Executive Mosaic’s GovCon Index started the week on a positive note, advancing 0.54% to $5,369.95. Wall Street’s major stock indexes were all green, with the S&P 500 (+0.42%) and the Dow Jones Industrial Average (+0.04%) closing September with fresh records. The tech-heavy Nasdaq Composite (+0.38%) edged higher.
Energy and communications services were the top performers among 11 S&P 500 primary sectors. Chevron (NYSE: CVX) and Hess (NYSE: HES) rose 1.22% and 1.64% on the news that the Federal Trade Commission completed its antitrust review of the companies’ proposed merger. However, the transaction must meet closing conditions to push through.
The GovCon Index posted a third straight winning week last week, although I mistakenly reported a gain on Friday instead of a loss. Nonetheless, at the end of Q3 2024, GCI is up 15.03% year-to-date. Leidos (NYSE: LDOS) and Tetra Tech (Nasdaq: TTEK) led 25 advancers Monday, while Boeing (NYSE: BA) dropped the most among five underperformers.
Leidos secured a $25 million indefinite-delivery/indefinite-quantity contract with the U.S. Air Force for provide supplemental litigation support services for the Judge Advocate General Corps.
Boeing sunk nearly 3% following the stalled labor contract negotiations. The union strike entered its 18th day, and based on analysts’ estimates, the plane maker has lost around half a billion in revenue. “We are prepared to meet at any time,” according to a company statement.
Also, on Sept. 30, the U.S. Air Force awarded Boeing a ceiling $6.9 billion undefinitized contract action, fixed-price incentive firm target, indefinite-delivery/indefinite-quantity contract for Small Diameter Bombs Increment One.
The U.S. Navy awarded Lockheed Martin Space, a business division of Lockheed Martin (NYSE: LMT), a $2.11 billion contract modification for Trident II D5 missile production and deployed systems support and Warhead 93/Mark7 development.
On Monday, Fed Chairman Jerome Powell spoke before the National Association for Business Economics in Nashville, Tennessee. “Overall, the economy is in solid shape; we intend to use our tools to keep it there,” he said. Powell added two more cuts are possible this year if the economy performs as expected.
Market Summary
| Index | Price | Net Change | % Change |
|---|---|---|---|
| GovCon Index Daily Average | 5,369.95 | 28.78 | 0.54% |
| Dow Jones Industrial Average | 42,330.15 | 17.15 | 0.04% |
| NASDAQ | 18,189.17 | 69.58 | 0.38% |
Top 5 GovCon Index Daily Percentage Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| LDOS | 163 | 3.28 | 2.05% |
| TTEK | 47.16 | 0.76 | 1.64% |
| KBR | 65.13 | 0.95 | 1.48% |
| LHX | 237.87 | 2.88 | 1.23% |
| SAIC | 139.27 | 1.52 | 1.10% |
Top 5 GovCon Index Daily Net Performers
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| CACI | 504.56 | 4.60 | 0.92% |
| ACN | 353.48 | 3.78 | 1.08% |
| LDOS | 163 | 3.28 | 2.05% |
| CW | 328.69 | 3.04 | 0.93% |
| LHX | 237.87 | 2.88 | 1.23% |
Top 5 GovCon Index Daily Percentage Decliners
| Symbol | Price | Net Change | % Change |
|---|---|---|---|
| BA | 152.04 | -4.28 | -2.74% |
| MRCY | 37 | -0.50 | -1.33% |
| CG | 43.08 | -0.51 | -1.17% |
| HON | 206.71 | -0.92 | -0.44% |
| FLR | 47.71 | -0.18 | -0.38% |
