balance sheet are stable.
MSFT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Healthy | |
| Strong |
MSFT's revenue, profitability, cash flow and balance sheet are all currently healthy.
LDOS PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 11x | $131 | — |
| Current | 12x | $131 | — |
| Cheap | 16x | $180 | +37% |
| Fair | 19x | $218 | +66% |
| Expensive | 25x | $277 | +111% |
Historical ranges are pointers, not guarantees.
LDOS's PE is in its cheap range at 12x. On analysts' estimates for next year's earnings, today's price would be 11x.
MSFT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 25x | $523 | — |
| Cheap | 27x | $525 | +0.4% |
| Current | 27x | $523 | — |
| Fair | 34x | $652 | +25% |
| Expensive | 37x | $711 | +36% |
Historical ranges are pointers, not guarantees.
MSFT has the edge over LDOS in the historical PE scenario, which offers more potential upside but is not a forecast.
LDOS Forward outlook
| Metric | Outlook |
|---|---|
| Stable | |
| Stable | |
| Stable | |
| Stable | |
| Limited | |
| Moderate |
Analysts expect LDOS's earnings, revenue and profitability to hold roughly steady.
MSFT Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Strong growth | |
| Stable | |
| Moderate | |
| High |
MSFT has the edge over LDOS on the outlook, with more favorable valuation and earnings expectations.
LDOS Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $11.56 | +3.3% |
| Q3 2026 | $11.19 | +4.6% |
| Q2 2026 | $10.73 | +1.6% |
| Q1 2026 | $10.93 | +10% |
| Q4 2025 | $11.14 | +21% |
| Q3 2025 | $10.70 | +22% |
| Q2 2025 | $10.56 | +229% |
| Q1 2025 | $9.92 | +324% |
| Q4 2024 | $9.22 | +540% |
LDOS's earnings per share have climbed steadily: $11.19 over the past year, up 4.6% from the year before, and higher year over year for nine quarters in a row.
MSFT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $20.79 | +8.6% |
| Q3 2026 | $19.15 | +36% |
| Q2 2026 | $17.95 | +32% |
| Q1 2026 | $16.80 | +30% |
| Q4 2025 | $15.99 | +29% |
| Q3 2025 | $14.06 | +16% |
| Q2 2025 | $13.64 | +16% |
| Q1 2025 | $12.93 | +12% |
| Q4 2024 | $12.41 | +12% |
MSFT has the edge over LDOS on earnings, with stronger typical year-over-year growth.
LDOS Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $4.6B | +3.6% |
| Q2 2026 | $4.6B | +7.2% |
| Q1 2026 | $4.4B | +3.7% |
| Q4 2025 | $4.2B | -3.6% |
| Q3 2025 | $4.5B | +6.7% |
| Q2 2025 | $4.3B | +2.9% |
| Q1 2025 | $4.2B | +6.8% |
| Q4 2024 | $4.4B | +9.7% |
LDOS's revenue grew through 2025 and has held roughly level since: $4.6B last quarter, up 3.6% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 12% | 0 points |
| Q2 2026 | 11% | -2.2 points |
| Q1 2026 | 12% | -0.9 points |
| Q4 2025 | 11% | +1.6 points |
| Q3 2025 | 12% | -0.3 points |
| Q2 2025 | 13% | +1.9 points |
| Q1 2025 | 12% | +2.1 points |
| Q4 2024 | 9.6% | +0.6 points |
LDOS's operating margin was 12% last quarter, about level with the same quarter a year ago.
MSFT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $92.3B | +19% |
| Q2 2026 | $90B | +18% |
| Q1 2026 | $82.9B | +18% |
| Q4 2025 | $81.3B | +17% |
| Q3 2025 | $77.7B | +18% |
| Q2 2025 | $76.4B | +18% |
| Q1 2025 | $70.1B | +13% |
| Q4 2024 | $69.6B | +12% |
MSFT has the edge over LDOS on sales, with more consistent year-over-year improvement.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 50% | +0.9 points |
| Q2 2026 | 45% | +0.2 points |
| Q1 2026 | 46% | +0.7 points |
| Q4 2025 | 47% | +1.6 points |
| Q3 2025 | 49% | +2.3 points |
| Q2 2025 | 45% | +1.8 points |
| Q1 2025 | 46% | +1.1 points |
| Q4 2024 | 45% | +1.9 points |
MSFT has the edge over LDOS on profitability, with a higher operating margin.
LDOS Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $476M | -30% |
| Q2 2026 | $761M | +67% |
| Q1 2026 | $270M | +650% |
| Q4 2025 | $452M | +112% |
| Q3 2025 | $680M | +7.4% |
| Q2 2025 | $457M | +30% |
| Q1 2025 | $36M | -22% |
| Q4 2024 | $213M | -5.8% |
LDOS has the edge over MSFT on cash flow, with more consistent year-over-year improvement.
