Leidos Holdings stock gains on $926 million Navy contract and buyback
Published on 09/17/2026 at 18:58 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
Leidos Holdings Inc. stock (ISIN US5253271028) closed at USD 129.35 on the NYSE on September 16, 2026, up 0.09% from the prior close in regular trading, with investors reacting to an upgraded U.S. Navy network modernization contract and fresh capital return plans.
Navy network award corrected to USD 926 million
Leidos Holdings Inc. (NYSE: LDOS) is in the spotlight after the value of a key U.S. Navy enterprise network modernization award was revised upward to USD 926 million for the second option year, confirming the scale of its role in securing global military communications. According to GuruFocus on September 16, 2026, the company corrected an earlier figure of USD 875 million, with the U.S. Department of the Navy awarding USD 926 million to support the second option year of the Next Generation Enterprise Network Service Management, Integration and Transport contract.
In a follow-up release, Leidos highlighted that the Navy award will help keep more than 650,000 Navy and Marine Corps personnel securely connected worldwide by managing more than 425,000 devices across more than 2,500 sites. As GuruFocus reports, the contract covers the Navy Marine Corps Intranet, ONE-Net and Marine Corps Enterprise Network, reinforcing Leidos’s position in mission-critical defense IT services.
Buyback authorization and dividend support capital return story
Alongside the upgraded Navy award, Leidos is backing its growth story with capital returns. A recent market wrap summarized that Leidos authorized a new share repurchase program covering up to 20 million shares, replacing a prior 20-million-share authorization that had been fully utilized. That new program gives the company flexibility to return cash to shareholders as its pipeline of defense and infrastructure work matures, complementing its regular dividend policy.
Leidos also underscored its shareholder focus with a cash dividend. According to Yahoo Finance on September 15, 2026, the company announced a cash dividend of USD 0.43 per share with an ex-dividend date of September 15, 2026. This payout implies an annualized dividend of USD 1.72 per share and, based on recent share prices in the USD 129 range, corresponds to a dividend yield of around 1.3%, giving income-oriented investors an additional element in the stock’s total return profile.
Q2 2026 results show revenue growth and higher guidance
The operational backdrop for these capital moves is a solid set of second-quarter figures and raised guidance. Back in August 2026, Leidos reported nearly USD 4.6 billion in Q2 2026 revenue, an increase of 7% year over year as demand strengthened across defense technology, energy and air traffic management solutions, and intelligence mission support. As The Motley Fool explains on September 17, 2026, adjusted EBITDA margin in the quarter reached 13.8%, and cash flow from operating activities surged 63% to USD 793 million.
These figures gave management the confidence to raise full-year guidance. According to The Motley Fool, Leidos now expects fiscal year 2026 revenue between USD 18.2 billion and USD 18.4 billion, with diluted earnings per share on a non-GAAP basis in a range of USD 12.20 to USD 12.50. Relative to the Q2 2026 revenue base of roughly USD 4.6 billion, the midpoint of that guidance implies continued mid-single-digit to high-single-digit growth as existing contracts roll through and newer awards such as the Navy network option year and energy infrastructure projects ramp.
ENTRUST acquisition deepens energy infrastructure footprint
Another strategic element behind Leidos Holdings stock is its move into grid infrastructure. Leidos recently completed a USD 2.4 billion acquisition of ENTRUST Solutions Group, significantly expanding its energy infrastructure business and adding more than 3,100 professionals with expertise in power grids and natural gas infrastructure. As The Motley Fool notes, the deal roughly doubles Leidos’s presence in the energy infrastructure market and broadens its engineering capabilities and customer relationships across the United States.
For investors, that acquisition interacts directly with the company’s guidance: integrating ENTRUST’s operations and realizing cost and revenue synergies will be important in reaching the USD 18.2 billion to USD 18.4 billion revenue target for 2026. At the same time, the expanded energy footprint adds a different type of risk to the story, including exposure to regulatory cycles in power and gas distribution and the execution challenge of absorbing a large acquisition while maintaining margins in its core defense IT and mission support businesses.
Analyst view and valuation context
The latest moves have not gone unnoticed in the analyst community. As The Motley Fool reports, 18 Wall Street analysts currently rate Leidos as a moderate buy, reflecting a generally positive balance between growth opportunities and execution risks.
Valuation models also suggest upside from current levels. According to GuruFocus on September 16, 2026, Leidos shares were trading at USD 129.66 against a GF Value estimate of USD 172.10, indicating the stock was about 24.7% undervalued on that specific intrinsic value model. That gap gives investors a quantified sense of the potential re-rating if the company can deliver on its 2026 guidance and integrate ENTRUST smoothly while executing on the Navy network contract and other large awards.
Stock price and market metrics
Leidos Holdings stock is listed on the NYSE under the ticker LDOS. Per exchange data summarized by financial portals, the shares closed at USD 129.35 on September 16, 2026, on the NYSE, up USD 0.11 or 0.09% from the prior session, with the move occurring in regular trading hours around 4:00 p.m. Eastern Time. On that basis and using a recent share count, the company’s market capitalization stands at roughly USD 16.23 billion as of mid September 2026, placing it firmly in the large-cap segment of the U.S. information technology services sector.
For context, recent trading ranges show the stock moving between intraday lows near USD 127.58 and highs around USD 133.93 in recent sessions, keeping the price below some intrinsic value estimates but comfortably above short-term lows. In addition, Leidos offers investors a combination of modest income via its USD 0.43 quarterly dividend, exposure to defense and national security spending through the Navy and Marine Corps network work, and growing optionality in energy infrastructure and grid modernization after the ENTRUST acquisition.
Leidos Holdings stock - key data
- Company: Leidos Holdings Inc.
- ISIN: US5253271028
- Ticker: LDOS
- Trading venue: NYSE
- Price (as of September 16, 2026, 16:00): 129.35 USD
- Market capitalization: 16.23 billion USD (as of September 13, 2026)
- Sector / Industry: Information Technology Services
- Index membership: S&P 500
