The Changing Face of the Defense Industry; an Exclusive Interview with Mr. Brian W. Ruttenbur, Managing Director at Morgan Keegan
Analyst Interview on Defense Budget and Commentary from Defense Company, Optex Systems Holdings, Inc. (OTCBB: OPXS)
POINT ROBERTS, Wash., DELTA, B.C. –July 15, 2009 – www.HomelandDefenseStocks.com, a leading global investor and industry portal for the defense and security sector, within Investorideas.com, provides investors and defense industry participants, new Defense Budget commentary from defense analyst, Mr. Brian W. Ruttenbur, Managing Director at Morgan Keegan.
Mr. Ruttenbur discusses the recent changes in the defense budget and the changing face of the defense industry and how it impacts both companies and investors.
One public company, Optex Systems Holdings, Inc. (OTCBB: OPXS), continues to see the flow down of these trends in government spending. According to Danny Schoening, Chief Operating Officer, “The army is committed to a rigorous maintenance and repair program in these very harsh operating conditions in addition to their new vehicle supply. Further, the demand for night vision equipment and weapon sights remains high.”
Previous Budget related releases from Homelanddefensestocks.com:
Defense Budget Winners and Losers May 6 2009
Defense Investing- Cyber Security: The Next Great Defense Opportunity June 16, 2009
The Changing Face of the Defense Industry
Homelanddefensestocks.com (HDS) June 2009 Interview with Mr. Brian W. Ruttenbur, Managing Director at Morgan Keegan & Company, Inc., Research Division, who covers the security, safety, and defense sector. Mr. Ruttenbur discusses the recent changes in the defense budget and the changing face of the defense industry.
HDS Question
Brian, the defense industry is currently undergoing some major changes, with the recent Budget announcements of 663.8 billion for fiscal year 2010, with a base budget of $533.8 billion, an increase 4.0% from the 2009 budget of $513.3 billion, plus $130 billion for ongoing military operations in
Afghanistan and Iraq. Within the budget there is a shift in the direction of spending, concentrating on the current wars and a mandate to monitor spending and eliminate waste. In that - can you give us some insight as to what companies are impacted the most and how?
Mr. Brian W. Ruttenbur Answer -
Companies that focus on basic troop support – the “beans and bullets” – will be hurt by declining troop levels and supplemental spending over the next several years; those focused on areas we think demand will continue to grow in (such as maintenance/refurbishment, cybersecurity and ISR) we expect will continue to grow and perform well. Additionally, we believe international defense spending will grow at a faster rate than domestic. Companies we see doing well include L-3 (focus on defense electronics & maintenance), Raytheon (focus on defense electronics, strong international presence), Lockheed Martin (strong international growth opportunities particularly w/ F-35), and General Dynamics (should do well with the military’s large reset bill – Army projected to spend $13+ billion annually over several years). The talk of reform and reducing waste will most likely not result in any major changes that will significantly impact the industry, though it may put additional pressure on companies to fix operational issues (such as those at Northrop Grumman).
HDS Question -
For investors who have followed the defense sector in the past - there are new trends to factor in. What do you see as the most significant short term trends in the defense industry and how can investors play into those?
Mr. Brian W. Ruttenbur Answer -
Short term, we see strong demand for ISR assets – IR cameras, UAVs, spy/surveillance planes, as well as training and logistics support for the developing Iraqi / Afghan armies. We also expect growth in cybersecurity spending, which will be spread across the DoD, DHS, intelligence agencies, and civilian government agencies. Despite the drawdown in Iraq, we see no near term decline in core U.S. defense spending. Given a flattening of defense growth combined with the solid balance sheets of most defense contractors, we expect M&A activity to begin picking up, and be particularly strong around the 2010/2011 timeframe. We also note that we expect the government to move toward using more fixed price contracts. While we expect developmental work will remain largely cost-plus, we see full run rate procurement work becoming a higher proportion fixed price over time. While this may add some risk to programs, we believe that it may also provide opportunities to companies which are able to efficiently run their operations, as fixed price contracts traditionally are awarded with a higher potential margin rate.