MSFT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $18.6B | -27% |
| Q2 2026 | $19.6B | -23% |
| Q1 2026 | $15.8B | -22% |
| Q4 2025 | $5.9B | -9.3% |
| Q3 2025 | $25.7B | +33% |
| Q2 2025 | $25.6B | +9.6% |
| Q1 2025 | $20.3B | -3.2% |
| Q4 2024 | $6.5B | -29% |
MSFT's free cash flow has been positive every quarter for seven years: $60B over the past year, down 23% from the year before.
LDOS Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.8% | -1M shares |
| 1 year | -3.8% | -5M shares |
| 3 years | -8.8% | -12M shares |
| 5 years | -13% | -18M shares |
| Available history | -14% | -20M shares |
LDOS has the edge over MSFT on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | $500M |
| Q2 2026 | $66M |
| Q1 2026 | $200M |
| Q4 2025 | $300M |
| Q3 2025 | $100M |
| Q2 2025 | — |
| Q1 2025 | — |
| Q4 2024 | $400M |
LDOS spent $1.1B buying back its own shares over the past year, up 113% from the year before.
MSFT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.1% | -7M shares |
| 1 year | -0.3% | -20M shares |
| 3 years | -0.2% | -16M shares |
| 5 years | -1.6% | -121M shares |
| Available history | -3.2% | -245M shares |
MSFT has 7.4B diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | $4.4B |
| Q2 2026 | $4.6B |
| Q1 2026 | $4.6B |
| Q4 2025 | $7.4B |
| Q3 2025 | $5.7B |
| Q2 2025 | $4.5B |
| Q1 2025 | $4.8B |
| Q4 2024 | $5B |
MSFT spent $21B buying back its own shares over the past year, up 5.2% from the year before.
LDOS Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 2.3x | Moderate |
| Q2 2026 | 2.3x | Moderate |
| Q1 2026 | 2.5x | Moderate |
| Q4 2025 | 1.5x | Healthy |
| Q3 2025 | 1.6x | Healthy |
| Q2 2025 | 1.8x | Healthy |
| Q1 2025 | 1.9x | Healthy |
| Q4 2024 | 1.8x | Healthy |
LDOS's net debt is about 2.3 years of its operating earnings (EBITDA), up from 1.6 years a year ago.
MSFT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.1x | Very low |
| Q2 2026 | 0.1x | Very low |
MSFT has the edge over LDOS on leverage, with a lower net debt burden relative to earnings.
LDOS Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 48.7 | Neutral |
| Stochastic | 66.9 | Neutral |
LDOS's weekly RSI is 49 (neutral) and its Stochastic is 67 (neutral).
MSFT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 62.1 | Neutral |
| Stochastic | 68.0 | Neutral |
MSFT's weekly RSI is 62 (neutral) and its Stochastic is 68 (neutral).
LDOS PE vs Technology Sector
| Metric | LDOS | Sector median | Relative |
|---|---|---|---|
| PE | 12x | 28x | 58% below |
| PE % | 4 | 35 | 31 pts below |
LDOS has the edge over MSFT on valuation relative to its sector.
MSFT PE vs Technology Sector
| Metric | MSFT | Sector median | Relative |
|---|---|---|---|
| PE | 27x | 28x | 2% below |
| PE % | 16 | 35 | 19 pts below |
MSFT is trading at 27x earnings, in line with the Technology sector's median of 28x.
LDOS Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $128.8 | 1.8% above |
| 20 week MA | $126.7 | 3.5% above |
| 50 week MA | $147.1 | 11% below |
| 100 week MA | $153.6 | 15% below |
| 200 week MA | $136.5 | 3.9% below |
LDOS has bounced recently, but its long-term trend is still down: it's above its 8- and 20-week averages, but 3.9% below its 200-week average.
MSFT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $524.7 | 0.3% below |
| 20 week MA | $484.8 | 7.9% above |
| 50 week MA | $446.9 | 17% above |
| 100 week MA | $453.8 | 15% above |
| 200 week MA | $411.5 | 27% above |
MSFT has the edge over LDOS on trend strength, trading above more of its moving averages.
LDOS Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $98.2 | $104.2 | +6.1% |
| 2021 | $104.2 | $87.4 | -16% |
| 2022 | $87.4 | $105.2 | +20% |
| 2023 | $105.2 | $108.2 | +2.9% |
| 2024 | $108.2 | $144.5 | +33% |
| 2025 | $144.5 | $185.9 | +29% |
| 2026 YTD | $185.9 | $131.1 | -29% |
LDOS has finished higher in five of the last six years. It's down 29% so far in 2026.
MSFT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $159.0 | $222.8 | +40% |
| 2021 | $222.8 | $334.7 | +50% |
| 2022 | $334.7 | $238.7 | -29% |
| 2023 | $238.7 | $376.0 | +58% |
| 2024 | $376.0 | $430.5 | +14% |
| 2025 | $430.5 | $487.7 | +13% |
| 2026 YTD | $487.7 | $523.0 | +7.2% |
MSFT has the edge over LDOS on returns for 2026, with the stronger performance.