Category: Industrials

There’s Still a Swift Current Helping Some Infrastructure Related Companies

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Image Credit: Chris Bentley (Flickr)


A 132-Year-Old Infrastructure Company Uniquely Positioned to Build the Future

While the markets have washed out most categories of stocks during the first half of 2022, an astute investor will sift through those that should not have gone down with the overall tide – reviewing companies that have actually gained ground in their business or ancillary businesses. One seemingly well-grounded company, in business for 132 years, was just interviewed by Noble Capital Markets Senior Analyst  Joe Gomes. The conversation with the infrastructure service provider seemed to reconfirm that there is still forward movement in many industries and companies that are possibly value-priced courtesy of the downturn. This notion grew as management highlighted, during the interview, the company’s key role in old business lines and in the coming wave of energy production.

In the recorded C-Suite
interview, Great Lakes Dredge & Dock (GLDD), the largest provider of dredging services in the U.S. and only publicly-traded company providing this type of infrastructure improvement, explains GLDDs new division helping to construct offshore wind farms. U.S. offshore wind electric production has been accelerating with the administration’s plans to provide 30 gigawatts of electricity by 2050. To help them lead in this effort, Great Lakes Dredge and Dock has ordered a $197 million high-tech boat. This will be the first U.S.-flagged, Jones Act compliant subsea rock installation vessel for the construction of windmills. The ship will specialize in meticulously placing large rocks around the foundations of the offshore mills to protect them. Each offshore wind farm is expected to have at least 100 mills, or more pertinent to GLDD investors, 100 foundations.

No other company has announced procuring such a vessel; if demand requires, GLDD has a contractual option to order a second ship. The first will not be operational until late 2024. A second, if ordered, available sometime in 2027.

Great Lakes is in a unique position as offshore wind farm construction in the U.S. adheres to the Jones Act. This requires a US-flagged ship to be used, GLDD will have the first of its kind when delivered.


Source:
Koyfin 

GLDD experienced a sharp selloff in January along with the rest of the market. Performance since late January has been well ahead of the broader indexes, and prospects for the future appear to be lining up well.

Great Lakes is currently involved with Empire Offshore Wind, a joint venture between Equinor (NYSE: EQNR) and BP (NYSE: BP). Empire Offshore Wind has chosen Great Lakes in consortium with Van Oord to perform the subsea rock installation work for the Empire Wind I and II wind farms in the East Coast of the United States. Empire Wind I and II are expected to provide over 2 Gigawatts of electric power to the State of New York.

To learn more about Great Lakes Dredge and Dock and their current business as well as their new division, watch the full C-Suite Interview, and review the most recent research report by one of the few equity analysts specializing in the name.

Paul Hoffman

Managing Editor, Channelchek

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C-Suite Interview with Great Lakes Dredge & Dock (GLDD) June 16, 2022


Sources

Channelchek C-Suite Interview Podcast (GLDD)

https://www.whitehouse.gov/briefing-room/statements-releases/2021/03/29/fact-sheet-biden-administration-jumpstarts-offshore-wind-energy-projects-to-create-jobs/

https://gldd.com/leadership/#

https://gldd.com/great-lakes-dredge-dock-corporation-awarded-large-scale-u-s-offshore-wind-rock-installation-project/


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Release – Great Lakes Announces Participation in Noble Capital Markets C-Suite Interview Series

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Great Lakes Announces Participation in Noble Capital Markets C-Suite Interview Series

Research, News, and Market Data on Great Lakes Dredge & Dock

HOUSTON, June 27, 2022 (GLOBE NEWSWIRE) — Great Lakes Dredge & Dock Corporation (“Great Lakes” or the “Company”) (NASDAQ:GLDD), the largest provider of dredging services in the United States today announced their participation in Noble Capital Markets’ C-Suite Interview Series, presented by Channelchek.

Great Lakes’ President & CEO, Lasse Petterson, and SVP, US Offshore Wind, Eleni Beyko, sat down with Noble Capital Markets Senior Research Analyst, Joe Gomes, for this exclusive interview. Topics covered include:

  • An introduction to Great Lakes’ new offshore wind division; market size and opportunities.
  • Why is offshore wind such an exciting opportunity for the company?
  • Update on the rock installation vessel currently under construction.
  • The Jones Act – Impacts on competition in the dredging and wind divisions.
  • What is driving growth in the dredging market?
  • What are Great Lakes’ biggest challenges going forward?

The interview was recorded on June 16, 2022 and is available now on Channelchek.

