Executive Mosaic’s GovCon Index closed higher at $5,454.70 (+0.42%) for a second straight daily gain. Wall Street retreated on tech sector weakness. The Nasdaq Composite (-1.12%) sunk to a two-week low, while the Dow Jones Industrial Average (-0.39%) and S&P 500 (-0.60%) settled lower.
AI king NVIDIA (Nasdaq: NVDA) declined 2.1% for the day and before its second-quarter earnings results after the bell. Super Micro Computer (Nasdaq: SMCI) tumbled 19.02% after announcing the company will delay submitting and filing its annual financial report for fiscal year 2024.
The trillion-dollar club welcomed a seventh member. Berkshire Hathaway’s (NYSE: BRK-A) (NYSE: BRK-B) market capitalization rose above $1 trillion for the first time. Warren Buffett’s conglomerate is also the first non-tech member of the exclusive club.
AeroVironment (Nasdaq: AVAV) outperformed, jumping 9.06% to $193.86 and leading the 16 gainers on the GovCon Index. Palantir Technologies (NYSE: PLTR) and Boeing (NYSE: BA) were the worst performers among 14 decliners.
On Wednesday, AeroVironment announced that it had won a $990 million contract from the U.S. Army. The defense contractor and unmanned aerial vehicle maker will supply Switchblade munitions to soldiers in infantry battalions.
Also, on mid-week, the U.S. Navy awarded Lockheed Martin (NYSE: LMT) a $3.9 billion firm-fixed-price, fixed-price-incentive, cost-plus-incentive-fee, cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract. The contract is for the training system, simulation design, development, integration, test, production, deployment, modifications or upgrades, and sustainment in support of the F-35 Lightening II aircraft.
BAE Systems secured a $177.8 million modification to a previously awarded Navy contract action for the repair, maintenance and modernization of the USS Halsey, a Chief of Naval Operations Fiscal 2024 Depot Modernization Period.
Market analysts believe market volatility has toned down because recession fears are gone. A tailwind is the start of the U.S. Federal Reserve’s rate-cutting cycle in September and multiple cuts after.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,454.70 | 23.16 | 0.42% |
| Dow Jones Industrial Average | 41,091.42 | -159.08 | -0.39% |
| S&P 500 | 5,592.18 | -33.62 | -0.60% |
| NASDAQ | 17,556.03 | -198.79 | -1.12% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| AVAV | 193.86 | 16.10 | 9.06% |
| GD | 296.64 | 6.44 | 2.22% |
| BAESY | 71.21 | 0.91 | 1.29% |
| HII | 280.05 | 3.14 | 1.13% |
| RTX | 120.84 | 1.35 | 1.13% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| AVAV | 193.86 | 16.10 | 9.06% |
| GD | 296.64 | 6.44 | 2.22% |
| LMT | 563.98 | 3.57 | 0.64% |
| HII | 280.05 | 3.14 | 1.13% |
| CACI | 478.67 | 2.06 | 0.43% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| PLTR | 30.36 | -0.48 | -1.56% |
| BA | 170.71 | -2.34 | -1.35% |
| CW | 312.16 | -3.58 | -1.13% |
| TTEK | 234.22 | -2.39 | -1.01% |
| ACN | 337.39 | -2.99 | -0.88% |
