On May 29, analyst Mariana Perez Mora from Bank of America Securities reiterated a Buy rating on Booz Allen Hamilton Holding Corporation (NYSE:BAH) with a $160.00 price target.

The analyst based the rating on the company's growth potential and strategic positioning. Booz Allen Hamilton Holding Corporation (NYSE:BAH) is undergoing a restructuring in its Civilian business, which has led to a recent decline in its stock price.

A technician testing and configuring a digital solution at a lab workstation.

Despite that, the analyst stated that the company's fiscal year 2026 outlook remains strong, especially in the National Security sector. Supported by its technical expertise and notable understanding of mission needs, Booz Allen Hamilton Holding Corporation (NYSE:BAH) holds a strong position as a key government partner for commercial technology integration.

The analyst also reasoned that the company's considerable investments in AI and other technologies position it well for notable future growth. He expects Booz Allen Hamilton Holding Corporation (NYSE:BAH) to continue exhibiting significant growth in its AI business, expanding its position as contracts develop from prototypes to large-scale production. The company's restructuring efforts more suitably align it with market opportunities, which supports the buy rating.

Booz Allen Hamilton Holding Corporation (NYSE:BAH) provides management and technology consulting services. Its offerings include digital solutions, engineering, analytics, and cyber expertise.

While we acknowledge the potential of BAH as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BAH and that has 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.