We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
General Dynamics Unit Wins $64M Deal to Supply Cartridges
Read MoreHide Full Article
General Dynamics Corporation’s (GD - Free Report) business unit, General Dynamics Ordnance and Tactical Systems Inc., has won a contract from the U.S. Army to supply cartridges for 120mm tank training ammunition.
Contract Details
The contract is valued at $63.7 million. It was awarded by the U.S. Army Contracting Command, Rock Island Arsenal, IL.
Per the contract, General Dynamics will provide for 120mm M1002 new production cartridges, 120mm M865 recapitalized cartridges, and 120mm M1002 recapitalized cartridges.
Work is scheduled to be completed by Apr 1, 2019, and will be carried out in St. Petersburg, FL. The contract will use fiscal 2015, 2016 and 2017 other funds.
About the M865 & M1002
M865 cartridge utilizes a unique cone stabilizer to limit the safety fan required for tank gunnery. It is used for the Army’s 120mm smooth-bore M256 cannon and U.S. Marine Corps’ Abrams main battle tanks. Additionally, the cone stabilizer has a safety feature that restricts the overall flight range below 8 km and reduces the need for extreme range safety fans.
M1002 Target Practice Multipurpose Tracer (TPMP-T) training cartridge supplies matched exterior ballistics to the M830A1 High Explosive Anti-Tank Multi-Purpose Tracer (HEAT-MP-T) tactical cartridge. It has a dummy air and ground switch, and is matched ballistically to the time-of-flight parameters of the M830A1. Its tailcone stabilizer also provides a safety feature that confines the overall flight range to less than 8km and thereby, reducing the requirement for extreme-range safety fans.
Why General Dynamics?
General Dynamics engages in mission-critical information systems and technologies; land and expeditionary combat vehicles, armaments and munitions; shipbuilding and marine systems; and business aviation. It is the leading tank and artillery ammunition producer providing high-performance ammunition to U.S. armed forces.
Also, its revenue exposure is spread over a broad portfolio of products and services in business aviation; combat vehicles, weapons systems and munitions; shipbuilding design, that helps in keeping the overall growth momentum steady. The other key drivers of growth include its improving business jet market, and its stable U.S. military vehicles business.
In fact, the company has had a long-standing strategic alliance with the U.S. as well as international defense establishments. The alliance is backed by its consistent efforts on trying to meet its commitments in terms of maintaining product and service standards along with delivery timing.
Price Movement
General Dynamics’s stock has improved about 43.3% in the last one year, outperforming the Zacks categorized Aerospace/Defense industry’s gain of 26.4%. This could be because General Dynamics consistently maintains a strategic alliance with the U.S. Department of Defense, which allows it to enjoy a steady flow of contracts. Moreover, the stock’s performance is in line with its peers like Boeing Co. (BA - Free Report) and Engility Holdings, Inc. keep up their industry-leading performance.
Huntington Ingalls’ 2017 earnings estimates have increased by 2.7%, over the last 30 days. Also, the company had posted a positive earnings surprise of 19.85% in the trailing four quarters.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
General Dynamics Unit Wins $64M Deal to Supply Cartridges
General Dynamics Corporation’s (GD - Free Report) business unit, General Dynamics Ordnance and Tactical Systems Inc., has won a contract from the U.S. Army to supply cartridges for 120mm tank training ammunition.
Contract Details
The contract is valued at $63.7 million. It was awarded by the U.S. Army Contracting Command, Rock Island Arsenal, IL.
Per the contract, General Dynamics will provide for 120mm M1002 new production cartridges, 120mm M865 recapitalized cartridges, and 120mm M1002 recapitalized cartridges.
Work is scheduled to be completed by Apr 1, 2019, and will be carried out in St. Petersburg, FL. The contract will use fiscal 2015, 2016 and 2017 other funds.
About the M865 & M1002
M865 cartridge utilizes a unique cone stabilizer to limit the safety fan required for tank gunnery. It is used for the Army’s 120mm smooth-bore M256 cannon and U.S. Marine Corps’ Abrams main battle tanks. Additionally, the cone stabilizer has a safety feature that restricts the overall flight range below 8 km and reduces the need for extreme range safety fans.
M1002 Target Practice Multipurpose Tracer (TPMP-T) training cartridge supplies matched exterior ballistics to the M830A1 High Explosive Anti-Tank Multi-Purpose Tracer (HEAT-MP-T) tactical cartridge. It has a dummy air and ground switch, and is matched ballistically to the time-of-flight parameters of the M830A1. Its tailcone stabilizer also provides a safety feature that confines the overall flight range to less than 8km and thereby, reducing the requirement for extreme-range safety fans.
Why General Dynamics?
General Dynamics engages in mission-critical information systems and technologies; land and expeditionary combat vehicles, armaments and munitions; shipbuilding and marine systems; and business aviation. It is the leading tank and artillery ammunition producer providing high-performance ammunition to U.S. armed forces.
Also, its revenue exposure is spread over a broad portfolio of products and services in business aviation; combat vehicles, weapons systems and munitions; shipbuilding design, that helps in keeping the overall growth momentum steady. The other key drivers of growth include its improving business jet market, and its stable U.S. military vehicles business.
In fact, the company has had a long-standing strategic alliance with the U.S. as well as international defense establishments. The alliance is backed by its consistent efforts on trying to meet its commitments in terms of maintaining product and service standards along with delivery timing.
Price Movement
General Dynamics’s stock has improved about 43.3% in the last one year, outperforming the Zacks categorized Aerospace/Defense industry’s gain of 26.4%. This could be because General Dynamics consistently maintains a strategic alliance with the U.S. Department of Defense, which allows it to enjoy a steady flow of contracts. Moreover, the stock’s performance is in line with its peers like Boeing Co. (BA - Free Report) and Engility Holdings, Inc. keep up their industry-leading performance.
Zacks Rank & a Key Pick
General Dynamics currently has a Zacks Rank #4 (Sell). A better-ranked stock in the same space includes Huntington Ingalls Industries Inc. (HII - Free Report) , sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Huntington Ingalls’ 2017 earnings estimates have increased by 2.7%, over the last 30 days. Also, the company had posted a positive earnings surprise of 19.85% in the trailing four quarters.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>