October 3 Market Close: GovCon Index Stuck in Neutral on S&P Stocks’ Gains, KBR and McKesson Declines

GovConIndexExecutive Mosaic’s GovCon Index closed flat Monday to start the year’s fourth quarter as a rebound by Vectrus (NYSE: VEC) in conjunction with advances by other large- and mid-tier primes offset declines by KBR (NYSE: KBR) and McKesson Corp. (NYSE: MCK).

GovCon Index gainers slightly edged laggers and eight of its 11 S&P 500 companies advanced with Raytheon (NYSE: RTN) the top net performer of the 30 GCI components and among co-listed stocks.

Houston-based KBR ended as the GovCon Index’s largest decliner after the contractor lowered its full-year earnings per share forecast to a range of 30 cents-50 cents from the previous outlook of $1.20-$1.45 with the consensus Wall Street analyst forecast at $1.30.

KBR closed with a volume of 5.21 million shares at a rate fourfold over the three-month average.

Co-listed stock McKesson finished second-lowest for net laggers as the S&P healthcare index fell nearly one-fifth a percent on declines by Pfizer and Merck.

Vectrus rebounded to end as the GCI’s second-best net and highest percentage gainer after the Colorado Springs-based services contractor posted a record plunge Friday on the loss of its largest government contract that represented one-third of revenue for the year’s first half.

U.S. stocks began the fourth quarter on a muted note as investors continued to speculate over the health of large banks with Deutsche Bank in particular the center of attention and also weighed the U.K. government’s statement that its separation from the European Union will start by March 2017.

Traders also have heightened their attention on the tight U.S. presidential election as the Nov. 8 voting date draws closer.

Market Summary

Index Value Net Change % Change
GovCon Index 80.611 +0.036 +0.045%
S&P 500 2, 161.20 -7.07 -0.33%
Dow Jones Industrial Average 18, 253.85 -54.30 -0.30%
NASDAQ 5, 300.87 -11.13 -0.21%
Advancing GovCon Index Issues 18
Declining GovCon Index Issues 12
Unchanged GovCon Index Issues 0

Top GovCon Index Net Performers

Symbol Company $ Current Price Net Change ▴ % Change
RTN Raytheon * 137.17 +1.77 +1.31%
VEC Vectrus 16.54 +1.31 +8.60%
NOC Northrop Grumman * 215.10 +1.15 +0.54%
LMT Lockheed Martin * 240.58 +0.86 +0.36%
ICFI ICF 45.0192 +0.6992 +1.5776%

Top GovCon Index Percentage Performers

Symbol Company $ Current Price Net Change % Change ▴
VEC Vectrus 16.54 +1.31 +8.60%
ICFI ICF 45.0192 +0.6992 +1.5776%
RTN Raytheon * 137.17 +1.77 +1.31%
NAV Navistar International 23.10 +0.21 +0.92%
MANT ManTech International 38.02 +0.33 +0.88%

Lowest GovCon Index Net Performers

Symbol Company $ Current Price Net Change ▾ % Change
KBR KBR 13.63 -1.50 -9.91%
MCK McKesson Corp. * 165.38 -1.37 -0.82%
COL Rockwell Collins 83.77 -0.57 -0.68%
LDOS Leidos Holdings 42.75 -0.53 -1.22%
MMS Maximus 56.06 -0.50 -0.88%

Lowest GovCon Index Percentage Performers

Symbol Company $ Current Price Net Change % Change ▾
KBR KBR 13.63 -1.50 -9.91%
LDOS Leidos Holdings, Inc. 42.75 -0.53 -1.22%
BAH Booz Allen Hamilton 31.32 -0.29 -0.92%
MMS Maximus 56.06 -0.50 -0.88%
MCK McKesson Corp. * 165.38 -1.37 -0.82%

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