Executive Mosaic’s GovCon Index declined Tuesday with major defense primes and large services companies the major contributors to its losses as U.S. stocks also tumbled on a stronger dollar and a muted global outlook from the International Monetary Fund.
GovCon Index gainers outnumbered laggers by a 2-to-1 ratio, McKesson Corp. (NYSE: MCK) was the lone GCI-S&P 500 stock of 11 to close green and six of the GCI’s 10 worst net performers in Tuesday trade are co-listed shares.
Lockheed Martin (NYSE: LMT) and Northrop Grumman (NYSE: NOC) led the GCI’s decline as the two biggest net decliners with fellow platform makers General Dynamics (NYSE: GD) and Honeywell International (NYSE: HON) also among the day’s largest laggers.
Federal health and human services contractor Maximus (NYSE: MMS) also weighed on the GCI and was its worst percentage performer.
Vectrus (NYSE: VEC) led GCI percentage gainers for a second consecutive session and was its best net advancer Tuesday, while KBR (NYSE: KBR) rebounded a day after the stock plunged 9.91 percent on a full-year earnings guidance cut due to increases in project costs.
Declines in utility stocks dragged the S&P 500 with 10 other sectors lower and financials the only advancer as investors watched the U.S. dollar index hit its highest level in two months and weighed the IMF’s 2016 global growth forecast at 3.1 percent in its “World Economic Outlook.”
The IMF’s prediction is unchanged from its July outlook and the organization also estimates growth in advanced economies such as the U.S. to register 1.6 percent growth versus 2.1 percent in 2015 and the July forecast of 1.8 percent.
Market Summary
| Index | Value | Net Change | % Change |
|---|---|---|---|
| GovCon Index | 80.224 | -0.387 | -0.480% |
| S&P 500 | 2, 150.49 | -10.71 | -0.50% |
| Dow Jones Industrial Average | 18, 168.45 | -85.40 | -0.47% |
| NASDAQ | 5, 289.66 | -11.22 | -0.21% |
| Advancing GovCon Index Issues | 9 |
| Declining GovCon Index Issues | 20 |
| Unchanged GovCon Index Issues | 1 |
Lowest GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –¾ | % Change |
|---|---|---|---|---|
| LMT | Lockheed Martin * | 237.10 | -3.48 | -1.45% |
| NOC | Northrop Grumman * | 212.83 | -2.27 | -1.06% |
| MMS | Maximus | 54.71 | -1.35 | -2.41% |
| HON | Honeywell International * | 114.88 | -1.17 | -1.01% |
| GD | General Dynamics * | 153.55 | -1.16 | -0.75% |
Lowest GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –¾ |
|---|---|---|---|---|
| MMS | Maximus | 54.71 | -1.35 | -2.41% |
| ACM | AECOM | 29.14 | -0.57 | -1.92% |
| TXT | Textron * | 39.21 | -0.67 | -1.68% |
| LMT | Lockheed Martin * | 237.10 | -3.48 | -1.45% |
| CUB | Cubic Corp. | 46.34 | -0.54 | -1.15% |
Top GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –´ | % Change |
|---|---|---|---|---|
| VEC | Vectrus | 17.13 | +0.59 | +3.57% |
| GIB | CGI Group | 47.79 | +0.49 | +1.04% |
| KBR | KBR | 14.10 | +0.47 | +3.45% |
| MCK | McKesson Corp. * | 165.66 | +0.28 | +0.17% |
| HII | Huntington Ingalls Industries | 153.80 | +0.28 | +0.18% |
Top GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –´ |
|---|---|---|---|---|
| VEC | Vectrus | 17.13 | +0.59 | +3.57% |
| KBR | KBR | 14.10 | +0.47 | +3.45% |
| GIB | CGI Group | 47.79 | +0.49 | +1.04% |
| BAESY | BAE Systems | 27.68 | +0.22 | +0.82% |
| NAV | Navistar International | 23.25 | +0.15 | +0.65% |
