) has won a delivery contract, worth $9.6 million, from the U.S.
Department of Defense (DoD). The contract, a part of the earlier
issued Basic Ordering Agreement, deals with restoration of the
H-60 Multi-Spectral Targeting System (MTS) forward looking
Raytheon's Intelligence, Information and Services business will
be responsible for this contract, which will take place in the
company's facilities in McKinney, Texas and Jacksonville,
Florida. The deal is scheduled to be completed by May 2014.
The MTS offers dependable long-range surveillance, target
attainment, tracking, range discovery and laser designation of
HELLFIRE and tri-service/North Atlantic Treaty Organization's
(NATO) laser guided ammunitions. It features multiple fields of
vision, electronic zoom and multimode video tracking facilities.
It is evident from past record that Raytheon has a strong
relationship with the U.S. defense establishments. Raytheon has
built the rapport due to its ability to meet the commitments in
terms of maintaining products and services standard along with
Recently, Raytheon received a contract from the U.S. Naval Air
Systems Command to produce an integrated multi-intelligence
(Multi-INT) system to protect the warfighters positioned at the
The defense operators' performance primarily depends on the
orders coming from the national and international defense bodies.
With the risk of US defense budget cuts looming large, we believe
the defense companies' attempt toward wining small ticket-size
domestic and foreign orders will enable them to maintain a
regular revenue flow.
Raytheon currently has a Zacks Rank #3 (Hold). However, other
stocks from the sector that are presently performing well include
) with a Zacks Rank #1 (Strong Buy), and
The Boeing Company
) with a Zacks Rank #2 (Buy).
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