CACI(US:CACI) ZACKS·2025-05-21 17:46Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, but identifying such stocks can be challenging due to their inherent risks and volatility [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system aids in identifying promising growth stocks by analyzing a company's real growth prospects beyond traditional metrics [2] - CACI International is highlighted as a recommended stock with a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is crucial for investors, with double-digit growth being particularly desirable as it indicates strong future prospects [4] - CACI International has a historical EPS growth rate of 9.8%, but projected EPS growth for this year is expected to be 14.6%, significantly surpassing the industry average of 4.8% [5] Group 3: Cash Flow Growth - Higher-than-average cash flow growth is essential for growth-oriented companies, allowing them to expand without relying on external funding [6] - CACI International's year-over-year cash flow growth stands at 5.9%, exceeding the industry average of 4.9% [6] - The company's annualized cash flow growth rate over the past 3-5 years is 11.8%, compared to the industry average of 6.1% [7] Group 4: Earnings Estimate Revisions - Trends in earnings estimate revisions are indicative of a stock's potential performance, with positive revisions correlating strongly with stock price movements [8] - Current-year earnings estimates for CACI International have been revised upward, with the Zacks Consensus Estimate increasing by 0.8% over the past month [9] Group 5: Overall Assessment - CACI International has achieved a Zacks Rank of 2 due to favorable earnings estimate revisions and has earned a Growth Score of B based on various factors [10] - This combination positions CACI International as a potential outperformer and a solid choice for growth investors [11]