Jacobs Engineering Group Inc.
) secured a contract from one of Australia's largest domestic gas
producers, Santos Limited. The contract involves providing
concept development study for Santos' Cooper Gas Growth (CGG)
satellite developments based in South Australia.
The study is an indispensable part of the total project from
Santos. Per the contract, Jacobs is expected to provide study
management along with engineering and design services. However,
the total contract value is not disclosed by the company.
On the same day, Jacobs won another contract from NASA to
provide testing and operations support services at Kennedy Space
Centre (KSC) in Florida.
Per the contract, Jacobs will be in charge of total management
and will be responsible for implementing ground systems
capabilities along with flight hardware processing and launch
operations at the space centre. This strategic tie-up entitles
Jacobs to provide services to many divisions of KSC namely Ground
Processing Directorate and the International Space Station,
Ground Systems Development and Operations, Space Launch System,
Orion Multi-Purpose Crew Vehicle, and Launch Services
The contract, which spans for a period of a year and seven
months, also offers two two-year option years and four one-year
option years. The contract is valued at a maximum of $1.37
The contract also engages two subcontractors; ERC Incorporated
and Aerodyne Industries, LLC.
Both the contract wins are expected to enhance Jacobs' market
position along with building a strong relationship with big
market players in the industry.
Jacobs is one of the world's largest and most diverse
providers of technical, professional, and construction services.
We currently maintain a Neutral recommendation on the stock.
Jacobs also bears a Zacks Rank #3 (a short-term 'Hold'). The
company competes against industry players including
), holding a Zacks Rank #1 (a short-term 'Strong Buy') and
National Technical Systems Inc.
), holding a Zacks Rank #2 (a short-term 'Buy').
JACOBS ENGIN GR (JEC): Free Stock Analysis
(NTSC): ETF Research Reports
(WLDN): ETF Research Reports
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