About Great Lakes Dredge & Dock Corporation
Great Lakes Dredge & Dock Corporation (“Great Lakes” or the “Company”) is the largest provider of dredging services in the United States. In addition, Great Lakes is fully engaged in expanding its core business into the rapidly developing offshore wind energy industry. The Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 132-year history, the Company has never failed to complete a marine project. Great Lakes owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of approximately 200 specialized vessels. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the Company’s culture. The Company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount.

About Noble Capital Markets
Noble Capital Markets, Inc. was incorporated in 1984 as a full-service SEC / FINRA registered broker-dealer, dedicated exclusively to serving underfollowed small / microcap companies through investment banking, wealth management, trading & execution, and equity research activities. Over the past 37 years, Noble has raised billions of dollars for these companies and published more than 45,000 equity research reports. www.noblecapitalmarkets.com email: contact@noblecapitalmarkets.com

About Channelchek
Channelchek (.com) is a comprehensive investor-centric portal – featuring more than 6,000 emerging growth companies – that provides advanced market data, independent research, balanced news, video webcasts, exclusive c-suite interviews, and access to virtual road shows. The site is available to the public at every level without cost or obligation. Research on Channelchek is provided by Noble Capital Markets, Inc., an SEC/FINRA registered broker-dealer since 1984. www.channelchek.com email: contact@channelchek.com

For
further information contact:
Tina
Baginskis
Director,
Investor Relations
630-574-3024


Release – Great Lakes Dredge & Dock Corporation Announces the Retirement of Chief Operating Officer, David E. Simonelli

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Great Lakes Dredge & Dock Corporation Announces the Retirement of Chief Operating Officer, David E. Simonelli

Research, News, and Market Data on Great Lakes Dredge & Dock

HOUSTON, June 23, 2022 (GLOBE NEWSWIRE) — Great Lakes Dredge & Dock Corporation (“Great Lakes” or the “Company”) (NASDAQ:GLDD), the largest provider of dredging services in the United States announced today that its Chief Operating Officer, David E. Simonelli, will retire effective September 16, 2022. After his retirement, he will provide consulting services to the Company.

Mr. Simonelli, who has spent forty-four years with Great Lakes, became the President of the Company’s Dredging Division in 2010, and Chief Operating Officer in 2018. His commitment to project and employee safety, environmental protection, and successful project completion has contributed significantly to the Company’s record years of profitability and project successes. In addition to his contributions to the achievements of Great Lakes, he has been recognized for his leadership, innovation, and extensive contributions to the dredging industry. The Incident & Injury Free journey Dave and former CEO Doug Mackie began in 2005 transformed the safety culture of the company and elevated the bar for safe operations for the entire US dredging industry.

Lasse Petterson, President and Chief Executive Officer commented, “Dave Simonelli’s rise through the Company’s ranks has demonstrated his dedication to Great Lakes and all of our employees. He is well known for tackling the toughest projects, the most challenging issues, and doing so with great success. One of Simonelli’s key passions has been to assure that the Bullseye culture remains a key foundation of the Company and as such, he has been a mentor and advisor to several generations of colleagues at Great Lakes who will now build on his legacy for the future. We thank him for his many years of service and know that his retirement is well deserved. We look forward to our continued association with Dave in a different capacity as we complete the transition plan which has been in progress and which will entail an operating structure that best maximizes our growth in the market and in the dredging and offshore wind industries.”

The Company
Great Lakes Dredge & Dock Corporation (“Great Lakes” or the “Company”) is the largest provider of dredging services in the United States. In addition, Great Lakes is fully engaged in expanding its core business into the rapidly developing offshore wind energy industry. The Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 132-year history, the Company has never failed to complete a marine project. Great Lakes owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of approximately 200 specialized vessels. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the Company’s culture. The Company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount.

For
further information contact:
Tina
Baginskis
Director,
Investor Relations
630-574-3024


C-Suite Interview with Great Lakes Dredge & Dock (GLDD) President & CEO Lasse Petterson and SVP, US Offshore Wind Eleni Beyko

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Noble Capital Markets Senior Research Analyst Joe Gomes sits down with Great Lakes Dredge & Dock (GLDD) President & CEO Lasse Petterson and SVP, US Offshore Wind Eleni Beyko

Research, News, and Advanced Market Data on GLDD


View all C-Suite Interviews


The 2022 C-Suite Interview series is now available on major podcast platforms

About Great Lakes

Great Lakes Dredge & Dock Corporation is the largest provider of dredging services in the United States. In addition, Great Lakes is fully engaged in expanding its core business into the rapidly developing offshore wind energy industry. The Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 132-year history, the Company has never failed to complete a marine project. Great Lakes owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of approximately 200 specialized vessels. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the Company’s culture. The Company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount.

