CACI: Not rated
Published 15 Sep 2026, 19:49 BST. This is the frozen version, not the current recommendation.
Why this assessment was issued
First recorded assessment. Current data checks do not support an active rating.
A target is not published until the required checks pass. Conflicting dated amounts need reconciliation before a target can be published: net ppe.
Supporting evidence
Quarterly sales are growing
Revenue changed +17.6% from the same quarter last year, through 2026-06-30. The previous quarter’s year-on-year change was +8.5%.
More cash remains for each dollar of profit
Cash after capital spending / profit: 1.5× for CACI, against 1.2× across 10 comparable peers.
Opposing evidence
Price has outpaced earnings
Over 1 year (2025-09-12 to 2026-09-11), price changed +25.2% and trailing EPS changed +12.6%. A wider gap changes the earnings multiple; it does not establish fair value.
Working capital is growing faster than sales
Inventory changed +40.0%, against sales of +17.6%, from the same quarter last year. This can tie up cash. Acquisitions, payment timing and seasonality also need checking.
Original assumptions and checks
| tax | 23.92991661946076 |
|---|---|
| price | 621.17 |
| years | 1.2101300479123889 |
| claims | 0.0 |
| growth | 9.854807626995965 |
| margin | 9.61367314190681 |
| profit | 535808000.0 |
| shares | 22099597.0 |
| cash_ok | True |
| debt_ok | False |
| growths | [11.217620396628103, 5.728521022626354, 8.491994857363828, 17.573250630168946] |
| revenue | 9567779000.0 |
| discount | 7.493605730615829 |
| downside | 63.659161564059 |
| interest | 215454000.0 |
| leverage | 4.828744765245941 |
| net_debt | 5192777000.0 |
| terminal | 2 |
| free_cash | 780057000.0 |
| ppe_ratio | 0.0814338416470531 |
| buy_hurdle | 22.892014219934854 |
| extra_debt | 0 |
| volatility | 45.78402843986971 |
| basis_notes | [] |
| capex_ratio | 0.011147101119287977 |
| share_ratio | Not available |
| annual_years | 5 |
| capital_cost | {'tax': 23.92991661946076, 'beta': 0.5636150284364422, 'debt': 5384533000.0, 'beta_end': '2026-09-11', 'discount': 7.493605730615829, 'debt_cost': 6.46, 'risk_free': 4.96, 'beta_start': '2023-09-22', 'beta_weeks': 156, 'source_url': 'https://home.treasury.gov/resource-center/data-chart-center/interest-rates', 'debt_weight': 28.17336569006676, 'equity_cost': 8.505383428121473, 'equity_value': 13727606668.49, 'adjusted_beta': 0.7090766856242947, 'credit_spread': 1.5, 'equity_premium': 5.0, 'risk_free_date': '2026-09-11', 'observed_interest': 4.00134979208039} |
| depreciation | 2.5700739952291958 |
| normal_capex | 2.5700739952291958 |
| tax_measured | True |
| current_capex | 1.1147101119287977 |
| working_ratio | 0.06727392010204249 |
| financial_date | 2026-06-30 |
| interest_cover | 3.8499614066677563 |
| operating_cash | 886710000.0 |
| terminal_share | 82.23088177934908 |
| reporting_basis | quarterly |
| uncapped_growth | 9.854807626995965 |
| projected_margin | 8.66961480728385 |
| historical_margin | 8.66961480728385 |
| depreciation_ratio | 0.025700739952291957 |
| net_debt_at_target | 5192777000.0 |
| non_operating_assets | 0 |
Recent price · Passed. Weekly close dated 2026-09-11.
Current financials · Passed. Statements through 2026-06-30; factor prices dated 2026-09-11.
Price risk · Passed. Risk uses the latest 52 weekly price changes.
Operating history · Passed. 5 annual results, retaining operating losses and unusually strong years.
Quarterly operating results · Passed. Four quarters through 2026-06-30.
Cash-flow and ownership inputs · Passed. Capital spending, depreciation estimate, operating capital, debt, cash and other ownership claims are recorded.
Depreciation basis · Passed. Four matching quarters of operating income and reported depreciation are required. An unrelated EBITDA-minus-EBIT difference is not treated as depreciation.
Matching currency · Passed. USD statements and share price.
Operating totals · Passed. Quarterly sales and operating profit agree with the trailing snapshot within 5%.
Operating discount rate · Passed. The operating cash-flow discount rate needs a current USD Treasury rate, at least two years of matching market returns, and dated debt and share inputs. An equity return hurdle is not used as the company's funding cost.
Continuing growth and funding cost · Passed. The funding cost must exceed continuing growth in every valuation scenario.
Scenario consistency · Passed. The weaker, central and stronger assumptions must give an ordered range. When growth costs more capital than it earns, a tailored operating review is required before publishing a target.
Ownership source reconciliation · Review needed. Conflicting dated amounts need reconciliation before a target can be published: net ppe.
Policy sm-review-2-research · Model sm-assessment-12-rating-balance · Data bcb43a55b083.