MCLEAN, Va. - V2X, Inc. (NYSE: VVX) has secured a prime contractor position on the U.S. Navy's Global Contingency Services (GCS) Multiple Award Contract (MAC) III, with a potential value of up to $2 billion, to provide critical facility support services. The contract, awarded by the Naval Facilities Engineering Command, Pacific in Hawaii, is set for completion by September 2032.
The company will be responsible for delivering rapid support in various scenarios such as natural disasters, humanitarian efforts, military actions, and service disruptions across different global locations, including remote areas. V2X aims to continue its tradition of swift and effective solution deployment to meet urgent needs.
Ken Shreves, Senior Vice President of Global Mission Solutions at V2X, highlighted the company's commitment to the Navy, citing nearly $300 million in task orders under the previous GCS MAC II, which reached its $900 million ceiling due to high demand for support services. Shreves emphasized V2X's readiness to meet customer needs in challenging environments worldwide.
V2X's role under the new contract will involve providing short-notice facility support services and incidental construction, building on its track record of efficient and effective service delivery.
The company, formed from the merger of Vectrus (NYSE:VVX) and Vertex (NASDAQ:VRTX), offers a suite of integrated solutions across operations and logistics, aerospace, training, and technology markets, serving national security, defense, civilian, and international clients. With a global team of approximately 16,000 employees, V2X is focused on improving security, streamlining logistics, and enhancing readiness throughout the mission lifecycle.
The selection for the GCS MAC III contract reflects V2X's established relationship with the U.S. Navy and its capability to deliver essential services during times of necessity.
This article is based on a press release statement from V2X, Inc.
InvestingPro Insights
As V2X, Inc. (NYSE: VVX) secures a substantial contract with the U.S. Navy, investors and industry watchers are keen to understand the financial health and prospects of the company. Here are some insights based on real-time data from InvestingPro:
The company's P/E Ratio (Adjusted) stands at a challenging -455.08, reflecting investor concerns about profitability in the near term. However, the PEG Ratio of 9.2 suggests that there is an expectation of growth in earnings, which aligns with the InvestingPro Tip that net income is expected to grow this year. Additionally, V2X's Price / Book ratio is relatively low at 1.46, which could indicate that the stock is undervalued relative to the company's assets.
V2X has demonstrated a strong revenue growth of 37.09% over the last twelve months as of Q4 2023, with a gross profit of $334.86 million USD. This robust performance is indicative of the company's ability to scale its operations and revenue, despite the InvestingPro Tip highlighting weak gross profit margins of 8.45%.
Investors should note the company's strong return over the last three months, with a 21.15% price total return, which is a positive sign for the stock's short-term momentum. This aligns with the InvestingPro Tip that the stock's RSI suggests it is in overbought territory, indicating high investor interest that could influence stock volatility.
For those interested in a deeper analysis, there are additional InvestingPro Tips available, including insights on profitability and dividend policies. To find out more about V2X's financials and to access a range of expert insights, visit https://www.investing.com/pro/VVX. Remember to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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