Executive Mosaic’s GovCon Index added at least 1 full percent for a fourth consecutive session Monday to new all-time high as defense primes continued to lead gainers and construction company AECOM (NYSE: ACM) also climbed after its CEO offered investors a positive outlook on U.S. infrastructure spending.
GovCon Index gainers outnumbered laggers at a 5-to-1 ratio and all 11 of its S&P 500 components advanced for a third day over the last four with Lockheed Martin (NYSE: LMT) the top performer in the GCI overall and for co-listed stocks.
The post-election surge in defense prime stocks has paced the GovCon Index’s gain over four straight days as investors continue to take positions in many of the country’s largest weapons and platform makers in light of President-elect Donald Trump’s campaign pledge to increase military spending.
Northrop Grumman (NYSE: NOC), Orbital ATK (NYSE: OA) and L-3 Communications (NYSE: LLL) joined Lockheed and AECOM in the GCI’s top five net gainers Monday.
Los Angeles-based AECOM’s stock hit a 52-week high and closed second-highest for net advancers as investors took note of AECOM CEO Michael Burke’s comments to analysts that infrastructure projects backed by state ballot initiatives and higher gasoline taxes will spur an increase in domestic spending regardless of the future Trump administration’s plans, according to the Wall Street Journal.
œI don™t think we™ve ever been more bullish on the future of infrastructure in North America, the Journal quoted Burke as saying.
Shares in AECOM surged despite fourth quarter earnings and revenue below Wall Street’s forecast and bottom-line guidance for 2017 that also missed analysts’ expectations.
AECOM is up 32.54 percent over four sessions, while GovCon Index-listed engineering and construction contractor KBR (NYSE: KBR) has added 25.68 percent since the election on investor optimism over infrastructure prospects.
The general U.S. stock market showed mixed activity Monday as the S&P 500 closed in neutral with information technology stocks down 2 percent to lead seven other sectors lower and offset respective 2-percent gains by real estate and financial shares.
Fourteen GovCon Index stocks hit 52-week highs during the Monday session:
- AECOM (NYSE: ACM)
- Booz Allen Hamilton (NYSE: BAH)
- CACI International (NYSE: CACI)
- Engility Holdings (NYSE: EGL)
- General Dynamics (NYSE: GD)
- Harris Corp. (NYSE: HRS)
- Huntington Ingalls Industries (NYSE: HII)
- L-3 Communications (NYSE: LLL)
- Lockheed Martin (NYSE: LMT)
- ManTech International (Nasdaq: MANT)
- Navistar International (NYSE: NAV)
- Raytheon (NYSE: RTN)
- Science Applications International Corp. (NYSE: SAIC)
- Textron (NYSE: TXT)
Market Summary
| Index | Value | Net Change | % Change |
|---|---|---|---|
| GovCon Index | 88.282 | +1.526 | +1.759% |
| S&P 500 | 2, 164.20 | -0.25 | -0.01% |
| Dow Jones Industrial Average | 18, 868.69 | +21.03 | +0.11% |
| NASDAQ | 5, 218.40 | -18.72 | -0.36% |
| Advancing GovCon Index Issues | 25 |
| Declining GovCon Index Issues | 5 |
| Unchanged GovCon Index Issues | 0 |
Top GovCon Index Net Gainers
| Symbol | Company | $ Current Price | Net Change –´ | % Change |
|---|---|---|---|---|
| LMT | Lockheed Martin * | 267.24 | +8.07 | +3.11% |
| ACM | AECOM | 36.95 | +4.73 | +14.68% |
| OA | Orbital ATK | 85.11 | +3.80 | +4.67% |
| NOC | Northrop Grumman * | 251.12 | +3.62 | +1.46% |
| LLL | L-3 Communications * | 153.93 | +3.00 | +1.99% |
Top GovCon Index Percentage Gainers
| Symbol | Company | $ Current Price | Net Change | % Change –´ |
|---|---|---|---|---|
| ACM | AECOM | 36.95 | +4.73 | +14.68% |
| CSRA | CSRA * | 31.95 | +1.53 | +5.03% |
| OA | Orbital ATK | 85.11 | +3.80 | +4.67% |
| MMS | Maximus | 54.38 | +2.36 | +4.54% |
| KBR | KBR | 16.63 | +0.69 | +4.33% |
Lowest GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –¾ | % Change |
|---|---|---|---|---|
| GIB | CGI Group | 47.76 | -0.74 | -1.53% |
| HON | Honeywell International * | 113.04 | -0.21 | -0.19% |
| BAESY | BAE Systems | 29.64 | -0.17 | -0.57% |
| CAE | CAE | 14.14 | -0.07 | -0.49% |
| ICFI | ICF | 50.20 | -0.05 | -0.10% |
Lowest GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –¾ |
|---|---|---|---|---|
| GIB | CGI Group | 47.76 | -0.74 | -1.53% |
| BAESY | BAE Systems | 29.64 | -0.17 | -0.57% |
| CAE | CAE | 14.14 | -0.07 | -0.49% |
| HON | Honeywell International * | 113.04 | -0.21 | -0.19% |
| ICFI | ICF | 50.20 | -0.05 | -0.10% |
