OSIS vs BAH

For growth investors, Booz Allen Hamilton Holding Corporation (BAH) is the stronger pick with 12.

4% revenue growth year-over-year, versus 11. 3% for OSI Systems, Inc. (OSIS). Booz Allen Hamilton Holding Corporation (BAH) offers the better valuation at 10. 6x trailing P/E (12. 7x forward), making it the more compelling value choice. Analysts rate OSI Systems, Inc. (OSIS) a "Buy" — based on 17 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Booz Allen Hamilton Holding Corporation (BAH) is the cheapest at 10.

6x versus OSI Systems, Inc. at 27. 7x. On forward P/E, Booz Allen Hamilton Holding Corporation is actually cheaper at 12. 7x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Booz Allen Hamilton Holding Corporation wins at 0. 78x versus OSI Systems, Inc. 's 1. 39x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, OSI Systems, Inc.

(OSIS) delivered a total return of +149. 9%, compared to +2. 7% for Booz Allen Hamilton Holding Corporation (BAH). Over 10 years, the gap is even starker: OSIS returned +372. 9% versus BAH's +227. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Booz Allen Hamilton Holding Corporation (BAH) is the lower-risk stock at 0.

35β versus OSI Systems, Inc. 's 1. 44β — meaning OSIS is approximately 314% more volatile than BAH relative to the S&P 500. On balance sheet safety, OSI Systems, Inc. (OSIS) carries a lower debt/equity ratio of 72% versus 4% for Booz Allen Hamilton Holding Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Booz Allen Hamilton Holding Corporation (BAH) is pulling ahead at 12.

4% versus 11. 3% for OSI Systems, Inc. (OSIS). On earnings-per-share growth, the picture is similar: Booz Allen Hamilton Holding Corporation grew EPS 58. 0% year-over-year, compared to 18. 0% for OSI Systems, Inc.. Over a 3-year CAGR, OSIS leads at 13. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

OSI Systems, Inc.

(OSIS) is the more profitable company, earning 8. 7% net margin versus 7. 8% for Booz Allen Hamilton Holding Corporation — meaning it keeps 8. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: OSIS leads at 12. 7% versus 11. 4% for BAH. At the gross margin level — before operating expenses — BAH leads at 54. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Booz Allen Hamilton Holding Corporation (BAH) is the more undervalued stock at a PEG of 0. 78x versus OSI Systems, Inc. 's 1. 39x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Booz Allen Hamilton Holding Corporation (BAH) trades at 12. 7x forward P/E versus 23. 0x for OSI Systems, Inc. — 10. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for BAH: 26. 5% to $97. 20.

In this comparison, BAH (2.

7% yield) pays a dividend. OSIS does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Booz Allen Hamilton Holding Corporation (BAH) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

35), 2. 7% yield, +227. 8% 10Y return). Both have compounded well over 10 years (BAH: +227. 8%, OSIS: +372. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (OSIS (Technology) and BAH (Industrials)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: OSIS is a small-cap quality compounder stock; BAH is a mid-cap deep-value stock. BAH pays a dividend while OSIS does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.