Booz Allen (BAH) Gets Beaten, Falls 8% as Treasury Dept Terminates Entire Contract

Core Viewpoint - Booz Allen Hamilton Holding Corp. experienced a significant decline in stock price following the termination of all contracts by the Treasury Department due to a tax information leak involving high-profile individuals [1][2][3]. Group 1: Company Performance - Booz Allen Hamilton's stock fell by 8.12% to close at $93.93 after the announcement from the Treasury Department [1]. - The company had previously enjoyed a three-day winning streak before this decline [1]. - The termination of contracts was linked to inadequate safeguards for sensitive data, including taxpayer information [3]. Group 2: Financial Outlook - For the fiscal year 2026, Booz Allen Hamilton revised its revenue forecast to a range of $11.3 billion to $11.4 billion, down from a previous high-end estimate of $11.5 billion, indicating a year-on-year decline of 5 to 6% [4]. Group 3: Government Action - Treasury Secretary Scott Bessent stated that the cancellation of contracts was a necessary step to enhance public trust in government, following the leak of tax information by a former employee [2]. - The individuals involved in the leak included prominent figures such as President Donald Trump, Elon Musk, and Jeff Bezos [2].