Amentum Holdings, Inc. (AMTM) Stock Analysis

Amentum’s principal competitive advantages stem from its scale, technical breadth, and entrenched government relationships. With over 53,000 employees and operations in 80+ countries, Amentum is among the largest advanced engineering and technology contractors serving U.S. and allied governments. Its $45 billion backlog (Q3 FY25) provides multi-year revenue visibility and positions the company to win and execute large, complex programs—an area where smaller peers such as Parsons or V2X lack comparable resources.

Amentum’s dual-segment structure—Digital Solutions and Global Engineering Solutions—enables it to deliver integrated offerings across defense, intelligence, nuclear, and environmental markets. This breadth is a differentiator versus more specialized competitors like Booz Allen (primarily consulting) or BWX Technologies (nuclear focus). The company’s track record in high-barrier sectors, such as nuclear remediation and space systems, is reinforced by recent wins: a $4 billion Space Force contract and a CAD 1.2 billion/year Canadian nuclear award.

Customer stickiness is high: ~90% of revenue is from U.S. federal contracts, often with long tenures and renewal options. Amentum’s scale and past performance also secure access to major Indefinite Delivery/Indefinite Quantity (IDIQ) vehicles, which are critical for on-contract growth.

Risks include exposure to government budget cycles and the challenge of integrating large acquisitions. However, Amentum’s diversified portfolio, robust pipeline, and disciplined capital allocation provide resilience relative to less diversified peers.