After a string of standout quarters, Leidos delivered one for the 4th quarter of 2017 that was merely 'solid.' Though much of the margin and profitability improvement stemming from the merger which formed the company two years ago is behind it, it will have a strong tailwind behind it for 2018 and 2019 in the form of a significantly increased Department of Defense Budget. Though the company cautions that the effects of the increased military spending will not be immediate, there is likely a lot of business to be won in the months and years ahead, and the combined company's enhanced capabilities appear to make it a more formidable competitor for projects that are out for bid.