February 13 Market Close: GovCon Index Rises on Blue Chip Gains With Trump Tax Cuts in Focus

Executive Mosaic’s GovCon Index rose Monday in tandem with major U.S. equity indices that set new record highs as investors continued to bet President Donald Trump’s plans for lower corporate taxes and regulations can boost economic growth.

GovCon Index advancers outnumbered decliners by an 8-to-1 ratio as 10 of its 11 S&P 500 components registered gains and eight co-listed stocks added at least $1.00 each in conjunction with the S&P industrial index’s climb just short of 1 percent.

The S&P industrial index has added almost 11 percent since Trump’s Nov. 8 election win on trader expectations over increases in spending on defense, infrastructure and other domestic-related items.

GCI-S&P 500 companies Northrop Grumman (NYSE: NOC), L3 Technologies (NYSE: LLL) and General Dynamics (NYSE: GD) climbed more than $2.00 each.

Co-listed shares above the $1.00-gain mark included Raytheon (NYSE: RTN), Honeywell International (NYSE: HON), Boeing (NYSE: BA), Lockheed Martin (NYSE: LMT) and Harris Corp. (NYSE: HRS).

Government services contractors Maximus (NYSE: MMS) and Science Applications International Corp. (NYSE: SAIC) also posted gains of more than $1.00.

Four GCI stocks hit 52-week highs during the session: General Dynamics, Honeywell, BAE Systems PLC and Huntington Ingalls Industries (NYSE: HII).

Shares in British defense contractor BAE trade on over-the-counter markets in the U.S.

CSRA (NYSE: CSRA) ended as the lone GCI-S&P 500 stock to close lower.

The U.S. stock bellwether S&P 500’s total market capitalization exceeded $20 trillion during the Monday session on continued investor anticipation of tax cuts under a Trump administration along with rollbacks of regulations on banks.

Investors have also welcomed the most recent round of corporate earnings reports from S&P 500 companies that are on track to show the strongest growth rate in nine quarters, according to Reuters.

Financial stocks climbed 1 percent to lead nine major S&P sectors higher with telecommunications the largest decliner among the remaining two.

Market Summary

IndexValueNet Change% Change
GovCon Index91.114+0.775+0.858%
S&P 5002,328.25+12.15+0.52%
Dow Jones Industrial Average20,412.16+142.79+0.70%
NASDAQ5,763.96+29.83+0.52%
Advancing GovCon Index Issues26
Declining GovCon Index Issues3
Unchanged GovCon Index Issues1

Top GovCon Index Net Performers

SymbolCompany$ Current PriceNet Change ▴% Change
NOCNorthrop Grumman *239.08+2.83+1.20%
LLLL3 Technologies *165.47+2.36+1.45%
GDGeneral Dynamics *186.60+2.20+1.19%
MMSMaximus58.03+1.85+3.30%
RTNRaytheon *151.85+1.82+1.21%

Top GovCon Index Percentage Performers

SymbolCompany$ Current PriceNet Change% Change ▴
MMSMaximus58.03+1.85+3.30%
MANTManTech International39.64+0.77+1.98%
SAICSAIC84.67+1.25+1.50%
HONHoneywell International *123.62+1.77+1.45%
LLLL3 Technologies *165.47+2.36+1.45%

Lowest GovCon Index Net Performers

SymbolCompany$ Current PriceNet Change ▾% Change
ACMAECOM37.91-0.49-1.28%
CSRACSRA *30.65-0.37-1.19%
CACICACI International126.35-0.10-0.08%
OAOrbital ATK89.05-0.02-0.02%

Lowest GovCon Index Percentage Performers

SymbolCompany$ Current PriceNet Change% Change ▾
ACMAECOM37.91-0.49-1.28%
CSRACSRA *30.65-0.37-1.19%
CACICACI International126.35-0.10-0.08%
OAOrbital ATK89.05-0.02-0.02%
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