Release – Great Lakes Announces Exercise of Option to Build Second 6,500 cubic yard Trailing Suction Hopper Dredge

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Great Lakes Announces Exercise of Option to Build Second 6,500 cubic yard Trailing Suction Hopper Dredge

Research, News, and Market Data on Great Lakes Dredge & Dock


HOUSTON, June 07, 2022 (GLOBE NEWSWIRE) — Great Lakes Dredge & Dock Corporation (“Great Lakes” or the “Company”) (NASDAQ:GLDD), the largest provider of dredging services in the United States announced today the exercise of the contract option to build a second 6,500-cubic-yard-capacity Trailing Suction Hopper Dredge with Conrad Shipyard (“Conrad”) in Amelia, Louisiana. With expected delivery in the first quarter of 2025, the new vessel will be a sister ship to the Galveston Island, presently under construction with delivery in early 2023.

Great Lakes’ hopper dredge fleet including the ATB Tug Douglas B. Mackie and 15,000-cubic-yard-capacity barge Ellis Island and the Galveston,
Liberty, Terrapin, Dodge and Padre Islands, comprise the largest hopper fleet in the U.S. dredging industry.

Lasse Petterson, President and Chief Executive Officer commented, “As the leader in the U.S. Dredging industry, Great Lakes continues to strategically invest in its dredging fleet. This highly automated new build vessel will be well-suited to multi-use applications on various project types. It will be deployed for channel deepening, maintenance dredging, beach nourishment, and coastal restoration projects to meet our nations’ maritime infrastructure needs. This vessel reinforces our commitment to the U.S. Army Corps of Engineers and the robust U.S. dredging market.

Construction of the Galveston Island at Conrad has progressed on schedule and on budget. We are very pleased with the quality of construction and our strong partnership with Conrad.”

This new build supports the continued modernization and diversification of Great Lakes’ fleet. The dredge is identical to the Galveston Island and will feature two 800mm suction pipes and will be able to dredge at depths of up to 100 feet, with principal dimensions of approximately 346 feet in length, 69 feet in breadth, 23 feet in depth and 16,500 total installed horsepower.

The dredge will be equipped with a direct high-power pump-ashore installation, dredging system automation, dynamic positioning and tracking, U.S. EPA Tier IV compliant engines, and additional features designed to minimize the impact of its dredging process on the environment. The Tier 4-compliant engines significantly reduce the vessel’s climate footprint, while other incorporated features minimize turbidity and marine species entrainment. Best-in-class accommodations feature single-occupancy staterooms, a workout room, and an innovative movie theater with raised seating that doubles as a training facility.

The
Company

Great Lakes Dredge & Dock Corporation is the largest provider of dredging services in the United States. In addition, Great Lakes is fully engaged in expanding its core business into the rapidly developing offshore wind energy industry. The Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 132-year history, the Company has never failed to complete a marine project. Great Lakes owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of approximately 200 specialized vessels. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the Company’s culture. The Company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount.

For further
information contact:
Tina Baginskis
Director, Investor Relations
630-574-3024


Flotek Industries (FTK) – Revenues are growing but so are costs.

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Wednesday, May 18, 2022

Flotek Industries (FTK)
Revenues are growing but so are costs.

Flotek Industries, Inc. creates solutions to reduce the environmental impact of energy on air, water, land and people. A technology driven, specialty green chemistry and data company, Flotek helps customers across industrial, commercial, and consumer markets improve their Environmental, Social, and Governance performance. Flotek’s Chemistry Technologies segment develops, manufactures, packages, distributes, delivers, and markets high-quality cleaning, disinfecting and sanitizing products for commercial, governmental and personal consumer use. Additionally, Flotek empowers the energy industry to maximize the value of their hydrocarbon streams and improve return on invested capital through its real-time data platforms and green chemistry technologies. Flotek serves downstream, midstream, and upstream customers, both domestic and international. Flotek is a publicly traded company headquartered in Houston, Texas, and its common shares are traded on the New York Stock Exchange under the ticker symbol “FTK.” For additional information, please visit www.flotekind.com.

Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Revenues are rising as industry conditions improve. Flotek reported a 6% year-over-year increase in revenues in the 2022 first quarter as drilling activity accelerated in February and March reaching the highest levels since the pandemic. Results were above our expectations for revenues of $11.8 million. As a reminder, the company’s business partnership with Profrac did not begin until April 1, 2022 and did not have an effect on the quarter. 

