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Science Applications (SAIC) Secures $120M US Navy Contract
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Science Applications International (SAIC - Free Report) recently received a $120-million firm-fixed-price prime contract from the Naval Undersea Warfare Center (NUWC) Division Keyport. Per the contract, Science Applications will support NUWC with its powerful mission engineering and integration capabilities to develop, test and deploy MK48 heavyweight torpedo fuel tanks for Navy and foreign military sales customers. The contract has an 18-month performance period.
Notably, the company already handles testing and production of MK48 Mod 7 heavyweight torpedo afterbody/tailcone sections and MK54 lightweight torpedoes for the NUWC Division Newport.
Science Applications International Corporation Revenue (TTM)
The continued flow of high-value contracts is fueling growth of Science Applications. An impressive number of awards reflects its disciplined approach to business development, consistent operational excellence and high customer satisfaction. Notably, as of Oct 31, 2020, the company’s total contract backlog was $22.6 billion.
Notably, the government is a big client of the company, which is a positive, as it lends stability to the business and moderates fluctuation in revenues. Although the government generally has a lengthy approval process, the projects keep earning money for several years after their approvals.
Notably, Science Applications has been reportedly awarded $2.8 billion in national security contracts for fiscal 2020. Earlier this month, the company received a contract worth $830 million from the U.S. Army Combat Capabilities Development Command, Aviation & Missile Center, Software, Simulation, Systems Engineering and Integration Directorate. Per the contract, it will provide hardware-in-the-loop aviation systems engineering services to the awarder.
Besides, last month, the company was placed 6th in the World’s Most Admired Companies within the Information Technology Services category, by FORTUNE Magazine.
Bright Prospects Amid Competition
Despite its high customer satisfaction, competition from CACI International (CACI - Free Report) in the IT services space poses a concern. CACI continues to win high-value contracts and received contracts worth $2.1 billion during its second-quarter fiscal 2021.
In the IT services industry, Science Applications also steadily competes with IBM (IBM - Free Report) and Accenture (ACN - Free Report) , which are among the top IT service providers in the world.
Nonetheless, we believe that Science Applications is a strong contender in this space, given its steady contract wins, which are supporting the business perennially.
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 8 stocks to watch. The report is only available for a limited time.
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Science Applications (SAIC) Secures $120M US Navy Contract
Science Applications International (SAIC - Free Report) recently received a $120-million firm-fixed-price prime contract from the Naval Undersea Warfare Center (NUWC) Division Keyport. Per the contract, Science Applications will support NUWC with its powerful mission engineering and integration capabilities to develop, test and deploy MK48 heavyweight torpedo fuel tanks for Navy and foreign military sales customers. The contract has an 18-month performance period.
Notably, the company already handles testing and production of MK48 Mod 7 heavyweight torpedo afterbody/tailcone sections and MK54 lightweight torpedoes for the NUWC Division Newport.
Science Applications International Corporation Revenue (TTM)
Science Applications International Corporation revenue-ttm | Science Applications International Corporation Quote
Contract Wins & Customer Satisfaction Fuel Growth
The continued flow of high-value contracts is fueling growth of Science Applications. An impressive number of awards reflects its disciplined approach to business development, consistent operational excellence and high customer satisfaction. Notably, as of Oct 31, 2020, the company’s total contract backlog was $22.6 billion.
Notably, the government is a big client of the company, which is a positive, as it lends stability to the business and moderates fluctuation in revenues. Although the government generally has a lengthy approval process, the projects keep earning money for several years after their approvals.
Notably, Science Applications has been reportedly awarded $2.8 billion in national security contracts for fiscal 2020. Earlier this month, the company received a contract worth $830 million from the U.S. Army Combat Capabilities Development Command, Aviation & Missile Center, Software, Simulation, Systems Engineering and Integration Directorate. Per the contract, it will provide hardware-in-the-loop aviation systems engineering services to the awarder.
Besides, last month, the company was placed 6th in the World’s Most Admired Companies within the Information Technology Services category, by FORTUNE Magazine.
Bright Prospects Amid Competition
Despite its high customer satisfaction, competition from CACI International (CACI - Free Report) in the IT services space poses a concern. CACI continues to win high-value contracts and received contracts worth $2.1 billion during its second-quarter fiscal 2021.
In the IT services industry, Science Applications also steadily competes with IBM (IBM - Free Report) and Accenture (ACN - Free Report) , which are among the top IT service providers in the world.
Nonetheless, we believe that Science Applications is a strong contender in this space, given its steady contract wins, which are supporting the business perennially.
The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Biggest Tech Breakthrough in a Generation
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 8 stocks to watch. The report is only available for a limited time.
See 8 breakthrough stocks now>>