RESTON, Va. - Science Applications (NASDAQ:SAIC) International Corp. (NASDAQ: SAIC), a Fortune 500 technology integrator, has declared a quarterly cash dividend of $0.37 per share, payable on October 25, 2024, to shareholders of record as of October 11, 2024. The company's announcement today indicates its intention to maintain a regular dividend payout, subject to quarterly board approval and dependent on various financial factors.
SAIC, known for its specialized technology solutions across defense, space, civilian, and intelligence markets, emphasizes its role in integrating advanced technology into critical national operations. The company, employing approximately 24,000 individuals, promotes a diverse and inclusive work environment, which it considers essential for attracting and retaining top talent.
The Virginia-based company, with reported annual revenues of around $7.4 billion, aims to continue its practice of returning value to shareholders through dividends. However, future dividend declarations are contingent upon SAIC's earnings, financial health, capital needs, and other considerations as determined by its board of directors each quarter.
Investors should note that the company's forward-looking statements, such as revenue projections and capital deployment plans, are subject to various risks and uncertainties. These may include changes in market conditions, operational challenges, and other factors that could cause actual results to differ from expectations.
This dividend announcement is based on a press release statement by SAIC and reflects the company's current financial strategy and commitment to shareholder returns. As with all such declarations, the forward-looking statements involved are not guarantees of future performance and may be updated as per the company's regulatory obligations and internal assessments.
In other recent news, Science Applications International Corporation (SAIC) has been a focus of multiple noteworthy developments. The company reported a solid first-quarter revenue of $1.85 billion and an adjusted EBITDA of $166 million. In addition, SAIC secured three contracts totaling $58.2 million to support various Naval Air Warfare Center Weapons Division programs, as well as a $120 million contract from Naval Supply Systems Command to provide training support for the U.S. Navy.
Investment firm Jefferies maintained a 'Hold' rating on SAIC, adjusting its earnings per share (EPS) estimate to $1.87 for the second fiscal quarter of 2025, citing a more gradual improvement in adjusted EBITDA margins. Similarly, TD Cowen reiterated a 'Buy' rating for SAIC, highlighting the company's high cash flow yield and potential for growth in fiscal year 2026.
However, the European Union has initiated tariffs on electric vehicles (EVs) imported from China, with SAIC facing tariffs of 37.6%. This move has prompted Canada to consider implementing similar tariffs on Chinese-made EVs. These shifts in international trade policy could potentially impact SAIC's EV market operations.
InvestingPro Insights
Science Applications International Corp. (SAIC) has recently made headlines with its commitment to shareholder returns, as evidenced by the announcement of its upcoming quarterly cash dividend. According to InvestingPro data, SAIC has a market capitalization of approximately $6.62 billion, illustrating its significant presence in the technology integration sector. The company's P/E ratio stands at 14.95, indicating a potentially attractive valuation for investors when compared to near-term earnings growth.
InvestingPro Tips shed light on the company's strategic financial maneuvers, with management aggressively buying back shares, reflecting confidence in the company's value proposition. Additionally, SAIC boasts a high shareholder yield, which is a testament to its commitment to returning value to its investors. The company has also maintained its dividend payments for 12 consecutive years, reinforcing the reliability of its shareholder compensation program.
For investors seeking detailed analysis and additional strategic insights, InvestingPro offers a wealth of information. There are currently 6 more InvestingPro Tips available for SAIC, which can be found at: https://www.investing.com/pro/SAIC. These tips provide a deeper dive into the company's financial health and market positioning, further enriching investors' understanding of SAIC's potential.
The InvestingPro platform also indicates that analysts predict SAIC will remain profitable this year, which is consistent with the company's profitability over the last twelve months. This aligns with SAIC's forward-looking statements regarding its financial strategy and ongoing commitment to shareholder returns.
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