HDS Question
The defense industry is also changing in terms of the global spending picture and several US companies benefited from the February International Defence Exhibition & Conference 2009 (IDEX) in Abu Dhabi, where an estimated $ 5 billion was spent. How do you see global spending impacting the markets,
and what do North American companies have to do to participate?
Mr. Brian W. Ruttenbur Answer -
We expect that growth international defense spending will outpace domestic spending over the next several years (though the U.S. will remain far and away the largest single defense customer). In particular, we see strong opportunities with India (expected $30+ billion over next 10 years to modernize its forces), Australia (recently completed long term defense outlook, expects 3% real growth annually through 2018 off $13 billion base), South Korea/Japan (given heightened North Korean tensions and the rise of China), and in the Middle East (particularly Saudi Arabia). We believe it will be important for U.S. companies to be able to match their offerings to local needs, and be able to provide and support last generation technology to customers who may not have the resources of the U.S. (for instance, Lockheed Martin’s continued sales of F-16s and Boeing’s concept of creating a stealth F-15 for far cheaper than the F-35).
HDS Question
Brian since you have covered the Homeland Security sector from its beginnings, how do you think the US is positioned for potential threats, and is the new Government correct in its thinking and focus on cyber security?
And following on to the previous question - with China and other global powers increasing their defense and military spending - is the current Government in line with the rest of the world?
Mr. Brian W. Ruttenbur Answer -
We believe the administration is moving in the right direction with its increased focus on cybersecurity. This was an area that had been relatively neglected until near the end of the Bush administration, and given the increasing interconnectedness and therefore vulnerability of modern information, we see this as a vital portion of Homeland Security efforts (i.e. the concern over whether hackers could shut down the electric system, and the stealing of classified data on the F-35 program).
Compared with other global powers, the U.S. is still far and away the largest spender on defense. The Stockholm International Peace Research Institute recently came out with its 2008 arms spending report, indicating that global defense spending neared $1.5 trillion in 2008. It reported that the U.S. spent $607 billion in 2008 (42% of the global total), and the next nine countries spent a combined $476 billion. However, the rate of growth in certain foreign countries appears to be higher. While the U.S. grew 9.7% in 2008, we see its growth rate declining to a low to mid single digit rate going forward, while countries such as China (which grew spending 10% in 2008 to become the number 2 spender overall) and Russia (grew spending 13% in 2008 to reach 5th overall) will most likely continue their high rates of growth. While we expect international spending to grow faster than U.S. spending, we note that we do not believe any foreign nation, or group of foreign nations, will reach a point where they could compete against the U.S. in a conventional sense within the next several decades.
Companies Mentioned
Boeing (BA NR - $52.83)
General Dynamics (GD O/M - $60.46)
Lockheed Martin (LMT O/M - $85.85)
L-3 Communications (LLL O/S - $74.97)
Northrop Grumman (NOC M/M - $48.70)
Raytheon (RTN O/M - $45.95)
Disclosures
The research analyst responsible for the preparation of this report does not hold investment positions of any nature in the securities of this issuer. The research analyst responsible for the preparation of this report is compensated in part on the firm's investment banking revenue but is not compensated based upon specific investment banking services transactions.
Morgan Keegan & Co., Inc. expects to receive or intends to seek compensation for investment banking services from LLL, security, in the next 3 months.
Optex Systems Holdings, Inc. (OTCBB: OPXS) is a featured defense stock and showcase company on Investor Ideas defense investor portals, Homelandefensestocks.com, BorderandPortsecurity.com and http://www.nationalhomelandsecurityknowledgebase.com ( See disclosure below )
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
ABOUT OPTEX SYSTEMS - Optex, which was founded in 1987, is a Richardson, Texas-based ISO 9001:2008 certified concern, which manufactures optical sighting systems and assemblies primarily for Department of Defense (DOD) applications. Its products are installed on a majority of types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Advanced Security Vehicles and have been selected for installation on the Stryker family of vehicles. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors. Company's website: www.optexsys.com
About Homelanddefensestocks.com- HomelandDefenseStocks.com Portal is a global meeting place for investors and industry following defense and security, within Investorideas.com. Global visitors use the site daily to research the latest news, articles, audio, research reports and stock directories.
