Huntington Ingalls Industries ' ( HII ) business wing
AMSEC LLC received an indefinite-delivery/indefinite-quantity
firm-fixed price contract for offering enterprise business process
information support to the Naval Supply Systems Command ("NAVSUP")
Fleet Logistics Center in Virginia.
The $19.6 million agreement comprises of a one-year base period
and includes the provision of two one-year options. The entire
operation will be conducted in Portsmouth, New Hampshire and is
expected to be concluded by Apr 2016, provided all options are put
Per the contract, AMSEC will support the information technology
systems of the Navy Marine Corp's Intranet ("NMCI")/ functional
area manager. These support services are for the enterprise
business process information systems that support the Submarine
Maintenance Engineering and Planning and Procurement Office
The contract is expected to increase the company's foothold in
the New England region and will lead to future growth
opportunities. AMSEC previously clinched a big-time $900 million
contract from the U.S. Navy for providing in support design,
acquisition, production, integration, testing, installation and
configuration management of certified C5ISR capabilities.
We believe these significant contract acquisitions might help
the company to weather the austerity drive in the U.S. defense
budget. Furthermore, the company's solid backlog of orders, strong
share repurchases programs and healthy dividend payout are expected
to be tailwinds in the near term. Huntington Ingalls currently
retains a Zacks Rank #2 (Buy).
Other front runners in the defense domain are Zacks Rank #1
(Strong Buy) European Aeronautic Defence and Space
Company ( EADSY ) and Zacks
Rank #2 (Buy) holders Lockheed Martin Corporation
( LMT ) and
The Boeing Company ( BA ).
Based in Newport News, VA, Huntington Ingalls Industries, Inc.
designs, builds, overhauls, and repairs ships primarily for the
U.S. Navy and Coast Guard. It offers nuclear-powered ships, such as
aircraft carriers and submarines; and non-nuclear ships, including
surface combatants, expeditionary warfare/amphibious assault,
coastal defense surface ships, and national security cutters.BOEING CO (BA): Free Stock Analysis ReportEUROPEAN AERONT (EADSY): Get Free ReportHUNTINGTON INGL (HII): Free Stock Analysis
ReportLOCKHEED MARTIN (LMT): Free Stock Analysis
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