Cost are rising faster. Cost of Goods Sold rose 11% year over year. Flotek reports higher supply costs associated with freight and other factors. Management vowed to address rising costs by “adjusting prices accordingly” but also concedes that competitive pressures remain very tight. Adjusted EBITDA for the quarter was ($5.5) million versus ($6.6) million for the same period last year and ($5.7) million in the December quarter. …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Release – Flotek Announces Shareholder Approval of $2 Billion+ Long Term Contract

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Flotek Announces Shareholder Approval of $2 Billion+ Long Term Contract

Research, News, and Market Data on Flotek Industries

HOUSTON, May 10, 2022 – Flotek Industries, Inc. (“Flotek” or the “Company”) (NYSE: FTK), a leader in technology-driven specialty green chemistry solutions, today announced that Flotek’s shareholders overwhelmingly approved the previously-announced agreement with ProFrac Holdings, LLC (“ProFrac”) to expand the existing long-term supply agreement with one of ProFrac’s affiliates.
 

The results from yesterday’s meeting indicate that approximately 98.5% of the votes cast by Flotek common stock voted in favor of the proposal to approve the transactions contemplated by the agreement with ProFrac.  The full results of the vote are available in a Current Report on Form 8-K filed with Securities & Exchange Commission on May 9, 2022.
 

The transactions are expected to close expeditiously, subject to usual and customary closing conditions.
 

About Flotek
Industries, Inc.
Flotek Industries, Inc. creates solutions to reduce the environmental impact of energy on air, water, land and people.  A technology-driven, specialty green chemistry and data company, Flotek helps customers across industrial, commercial, and consumer markets improve their Environmental, Social, and Governance performance. Flotek’s Chemistry Technologies segment develops, manufactures, packages, distributes, delivers, and markets high-quality cleaning, disinfecting and sanitizing products for commercial, governmental and personal consumer use.  Additionally, Flotek empowers the energy industry to maximize the value of their hydrocarbon streams and improve return on invested capital through its real-time data platforms and green chemistry technologies.  Flotek serves downstream, midstream, and upstream customers, both domestic and international.  Flotek is a publicly traded company headquartered in Houston, Texas, and its common shares are traded on the New York Stock Exchange under the ticker symbol “FTK.”  For additional information, please visit www.flotekind.com.

Forward-Looking
Statements
Certain statements set forth in this press release constitute forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934) regarding Flotek Industries, Inc.’s business, financial condition, results of operations and prospects.  Words such as will, continue, expects, anticipates, intends, plans, believes, seeks, estimates and similar expressions or variations of such words are intended to identify forward-looking statements, but are not the exclusive means of identifying forward-looking statements in this press release.  Although forward-looking statements in this press release reflect the good faith judgment of management, such statements can only be based on facts and factors currently known to management.  Consequently, forward-looking statements are inherently subject to risks and uncertainties, and actual results and outcomes may differ materially from the results and outcomes discussed in the forward-looking statements.  Further information about the risks and uncertainties that may impact the company are set forth in the Company’s most recent filing with the Securities and Exchange Commission on Form 10-K (including, without limitation, in the “Risk Factors” section thereof), and in the Company’s other SEC filings and publicly available documents.  Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.  The Company undertakes no obligation to revise or update any forward-looking statements in order to reflect, any event or circumstance that may arise after the date of this press release.

 

Contact:
Investor Relations
E: ir@flotekind.com
P: (713) 726-5322

Release – Great Lakes Dredge & Dock Corporation Schedules Announcement of 2022 First Quarter Results

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Great Lakes Dredge & Dock Corporation Schedules Announcement of 2022 First Quarter Results

Research, News, and Market Data on Great Lakes Dredge & Dock

 

HOUSTON, April 26, 2022 (GLOBE NEWSWIRE) — Great Lakes Dredge & Dock Corporation (NASDAQ: GLDD) today announced that it will release the financial results for its three ended March 31, 2022 on Tuesday, May 3, 2022 at 7:00 a.m. C.D.T. A conference call with the Company will be held the same day at 9:00 a.m. C.D.T. The call-in number is (877) 377-7553 and Conference ID is 1383479. The conference call will be available by replay until Thursday, May 5, 2022 by calling (855) 859-2056 and providing Conference ID 138479. The live call and replay can also be heard on the Company’s website, www.gldd.com, under Events on the Investor Relations page. A copy of the press release will be available on the Company’s website.