Defense Stocks Directory: http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
About InvestorIdeas.com:
InvestorIdeas.com is a leading global investor and industry research resource portal specialized in sector investing covering over thirty industry sectors and global markets including China, India, the Middle East and Australia.
InvestorIdeas.com Disclaimer.: www.InvestorIdeas.com/About/Disclaimer.asp
Our sites do not make recommendations, but offer information portals to investors to research news, articles, stock lists and recent research. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of any information presented. All information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is compensated by featured companies, news submissions and online advertising. OPXS Disclosure: Optex is a featured showcase company and compensates Investorideas.com $3000 month and sixty two thousand 144 shares issued quarterly.
For more information contact: Dawn Van Zant 800.665.0411 Email: dvanzant@HomelandDefenseStocks.com
Source: HomelandDefenseStocks.com, Investor Ideas, Optex Systems Holdings Inc. (OTCBB: OPXS)Research defense stocks with the global defense stocks directory at Investorideas.com
click here:
http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
Showing posts with label Optex Systems Holdings. Show all posts
Showing posts with label Optex Systems Holdings. Show all posts
Wednesday, July 15, 2009
Tuesday, May 19, 2009
Defense Stocks Directory Update - Homeland Security Stocks, Aerospace and Defense Stocks, Biodefense Stocks, Security Stocks, Energy Security Stocks,
Defense Stocks Directory Update - Homeland Security Stocks, Aerospace and Defense Stocks, Biodefense Stocks, Security Stocks, Energy Security Stocks, Infrastructure Stocks
POINT ROBERTS, Wash., DELTA, B.C. – May 19, 2009 – www.HomelandDefenseStocks.com, a leading global investor and industry portal for the defense and security sector, within Investorideas.com, updates the defense stocks directory for investors following the sector.
Homeland Security and Defense Stocks Directory:
Showcase Defense Company:
Optex Systems Holdings, Inc., (OTCBB: OPXS) through its wholly-owned subsidiary, Optex Systems, Inc. manufactures optical sighting systems and assemblies primarily for Department of Defense (DOD) applications. Its products are installed on a majority of types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Armored Security Vehicles and have been selected for installation on the Future Combat Systems (FCS) Stryker vehicle. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors.
Read the full company profile:
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
Partial Directory
2-Track Global Inc. (OTCBB:TOTG) is a technology development and marketing company which owns, operates and licences proprietary telematics solutions combining hardware and software applications run over wireless or satellite networks to deliver remote security management of marine and cargo fleets (including consumer solutions aimed at the leisure, marine and domestic security markets) and commercial vehicle plant and machinery management and security. The company has communications architecture technology, which provides global logistics solutions for the remote monitoring of freight containers over multiple transport mores.
4C Controls (OTCBB: FOUR) is an early stage company offering high technology integrated security solutions providing real-time early warning and reduction of time scales from threat-detection to termination in the field. The Company's primary focus is on cutting-edge technologies and large distribution networks including high resolution synthetic aperture radar satellites (SAR) and satellite images; ground high performance radars for intrusion detection and electronic surveillance / access control markets such as biometric, radio frequency identification (RFID), real time locating systems (RTLS) and closed-circuit television (CCTV).
AAR Corp. (NYSE:AIR) AAR is a leading provider of products and value-added services to the worldwide aerospace and defense industry. With facilities and sales locations around the world, AAR uses its close-to-the-customer business model to serve aviation and defense customers through four operating segments: Aviation Supply Chain; Maintenance, Repair and Overhaul; Structures and Systems; and Aircraft Sales and Leasing.
