Maximus Q3 revenue falls 5%, misses estimates
MMS•Outlook and capital returns
Maximus reiterated fiscal 2026 revenue guidance of $5.2 billion to $5.35 billion and said it expects results near the low end of that range.
The company updated its fiscal 2026 adjusted diluted EPS outlook to $7.90 to $8.20, reflecting a temporary contract change. It now expects fiscal 2026 free cash flow of $425 million to $475 million.
Maximus repurchased 0.75 million shares for $50.4 million in the quarter.
Analyst coverage and valuation
The current average analyst rating on the shares is buy, with 2 strong buy or buy recommendations, no hold ratings and no sell or strong sell ratings.
The average consensus recommendation for the business support services peer group is buy. Wall Street's median 12-month price target for Maximus is $105.00, about 66.3% above its Aug. 5 closing price of $63.15.
The stock recently traded at 7 times the next 12-month earnings, versus a P/E of 7 three months ago.
Q3 results miss revenue estimates
Maximus said fiscal third-quarter revenue fell 5% year over year and missed expectations.
- $1.28 billion, versus consensus of $1.33 billion from two analysts