The Company
Great Lakes Dredge & Dock Corporation (“Great Lakes” or the “Company”) is the largest provider of dredging services in the United States. In addition, the Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 131-year history, the Company has never failed to complete a marine project. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the company’s culture. The company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount. Great Lakes also owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of over 200 specialized vessels.

For further information contact:
Tina Baginskis
Director, Investor Relations
630-574-3024

Kelly Services (KELYA) – Re-allocation of Capital Has Begun; Acquiring RocketPower

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Thursday, March 10, 2022

Kelly Services (KELYA)
Re-allocation of Capital Has Begun; Acquiring RocketPower

Kelly Services Inc is a provider of workforce solutions and consulting and staffing services. The company’s operations are divided into three business segments namely Americas Staffing, Global Talent Solutions (“GTS”) and International Staffing. It provides staffing solutions through its branch networks in Americas and International operations and also provides a suite of innovative talent fulfilment and outcome-based solutions through GTS segment. Americas Staffing generates maximum revenue from its operations.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    Redeploying APAC Capital. In its first move since the February announcement of the sale of the majority of its APAC assets, Kelly Services is acquiring fast-growing RocketPower, a leading provider of Recruitment Process Outsourcing (RPO) and other outsourced talent solutions. Management described the business as “high-margin, high-growth assets,” although terms of the deal were not disclosed.

    Who Is RocketPower? Founded in 2016 by Silicon Valley veteran Mat Caldwell, RocketPower is a leading provider of RPO and other outsourced talent solutions.  RocketPower’s customers include rapidly scaling U.S. tech companies known for disrupting industries and changing the world. In 2021, RocketPower generated $28 million of revenue and anticipates triple digit growth in 2022 …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Vectrus (VEC) – A Transformational Combination Reports 4Q21 Results

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Tuesday, March 08, 2022

Vectrus (VEC)
A Transformational Combination; Reports 4Q21 Results

Vectrus Inc is a U.S.-based company that provides services to the U.S. government. It operates as one segment and offer facility and logistics services and information technology and network communications services. The information technology and network communications capabilities consist of communications systems operations and maintenance, management and service support, systems installation and activation, system-of-systems engineering and software development, and mission support for the department of defense. The facility and logistics service include airfield management, ammunition management, civil engineering, communications, emergency services, life support activities, public works, security, transportation operations and others.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    Vertex Combination. Yesterday, Vectrus announced it is combining with The Vertex Company in an all-stock merger that values Vertex at $2.1 billion. The combined company will offer significantly expanded technology and service capabilities, delivering a comprehensive suite of integrated solutions and critical service offerings to support national security readiness and modernization initiatives around the world.

    Through the $2.5 billion, 7% Margin Goal.  With pro forma 2021 combined revenue of $3.4 billion and adjusted EBITDA of $283 million, or an 8.3% margin, Vectrus will exceed its $2.5 billion, 7% adjusted EBITDA margin goal. Significantly, the combined entity’s $11.3 billion backlog provides high revenue visibility with the potential of increased adjusted EBITDA margin going forward …

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Vectrus (VEC) – A Transformational Combination; Reports 4Q21 Results

Posted on by Admin

Tuesday, March 08, 2022

Vectrus (VEC)
A Transformational Combination; Reports 4Q21 Results

Vectrus Inc is a U.S.-based company that provides services to the U.S. government. It operates as one segment and offer facility and logistics services and information technology and network communications services. The information technology and network communications capabilities consist of communications systems operations and maintenance, management and service support, systems installation and activation, system-of-systems engineering and software development, and mission support for the department of defense. The facility and logistics service include airfield management, ammunition management, civil engineering, communications, emergency services, life support activities, public works, security, transportation operations and others.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    Vertex Combination. Yesterday, Vectrus announced it is combining with The Vertex Company in an all-stock merger that values Vertex at $2.1 billion. The combined company will offer significantly expanded technology and service capabilities, delivering a comprehensive suite of integrated solutions and critical service offerings to support national security readiness and modernization initiatives around the world.

    Through the $2.5 billion, 7% Margin Goal.  With pro forma 2021 combined revenue of $3.4 billion and adjusted EBITDA of $283 million, or an 8.3% margin, Vectrus will exceed its $2.5 billion, 7% adjusted EBITDA margin goal. Significantly, the combined entity’s $11.3 billion backlog provides high revenue visibility with the potential of increased adjusted EBITDA margin going forward …

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.