Abatix Corp. (OTCPK:ABIX) ABATIX CORP. is a full line supplier to the construction, industrial and environmental industries. The Company currently has eight distribution centers in Dallas and Houston, Texas, in San Francisco and Los Angeles, California, in Phoenix, Arizona, in Seattle, Washington, in Las Vegas, Nevada and in Jacksonville, Florida. These distribution centers serve customers throughout the Southeast, Southwest, Midwest, Pacific Coast, Alaska and Hawaii. Abatix is a distibutor of construction and safety products.
Abaxis Inc. (NasdaqGS:ABAX) Abaxis develops, manufactures and markets portable blood analysis systems for use in any veterinary or human patient-care setting to provide clinicians with rapid blood constituent measurements. The system consists of a compact, 5.1 kilogram (11.2 pounds), portable analyzer and a series of single-use plastic discs, called reagent discs that contain all the chemicals required to perform a panel of up to 13 tests on veterinary patients and 14 tests on human patients. The system can be operated with minimal training and performs multiple routine tests on whole blood, serum or plasma samples. The system provides test results in less than 12 minutes with the precision and accuracy equivalent to a clinical laboratory analyzer.
ABM Industries Inc. (NYSE:ABM) ABM Industries Incorporated, which operates through its subsidiaries (collectively "ABM"), is among the leading providers of facility services in the United States. With fiscal 2008 revenues in excess of $3.6 billion and more than 100,000 employees, ABM provides janitorial, facility, engineering, parking and security services for thousands of commercial, industrial, institutional and retail facilities across the United States, Puerto Rico and British Columbia, Canada. ABM's business services include ABM Janitorial Services; ABM Facility Services; ABM Engineering Services; Ampco System Parking; and ABM Security Services.
Acambis (AIM:ACM.L; ACAMY.PK) Acambis is a leading vaccine company developing novel vaccines that address significant unmet medical needs or substantially improve standards of care. Acambis is recognised internationally as the leading producer of smallpox vaccines for emergency-use stockpiles held by the US Government and several other governments around the world. Acambis developed its ACAM2000™ smallpox vaccine under contracts with the US Government.
Accenture Ltd (NYSE: ACN) Accenture is a global management consulting, technology services and outsourcing company. Combining unparalleled experience, comprehensive capabilities across all industries and business functions, and extensive research on the world's most successful companies, Accenture collaborates with clients to help them become high-performance businesses and governments. With more than 186,000 people serving clients in over 120 countries, the company generated net revenues of US $23.39 billion for the fiscal year ended Aug. 31, 2008.
ACI Worldwide (NasdaqGS:ACIW) ACI Worldwide is a leading provider of electronic payments software and services to major banks, retailers and processors around the world. The company's solutions enable online payment processing, online banking, fraud prevention and detection, and back office services such as settlement, account management, card management and dispute processing. ACI solutions provide market-leading levels of reliability, manageability and scale to over 800 customers in 88 countries.
Acorn Energy, Inc. (NasdaqGM:ACFN) Acorn Energy is holding company focused on improving the efficiency and environmental impact of the energy infrastructure, fossil fuel and nuclear industries. It also offers RT Solutions that focus on naval solutions to the commercial, defense, and homeland security markets, as well as other real-time and embedded hardware and software development in Israel. The naval solutions include Diver Detection Sonar(DDS) system that guards ports and shore installations from underwater threats; Mobile Acoustic Range system to measure radiated noise of submarines and surface vessels; Generic Sonar Simulator for training ASW, submarine, and mine detection sonar operators; Harbor Surveillance System that incorporates DDS sensors with above-water surveillance sensors to create above and below water security system; and Underwater Acoustic Signal Analysis system to process, analyze, and classify acoustic signals radiated by various sources and received by naval sonar systems.
Full directory- http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
About Homelanddefensestocks.com- HomelandDefenseStocks.com Portal is a global meeting place for investors and industry following defense and security, within Investorideas.com. Global visitors use the site daily to research the latest news, articles, audio, research reports and stock directories.
