Parsons Shares Soar On Grabbing $68.5M Army Housing Contract

Author: Lekha Gupta | September 09, 2024 12:11pm

Parsons Corporation (NYSE:PSN) shares are trading higher on Monday after the company won a three-year contract worth $68.5 million from the U.S. Army Corps of Engineers (USACE) Honolulu District.

As per the contract, Parsons will build new army housing units on-island, its second such contract in under a year.

The contract involves the design-bid-build delivery of new U.S. Army housing units in the Kwajalein Atoll, Republic of the Marshall Islands, marking new work for the company.

Parsons was also chosen by the USACE Honolulu District for its Pre-Qualified Source Listing (PQSL), which qualifies the company to receive future large task orders valued at $50 million or more within the district’s jurisdiction.

In October 2023, the company also secured a $44 million contract for army housing as part of the Department of the Army’s modernization efforts.

Jon Moretta, President, Engineered Systems for Parsons, said, “This award expands our work in the Kwajalein Atoll, a uniquely complex environment for infrastructure due to the logistical challenges of servicing the remote location as well as the highly corrosive and humid environment.”

Last month, Parsons was selected as the lead engineer for the $4.6 billion State Route 400 Express Lanes Major Mobility Investment Program by the Georgia Department of Transportation and the Georgia State Road and Tollway Authority.

Investors can gain exposure to the stock via Global X Funds Global X Defense Tech ETF (NYSE:SHLD) and Professionally Managed Portfolios Otter Creek Focus Strategy ETF (NYSE:OCFS).

Price Action: PSN Shares are up 5.54% at $96.98 at the last check Monday.

Image via Shutterstock

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Posted In: OCFS PSN SHLD