Is CACI a Buy? What to Consider in 2026

Short answer

The bull case for CACI International provides expertise and technology to US government and allied customers (CACI) rests on Long backlog and recurring government demand: CACI reported total backlog of roughly $33.4 billion as of March 2026, equal to nearly four years of revenue, with about 92% of revenue tied to existing programs. Revenue (TTM) is ~$9.2B. If you believe that thesis holds, the real questions become position sizing and overlap, not timing. The main risk to that view: CACI derives the large majority of revenue from the US government, so budget delays, continuing resolutions, shutdowns, or shifts in defense and intelligence priorities can directly pressure growth. Whether CACI is a buy comes down to whether you believe the thesis. This is informational, not a recommendation, and Walnut is not an investment adviser.

CACI International provides expertise and technology to US government and allied customers, concentrated in national security, defense, and intelligence. Its work spans signals and geospatial intelligence, electronic warfare, secure communications, software and systems engineering, cyber, and enterprise IT modernization, and roughly the large majority of revenue comes from federal agencies (Department of Defense and the intelligence community). The March 2026 completion of the ~$2.6 billion all-cash ARKA Group acquisition pushed CACI further into space-based sensing, geospatial intelligence, and agentic AI software, adding about 1,100 employees including a large specialized software-engineering base. The investment picture is one of a mature, defensive government-services compounder rather than a hypergrowth name. Revenue grew about 13% in fiscal 2025 (year ended June 2025) to roughly $8.6 billion and trailing revenue reached about $9.2 billion by the March 2026 quarter, supported by a total backlog near $33 billion that represents close to four years of revenue. Bulls point to margin mix shifting toward proprietary technology and software, a book-to-bill above 1x, and durable demand; skeptics point to reliance on federal budget cycles, contract recompete risk, and leverage taken on to fund deals like ARKA.

What's the case for buying CACI?

1. Long backlog and recurring government demand

CACI reported total backlog of roughly $33.4 billion as of March 2026, equal to nearly four years of revenue, with about 92% of revenue tied to existing programs. That visibility, plus a book-to-bill around 1.1x in fiscal 2025, gives the model unusual durability compared with cyclical commercial businesses.

2. Shift toward higher-margin technology and software

Management has steered the mix toward proprietary technology (signals intelligence, electronic warfare, secure communications, and software) rather than pure staffing. EBITDA margins in the low-to-mid teens and rising adjusted EPS reflect this shift, and the strategy is central to whether CACI can keep expanding profitability from a services base.

3. Acquisitions into space and agentic AI

The ~$2.6 billion ARKA Group deal, completed March 2026, added space-based sensors, geospatial intelligence, and agentic AI software aimed at national security customers. CACI has a long track record of acquiring and integrating government-technology businesses, and this capability is a core growth lever alongside organic contract wins.

4. Defense and intelligence budget tailwinds

Priorities such as space, cyber, electronic warfare, and AI-enabled intelligence align with areas of sustained or growing federal investment. CACI positions itself as a technology provider to these missions, which supports the case for mid-to-high single-digit organic growth if budgets hold.

What are the risks to CACI?

CACI derives the large majority of revenue from the US government, so budget delays, continuing resolutions, shutdowns, or shifts in defense and intelligence priorities can directly pressure growth. A meaningful share of revenue rides on competitively recompeted contracts, and lost recompetes or protests can create lumpy results. The company uses debt to fund sizable acquisitions such as ARKA, so leverage, integration execution, and interest costs are real considerations. Margins can be affected by contract mix, transaction expenses, and labor cost inflation for cleared technical talent. Finally, the stock trades at a premium to some defense-services peers, so multiple compression is possible if growth or margins disappoint.

How is CACI valued? (as of JULY 2026)

Price

$503.12

Market cap

$11.11B

P/E (TTM)

20.79

Forward P/E

16.10

Price / book

2.60

Beta

0.54

52-week range

$434.70 to $683.50

Snapshot for CACI as of July 2026, sourced from Yahoo Finance and may be delayed. Valuation figures move with price and earnings; verify the current numbers with your broker before deciding.

