Maximus: A Discount To Peers, Even If The Recent Contract Change Is Permanent

Maximus cut fiscal 2026 adjusted EPS guidance to $7.90-$8.20 after the VA paused performance incentive payments in its medical exam program from July 1 through Dec. 31, 2026. At $55.18, MMS trades at 6.9x the $8.05 guidance average. Without the incentives, our math puts annual adjusted EPS near $7, or 7.9x, still below every peer. MMS trades at 8.2x trailing earnings against 11.5x for Leidos and 12x for Booz Allen, with a 15% trailing free cash flow yield and the lowest leverage in its peer group.