Shares of Science Applications International Corp. climbed in pre-market trading after the company released its second-quarter fiscal 2027 results, posting financial outcomes that exceeded consensus estimates and prompting management to boost full-year targets.
SAIC reported adjusted diluted earnings per share of $3.01 for the quarter, ahead of the $2.31 analyst consensus by $0.70. Revenue for the period totaled $1.88 billion, beating the Wall Street expectation of $1.76 billion and marking roughly 6.3% year-over-year growth.
Investors responded to more than just the quarterly beat. Management raised its full-year adjusted diluted EPS guidance to a range of $10.65 to $10.75, up from the prior outlook of $9.90 to $10.10, and comfortably above the analyst consensus of $9.95. The company also lifted its revenue guidance to a range of $7.20 billion to $7.30 billion for FY2027.
CEO Jim Reagan commented on the quarter, saying, "I am proud of our team’s performance this quarter, delivering solid organic growth and double-digit margins as we continue to execute with discipline." That management commentary, coupled with the financial beats and guidance increases, helped drive investor enthusiasm.
Adding to the positive market reaction, Jefferies raised its price target on SAIC to $130 from $115, reflecting increased confidence among at least one sell-side analyst in the company’s earnings trajectory. The stock rose sharply in pre-market activity, reaching an intraday 52-week high of $130.98 during the regular session and trading as high as $136.88 in pre-market trading.
Notably, sector peers Leidos Holdings and Booz Allen Hamilton moved only modestly higher around the same time, indicating the rally was driven primarily by company-specific news rather than a broad sector-wide surge in defense-IT names.
Market context and takeaway
The combination of an above-consensus EPS result, a revenue surprise, an upward revision to full-year guidance across earnings and revenue, and a fresh analyst price-target increase created a concentrated set of positive catalysts that propelled SAIC shares higher in early trading. The moves underscore investor focus on earnings quality, guidance revisions, and analyst sentiment within the government technology and defense-IT segment.