DynCorp International Inc. (DCP) and Fluor Corp. (FLR) have bagged contracts that could be worth up to $7.5 billion each from the U.S. government to support troops in Afghanistan.
The award includes a one-year basic contract of $1.5 billion each, along with 4 one-year options for the same amount.
As per the contract, DynCorp and Flour will provide construction services, power, water, housing, logistics support and other services.
The contract was awarded by the U.S. Army Sustainment Command under the Logistics Civil Augmentation Program (LOGCAP) IV.
Shares of DCP have surged more than 12% on unusually high volume of about 1 million, compared to the average daily volume of about 222,000.
FLR’s shares have slipped more than 1.5% on lower-than-usual volume of approximately 2.4 million, against the average daily volume of about 2.8 million.
Both DCP and FLR are Zacks #3 Rank (“Hold”) stocks.
“DCP” Free Stock Analysis: Buy? Sell? Hold?
“FLR” Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research
