Executive Mosaic’s GovCon Index started September with a slight decline Thursday to register its third straight loss as Vectrus (NYSE: VEC) plunged almost 20 percent on the loss of a contract for Middle East-based logistics services the company held since 2010.
Colorado Springs-based Vectrus said pre-open the Army Prepositioned Stocks-5 contract for services in Kuwait and Qatar contributed $93 million in revenue through June 2016 but the company added it does not plan to revise its full-year financial guidance at this time.
In filings with the Securities and Exchange Commission, Vectrus called the contract “fully funded” through Nov. 30 with options to extend through Feb. 28.
Vectru’ stock traded at nearly than eight times above the three-month average volume with close to 644, 000 total shares exchanged Thursday.
AECOM‘s (NYSE: ACM) URS Federal Services business was selected to continue the APS-5 work under a $70.4 million contract modification the Defense Department announced after markets closed Wednesday.
GovCon Index gainers slightly edged laggers and five of the GCI’s 11 S&P 500-listed stocks advanced during a choppy trading day for U.S. markets.
Orbital ATK (NYSE: OA) led GCI net advancers after Deutsche Bank initiated coverage of the space systems and weapons maker with a “Buy” rating and $100 price target with a forecast of increased incremental buying of the stock after the company releases revised financial statements and carries out its next resupply mission to the International Space Station.
The S&P 500 closed flat as investors looked ahead to the August employment report due Friday morning for clues on whether the Federal Reserve will move on an interest rate hike in September.
Futures markets have the odds of a September increase at 34 percent compared to 40 percent Thursday, Bloomberg reported.
Market Summary
| Index | Value | Net Change | % Change |
|---|---|---|---|
| GovCon Index | 81.073 | -0.080 | -0.099% |
| S&P 500 | 2, 170.86 | -0.09 | -0.00% |
| Dow Jones Industrial Average | 18, 419.30 | +18.42 | +0.10% |
| NASDAQ | 5, 227.21 | +13.99 | +0.27% |
| Advancing GovCon Index Issues | 17 |
| Declining GovCon Index Issues | 13 |
| Unchanged GovCon Index Issues | 0 |
Lowest GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –¾ | % Change |
|---|---|---|---|---|
| VEC | Vectrus | 26.91 | -6.83 | -20.24% |
| MCK | McKesson Corp. * | 183.27 | -1.35 | -0.73% |
| CACI | CACI International | 98.66 | -0.70 | -0.70% |
| HON | Honeywell International * | 116.13 | -0.58 | -0.50% |
| NAV | Navistar International | 13.53 | -0.51 | -3.63% |
Lowest GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –¾ |
|---|---|---|---|---|
| VEC | Vectrus | 26.91 | -6.83 | -20.24% |
| I | Intelsat | 2.57 | -0.13 | -4.81% |
| NAV | Navistar International | 13.53 | -0.51 | -3.63% |
| ACM | AECOM | 30.44 | -0.39 | -1.26% |
| MMS | Maximus | 58.35 | -0.47 | -0.80% |
Top GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –´ | % Change |
|---|---|---|---|---|
| OA | Orbital ATK, Inc | 77.27 | +1.84 | +2.44% |
| GIB | CGI Group | 49.84 | +1.15 | +2.36% |
| HII | Huntington Ingalls Industries | 165.96 | +0.79 | +0.48% |
| ICFI | ICF International | 42.56 | +0.71 | +1.70% |
| CSRA | CSRA * | 26.09 | +0.70 | +2.76% |
Top GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –´ |
|---|---|---|---|---|
| CSRA | CSRA * | 26.09 | +0.70 | +2.76% |
| OA | Orbital ATK, Inc | 77.27 | +1.84 | +2.44% |
| GIB | CGI Group | 49.84 | +1.15 | +2.36% |
| BAESY | BAE Systems | 28.62 | +0.53 | +1.89% |
| ICFI | ICF International | 42.56 | +0.71 | +1.70% |
