Teledyne vs Leidos

Teledyne Technologies Inc and Leidos Holdings, Inc: this page compares their business models, financial performance, and market context in a neutral, accessible way. It outlines how each company positions itself, the services they offer, and the factors shaping their strategies. Educational content, not financial advice.

Teledyne Technologies Inc and Leidos Holdings, Inc: this page compares their business models, financial performance, and market context in a neutral, accessible way. It outlines how each company posit...

Comparison Snapshot

Key Financial Metrics

TDY

Metric

LDOS

$31.00B

Market Cap

$22.54B

-6.10%

Potential Profit

24.60%

Buy

Analyst Rating

Buy

Why It's Moving

TDY Stock Warning: Why Analysts See -5% Downside Risk

Q4 earnings smashed forecasts at $6.30 EPS versus $5.83 expected, fueled by 7.3% revenue growth to $1.61B from surging infrared imaging and defense surveillance sales.
Robust FY2026 guidance of $23.45–23.85 EPS signals sustained momentum, yet recent insider filing to sell 7,500 shares raises eyebrows on near-term pressure.
Stock hit 52-week high near $650 post-earnings with 'Moderate Buy' consensus, but some analysts highlight valuation risks implying modest downside amid sector highs.

Sentiment:

🐻Bearish

Leidos Stock Dips Sharply Amid Major Acquisition Buzz and Earnings Anticipation

Shares plunged 10.2% to around $174 on February 11, outpacing broader market declines and reflecting investor caution despite solid fundamentals.
Secured a $142M contract on February 9 to modernize IT for the Defense agency's CESO, bolstering its position in high-demand government tech services.
Announced $2.4B acquisition of ENTRUST Solutions Group, set to double its $600M energy infrastructure unit and expand its 3,000+ professional workforce.

Sentiment:

🌋Volatile

TDY Stock Warning: Why Analysts See -5% Downside Risk

Q4 earnings smashed forecasts at $6.30 EPS versus $5.83 expected, fueled by 7.3% revenue growth to $1.61B from surging infrared imaging and defense surveillance sales.
Robust FY2026 guidance of $23.45–23.85 EPS signals sustained momentum, yet recent insider filing to sell 7,500 shares raises eyebrows on near-term pressure.
Stock hit 52-week high near $650 post-earnings with 'Moderate Buy' consensus, but some analysts highlight valuation risks implying modest downside amid sector highs.

Sentiment:

🐻Bearish

Leidos Stock Dips Sharply Amid Major Acquisition Buzz and Earnings Anticipation

Shares plunged 10.2% to around $174 on February 11, outpacing broader market declines and reflecting investor caution despite solid fundamentals.
Secured a $142M contract on February 9 to modernize IT for the Defense agency's CESO, bolstering its position in high-demand government tech services.
Announced $2.4B acquisition of ENTRUST Solutions Group, set to double its $600M energy infrastructure unit and expand its 3,000+ professional workforce.

Sentiment:

🌋Volatile

Investment Analysis

Teledyne

TDY

Pros

Exceeded analyst forecasts in Q3 2025 with robust revenue and earnings, reinforcing a track record of consistent outperformance and operational reliability.
Achieved record sales and cash flow driven by strong demand in digital imaging and unmanned systems, particularly within defense, aerospace, and industrial sectors.
Raised full-year 2025 earnings guidance, reflecting confidence in sustained growth from technology leadership and international market expansion, especially in Europe.

Considerations

Stock price weakened recently despite positive results, potentially signaling investor caution about valuation or external macroeconomic headwinds impacting sentiment.
Valuation metrics suggest the shares may be considered expensive by some measures, presenting limited margin of safety if growth slows or multiples contract.
Substantial exposure to government contracts, particularly in defence, adds sensitivity to budget cycles and potential shifts in public sector spending priorities.

Leidos

LDOS

Pros

Leidos benefits from a diversified portfolio across defence, intelligence, civil, and health markets, providing stability through varied government and commercial contracts.
Recent operational improvements and contract wins support revenue visibility and cash flow resilience, underpinned by a strong backlog and federal budget trends.
Investments in higher-margin IT services, cybersecurity, and digital transformation position the company to capitalise on structural growth in national security and technology modernisation.

Considerations

Significant reliance on US government contracts increases exposure to political risk, budget volatility, and potential delays in procurement or funding approvals.
Integration risks and execution challenges persist from past acquisitions, which may affect margins and distract management from organic growth initiatives.
Intense competition in government services and technology outsourcing limits pricing power and could pressure profitability if cost inflation or bid intensity rises.

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