JPMorgan Cuts Science Applications International Price Target

Investment bank lowers outlook for government contractor's stock

Apr. 13, 2026 at 3:23pm

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An extreme close-up of complex banking and computing hardware, conveying the intricate financial infrastructure that supports the government contracting industry in a muted, industrial style.The heavy, industrial machinery that powers the government services sector faces an uncertain economic climate, as analysts adjust their outlook for major contractors like SAIC.Los Angeles Today

JPMorgan Chase & Co. has reduced its price target for shares of Science Applications International Corporation (NASDAQ: SAIC) from $125 to $110, while maintaining a 'neutral' rating on the stock. The investment bank cited a less optimistic outlook for the government contractor's future performance.

Why it matters

Science Applications International is a major provider of technical, engineering and IT services to the U.S. government, including the Department of Defense. As a bellwether in the government contracting industry, JPMorgan's downgrade could signal broader concerns about the sector's growth prospects.

The details

In a research note, JPMorgan analysts lowered their price target for SAIC shares from $125 to $110, while keeping a 'neutral' rating on the stock. The bank cited a less favorable view of the company's future performance and growth potential. Several other research firms have also recently adjusted their ratings and price targets for SAIC, with Stifel Nicolaus cutting its price objective from $128 to $120 and Citigroup lowering its target from $133 to $120.

  • JPMorgan issued the updated price target and rating on April 13, 2026.

The players

JPMorgan Chase & Co.

A major global investment bank and financial services company.

Science Applications International Corporation (SAIC)

A leading provider of technical, engineering and enterprise IT services to the U.S. government, including the Department of Defense and intelligence community.

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What’s next

Investors will be closely watching to see if other major research firms follow JPMorgan's lead in adjusting their outlooks for SAIC. The company's next quarterly earnings report, scheduled for early May, will also provide further insight into its financial performance and growth trajectory.

The takeaway

JPMorgan's downgrade of Science Applications International highlights the challenges facing government contractors as federal spending priorities shift. This development underscores the need for SAIC and its peers to adapt their service offerings and strategies to maintain competitiveness in a dynamic market.