Executive Mosaic’s GovCon Index ended the week in red territory following a 0.04% dip to $4,979.17. The Dow Jones Industrial Average (+0.04%) edged slightly higher, while the S&P 500 (-0.16%) and Nasdaq Composite (-0.18%) posted modest losses.
The AI-induced rally lost steam as top chip stocks NVIDIA (Nasdaq: NVDA), Micron Technologies (Nasdaq: MU), and Broadcom (Nasdaq: AVGO) slumped to end the week. Sarepta Therapeutics (Nasdaq: SRPT) soared 30.14% to $160.72 on news that the FDA approved the biotech’s drug candidate to treat Duchenne muscular dystrophy in children.
A dozen underperformers caused the GovCon Index to close in the red. Mercury Systems (Nasdaq: MRCY) and V2X (NYSE: VVX) led 18 gainers, while AeroVironment (Nasdaq: AVAV) and Palantir Technologies (NYSE: PLTR) plunged nearly 7%.
Mercury Systems announced mid-week that the second phase of its organizational restructuring had been completed. The mission-critical technologies provider aims to improve performance and accelerate growth by consolidating and simplifying its operations. Besides the tech selloff, Monness, Crespi, and Hardt analysts downgraded AI stock Palantir Technologies to sell from neutral.
The U.S. Air Force awarded Lockheed Martin Space, a major business division of Lockheed Martin (NYSE: LMT), a $977.5 million cost-plus-incentive-fee contract modification to a previously awarded contract for Phase 2.1B. The Phase 2.1B contract modification is for on-orbit developmental and operational testing, calibration, and tuning of the Overhead Persistent Infrared main mission payload.
Also, on Friday, the U.S. Air Force awarded Collins Aerospace, an RTX (NYSE: RTX) subsidiary, a $264.5 million predominately firm-fixed-price, indefinite-delivery/definite-quantity with a portion on a cost-plus-fixed-fee and cost-reimbursement incentive contract. The contract is for sustaining the DB-110 and MS-110 Reconnaissance Pod programs.
U.S. existing home sales fell for a third straight month in May due to record-high prices and mortgage rates. Nevertheless, the National Association of Realtors reported before the weekend that housing inventory reached its highest-level last month in nearly two years. The association believes sustained rising supply could restrain price gains and improve affordability.
Market Summary
| INDEX | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| GovCon Index Daily Average | 4,979.17 | -2.08 | -0.04% |
| Dow Jones Industrial Average | 39,150.33 | 15.57 | 0.04% |
| S&P 500 | 5,464.62 | -8.55 | -0.16% |
| NASDAQ | 17,689.36 | -32.23 | -0.18% |
Top 5 GovCon Index Daily Percentage Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| MRCY | 28.24 | 1.63 | 6.13% |
| VVX | 49.72 | 2.52 | 5.34% |
| KTOS | 20.65 | 0.49 | 2.43% |
| MMS | 88.37 | 1.08 | 1.24% |
| SAIC | 117.31 | 1.32 | 1.14% |
Top 5 GovCon Index Daily Net Performers
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| CACI | 433.77 | 3.09 | 0.72% |
| ACN | 308.98 | 2.82 | 0.92% |
| VVX | 49.72 | 2.52 | 5.34% |
| TTEK | 211 | 1.79 | 0.86% |
| MRCY | 28.24 | 1.63 | 6.13% |
Top 5 GovCon Index Daily Percentage Decliners
| SYMBOL | PRICE | NET CHANGE | % CHANGE |
|---|---|---|---|
| AVAV | 189.48 | -14.11 | -6.93% |
| PLTR | 23.84 | -1.72 | -6.73% |
| CG | 40.1 | -0.90 | -2.20% |
| BAESY | 67.14 | -1.27 | -1.86% |
| PSN | 78.09 | -0.54 | -0.69% |
