Leidos Falls as Investors Weigh Budget Exposure and Health Segment Overhang

Leidos Holdings (LDOS) is down 3.5% today. Here is some analysis on what might have caused this price movement.

Analysis: The most likely explanation is that investors did not see a strong new positive catalyst to support the shares and instead focused on existing risks tied to federal spending and the company’s health-related business. This could be because Leidos depends heavily on U.S. government work, and the market has remained sensitive to contract timing, funding visibility, and pressure in managed health programs.

Details:

Leidos filed an October 1, 2026 8-K showing a board appointment, which looks strategically positive but does not appear large enough on its own to drive buying interest.

In its latest quarterly update, Leidos reported second-quarter revenue growth, strong cash generation, about $5 billion of contract awards, and higher full-year guidance.

The company’s latest 10-Q said roughly 83% to 85% of revenue came from U.S. government contracts during the recent periods, keeping the stock exposed to shifts in federal budget priorities and procurement timing.

Analyst sentiment has also stayed cautious in recent months, with some rating changes and target resets reflecting concern that pressure in the healthcare portfolio may limit enthusiasm even after solid operating results.

Sources:

Leidos, SEC, Benzinga

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$LDOS Insider Trading Activity

$LDOS insiders have traded $LDOS stock on the open market 5 times in the past 6 months. Of those trades, 0 have been purchases and 5 have been sales.

Here’s a breakdown of recent trading of $LDOS stock by insiders over the last 6 months:

NOEL B GEER has made 0 purchases and 2 sales selling 10,000 shares for an estimated $1,406,620.
ELIZABETH A PORTER (Sector President) has made 0 purchases and 2 sales selling 2,000 shares for an estimated $317,555.
GARY STEPHEN MAY sold 1,000 shares for an estimated $140,845

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

$LDOS Hedge Fund Activity

We have seen 356 institutional investors add shares of $LDOS stock to their portfolio, and 481 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

DIAMANT ASSET MANAGEMENT, INC. removed 4,130,322 shares (-99.4%) from their portfolio in Q2 2026, for an estimated $425,299,256
JPMORGAN CHASE & CO added 3,833,352 shares (+inf%) to their portfolio in Q2 2026, for an estimated $394,720,255
HOTCHKIS & WILEY CAPITAL MANAGEMENT LLC added 1,644,950 shares (+inf%) to their portfolio in Q2 2026, for an estimated $169,380,501
ALLIANCEBERNSTEIN L.P. removed 1,256,539 shares (-76.4%) from their portfolio in Q2 2026, for an estimated $129,385,820
FIRST TRUST ADVISORS LP added 1,177,952 shares (+73.7%) to their portfolio in Q2 2026, for an estimated $121,293,717
VICTORY CAPITAL MANAGEMENT INC added 893,611 shares (+246.2%) to their portfolio in Q2 2026, for an estimated $92,015,124
SIXTH STREET PARTNERS MANAGEMENT COMPANY, L.P. added 877,642 shares (+inf%) to their portfolio in Q2 2026, for an estimated $90,370,796

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

$LDOS Government Contracts

We have seen $7,283,501,144 of award payments to $LDOS over the last year.

Here are some of the awards which we have have seen pay out the most over the last year:

FY26 FUNDING MEDICAL DISABILITY EXAMINATIONS: $770,312,385
FY26 FUNDING MEDICAL DISABILITY EXAMINATIONS: $392,676,748
FY26 FUNDING MEDICAL DISABILITY EXAMINATIONS: $378,691,285
FY26 FUNDING MEDICAL DISABILITY EXAMINATIONS: $336,017,423
MODIFICATION TO UPDATE REVISE PWS AND ATTACHMENT AR.: $335,920,664

To track government contracts to publicy traded companies, check out Quiver Quantitative's government contracts dashboard. You can access data on government contracts through the Quiver Quantitative API government contracts endpoint.

$LDOS Price Targets

Multiple analysts have issued price targets for $LDOS recently. We have seen 7 analysts offer price targets for $LDOS in the last 6 months, with a median target of $138.0.

Here are some recent targets:

Gautam Khanna from TD Cowen set a target price of $115.0 on 07/07/2026
John Godyn from Citigroup set a target price of $138.0 on 07/01/2026
Sheila Kahyaoglu from Jefferies set a target price of $110.0 on 07/01/2026
Mariana Perez from B of A Securities set a target price of $125.0 on 06/17/2026
Ken Herbert from RBC Capital set a target price of $180.0 on 05/06/2026
Jonathan Siegmann from Stifel set a target price of $193.0 on 05/06/2026
Tobey Sommer from Truist Securities set a target price of $195.0 on 04/20/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.