Leidos (NYSE:LDOS) misses Q3 2026 revenue estimates

What happened

Leidos reported Q3 2026 revenue of $4.63 billion, up 3.6% year on year but below analysts' consensus of $4.73 billion. Full-year revenue guidance was lowered to $18.1 billion at the midpoint from $18.3 billion, while adjusted profit per share beat estimates.

Confirmed

Global impact / market context

A revenue miss and lower sales guidance suggest demand or contract timing is softer than expected, which can pressure the stock even as cost control lifts profit. Weak sales can matter more than higher profit per share if investors worry growth is slowing.

Analyst inference

Investors compare sales and profit against consensus estimates, which are average analyst forecasts. Leidos beat profit expectations but missed sales, a mixed result that may shift attention to whether lower revenue guidance signals slower contract bookings ahead.

Analyst inference

What to watch

1. Watch whether Leidos meets its lowered full-year revenue guidance of $18.1 billion at the midpoint, since a further shortfall would confirm weaker demand than the company now expects. Confirmed
2. Track the $49.55 billion backlog, up 4% year on year, because backlog shows contracted future work and can indicate whether revenue growth will recover or keep slowing. Analyst inference
3. Monitor free cash flow margin, which fell to 10.3% from 15.2% a year earlier, because less cash generated from each sale can limit funds for debt repayment and investment. Analyst inference

Evidence

• stockstory.org