Revenue (TTM): ~$9.2B
FY2026 revenue guidance: ~$9.5B to $9.6B
Net income (FY2025): ~$500M
Market cap: ~$11.1B
P/E (trailing): ~25x
Total backlog: ~$33.4B

Trailing revenue was about $9.2 billion as of the March 2026 quarter, up from roughly $8.6 billion in fiscal 2025 (year ended June 2025), and management guided fiscal 2026 revenue toward $9.5 billion to $9.6 billion. As of early July 2026 the market capitalization was near $11 billion at a share price around $500, a trailing P/E near 25x and a forward P/E closer to 20x, reflecting a premium typical of scaled, backlog-rich defense-technology contractors.

How do you decide if CACI is a buy?

Rather than asking whether CACI is a buy in the abstract, it tends to help to answer four questions:

Thesis: do you believe the case above, and is it still true today?
Time horizon: a single stock can be volatile, so a longer horizon absorbs more of the swings.
Position sizing: a thesis can be right and the sizing still wrong; decide how much of your portfolio one name should be.
Overlap: check whether you already hold CACI indirectly through an index or sector ETF before adding more.

For the full picture, see the CACI stock guide (what the company does, the ETFs that hold it, similar stocks, and the themes it fits). In Walnut you can ask its AI about CACI against your real portfolio and see your actual exposure before deciding.

The bottom line on CACI

The bottom line: CACI International provides expertise and technology to US government and allied customers's story right now is Long backlog and recurring government demand, with revenue (ttm) at ~$9.2B. If you believe that narrative continues, the call is about sizing CACI sensibly and checking overlap with what you own; if you doubt it (the risk: cACI derives the large majority of revenue from the US government, so budget delays, continuing resolutions, shutdowns, or shifts in defense and intelligence priorities can directly pressure growth.), it is not for you. Decide from the thesis, not the ticker. Walnut is not an investment adviser.

Build a basket around CACI with Walnut

Use CACI International provides expertise and technology to US government and allied customers as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.

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FAQ

Is CACI a good stock to buy right now?

The case for CACI International provides expertise and technology to US government and allied customers right now is Long backlog and recurring government demand, with revenue (ttm) at ~$9.2B. If you believe that thesis holds, CACI is a way to own it and the real questions are sizing and overlap, not timing; the main risk to that view is cACI derives the large majority of revenue from the US government, so budget delays, continuing resolutions, shutdowns, or shifts in defense and intelligence priorities can directly pressure growth. So it comes down to whether you believe the thesis. Walnut is not an investment adviser and this is not a recommendation.

What does CACI International provides expertise and technology to US government and allied customers do?

CACI International provides expertise and technology to US government and allied customers, concentrated in national security, defense, and intelligence.

What are the main risks of CACI?

What does CACI International do?

CACI provides technology and expertise mainly to US government customers in defense and intelligence, including signals and geospatial intelligence, electronic warfare, secure communications, software and systems engineering, cyber, and enterprise IT modernization.

How does CACI make money?

It earns revenue almost entirely from contracts with US federal agencies, primarily the Department of Defense and the intelligence community, delivered as a mix of proprietary technology (products and software) and expertise-based services.

Is CACI a defense stock?

Yes, CACI is generally viewed as a defense and government-services stock because the large majority of its revenue comes from national security, defense, and intelligence customers, making it sensitive to US defense budgets.

How big is CACI's backlog?

CACI reported total backlog of roughly $33.4 billion as of March 2026, which management has described as close to four years of revenue, giving the business substantial visibility into future work.

Walnut is informational and is not an investment adviser. This page is educational and not a recommendation to buy or sell CACI; figures are approximate and dated, and your own situation, time horizon, and risk tolerance should drive any decision. Verify current data before investing.