MEDIUM confidence: 100% data completeness, but the composite (50) sits in the indecisive 30–70 range — strong-buy and short calls require a more decisive composite. What does confidence mean?
Technical context for active traders — derived from price, the 50/200-day moving averages, the 52-week range, and recent volume. Not part of the QScore.
Fama-French 5-factor (2×3) + Momentum, monthly OLS with Newey-West errors. Bars show signed factor betas; faded bars/figures aren't statistically significant.
AI classification of policy/regulatory sensitivity from the company's sector, industry, and business description. Exposure/sensitivity only — not a political opinion, a prediction of government action, or investment advice. As of 2026-07-10.
Dated events from the market calendar; the “also watch” items are AI-generated observations from QScoring data. Informational only — not investment advice, and dates can change.
| Metric (USD) | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
| Revenue | $2.9B— | $2.7B-6.5% | $2.8B+4.9% | $3.2B+14.4% | $3.6B+12.8% |
| EPS (dil.) | $1.06— | $1.88+77.4% | $0.64-66.0% | $0.80+25.0% | $1.03+28.7% |
| Free Cash Flow | $118M— | -$32M-127.1% | $145Mn/m | $186M+28.3% | $227M+22.0% |
| Gross Margin | 19.0% | 21.4%+2.4pp | 22.9%+1.6pp | 22.8%-0.2pp | 23.8%+1.1pp |
| Operating Margin | 8.2% | 20.8%+12.6pp | 8.2%-12.7pp | 9.1%+0.9pp | 9.5%+0.5pp |
| Net Margin | 5.3% | 15.0%+9.7pp | 5.9%-9.1pp | 6.6%+0.6pp | 7.6%+1.0pp |
Absolute figures with year-over-year change. Margins show the level with the change in percentage points (pp). “n/m” = not meaningful (prior ≤ 0); ⚠ marks a large percentage off a small base — read the dollar figure.
Buy-rated share 80% → 80% over ~3 months (+0pp).
| Quarter | Est. | Actual | Surprise |
|---|---|---|---|
| Jul 2026 | $0.27 | $0.35 | +28.3% |
| May 2026 | $0.21 | $0.26 | +23.8% |
| Feb 2026 | $0.37 | $0.42 | +13.5% |
| Oct 2025 | $0.28 | $0.29 | +3.6% |
| Jul 2025 | $0.22 | $0.23 | +4.5% |
| May 2025 | $0.17 | $0.20 | +21.1% |
| Feb 2025 | $0.36 | $0.38 | +5.6% |
| Oct 2024 | $0.20 | $0.24 | +20.0% |
Net buyback (repurchases less issuance) ÷ market cap, plus trailing dividend yield.
Net insider -$2.9M over 180 days (1 open-market buys, 10 sells). Insider buying is the informative signal; routine selling is normal.
Short interest, days-to-cover, and institutional-ownership change require a data-plan upgrade (not yet available).
Forward-return IC, quintile spread & hit rate publish on /performance as the tracking panel accrues enough no-look-ahead history.
Working the DCF backward: holding the assumptions below, this is the free-cash-flow growth today's price implies over the next 10 years. It is a read on the price's embedded expectations — not a fair-value or target price.
The price implies FCF growth above the analyst consensus of 6.6%/yr (revenue basis).
Base free cash flow $186M (avg FY2023–FY2025; latest year $227M) · equity value $11.9B · levered FCF discounted at the cost of equity. Reverse DCF is illustrative, not advice.
The QScore of 50 indicates a neutral assessment of DRS, driven by a mix of positive and negative factors. The stock scores high on growth, with revenue and EPS growth of 12.8% and 29.6%, respectively, and exhibits strong momentum with a 12-month return of 6.4%. However, it trades at a premium, with a P/E of 37.0, and exhibits relatively low profitability, with an ROE of 11.8%. The long-term and short-term scores are closely aligned, suggesting a consistent outlook.