About InvestorIdeas.com:
InvestorIdeas.com is a leading global investor and industry research resource portal specialized in sector investing covering over thirty industry sectors and global markets including China, India, the Middle East and Australia.
Investorideas.com Membership – Defense Stocks directory:
With markets and investor sentiment changing daily- it is more important than ever to stay on top of key trends! Gain Exclusive Insight on Leading Sectors, Global Trends, and Insider Trading Ideas, News, Articles and Investor Ideas Members only Restricted Content including the complete renewable energy stocks directory, water stocks, biotech and defense stocks directory, as well as the Insiders Corner by Michael Brush.
Become an InvestorIdeas.com -Learn more: http://www.investorideas.com/membership/
InvestorIdeas.com Disclaimer: www.InvestorIdeas.com/About/Disclaimer.asp
Our sites do not make recommendations, but offer information portals to investors to research news, articles, stock lists and recent research. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of any information presented. All information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is compensated by featured companies, news submissions and online advertising. OPXS Disclosure: Optex is a featured showcase company and compensates Investorideas.com $3000 month and sixty two thousand 144 shares issued quarterly.
For more information contact:
Dawn Van Zant 800.665.0411
Email: dvanzant@HomelandDefenseStocks.com
Source: HomelandDefenseStocks.com, Investor Ideas
POINT ROBERTS, Wash., DELTA, B.C. – May 19, 2009 – www.HomelandDefenseStocks.com, a leading global investor and industry portal for the defense and security sector, within Investorideas.com, updates the defense stocks directory for investors following the sector.
Homeland Security and Defense Stocks Directory:
Showcase Defense Company:
Optex Systems Holdings, Inc., (OTCBB: OPXS) through its wholly-owned subsidiary, Optex Systems, Inc. manufactures optical sighting systems and assemblies primarily for Department of Defense (DOD) applications. Its products are installed on a majority of types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Armored Security Vehicles and have been selected for installation on the Future Combat Systems (FCS) Stryker vehicle. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors.
Read the full company profile:
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
Partial Directory
2-Track Global Inc. (OTCBB:TOTG) is a technology development and marketing company which owns, operates and licences proprietary telematics solutions combining hardware and software applications run over wireless or satellite networks to deliver remote security management of marine and cargo fleets (including consumer solutions aimed at the leisure, marine and domestic security markets) and commercial vehicle plant and machinery management and security. The company has communications architecture technology, which provides global logistics solutions for the remote monitoring of freight containers over multiple transport mores.
4C Controls (OTCBB: FOUR) is an early stage company offering high technology integrated security solutions providing real-time early warning and reduction of time scales from threat-detection to termination in the field. The Company's primary focus is on cutting-edge technologies and large distribution networks including high resolution synthetic aperture radar satellites (SAR) and satellite images; ground high performance radars for intrusion detection and electronic surveillance / access control markets such as biometric, radio frequency identification (RFID), real time locating systems (RTLS) and closed-circuit television (CCTV).
AAR Corp. (NYSE:AIR) AAR is a leading provider of products and value-added services to the worldwide aerospace and defense industry. With facilities and sales locations around the world, AAR uses its close-to-the-customer business model to serve aviation and defense customers through four operating segments: Aviation Supply Chain; Maintenance, Repair and Overhaul; Structures and Systems; and Aircraft Sales and Leasing.
Abatix Corp. (OTCPK:ABIX) ABATIX CORP. is a full line supplier to the construction, industrial and environmental industries. The Company currently has eight distribution centers in Dallas and Houston, Texas, in San Francisco and Los Angeles, California, in Phoenix, Arizona, in Seattle, Washington, in Las Vegas, Nevada and in Jacksonville, Florida. These distribution centers serve customers throughout the Southeast, Southwest, Midwest, Pacific Coast, Alaska and Hawaii. Abatix is a distibutor of construction and safety products.
Abaxis Inc. (NasdaqGS:ABAX) Abaxis develops, manufactures and markets portable blood analysis systems for use in any veterinary or human patient-care setting to provide clinicians with rapid blood constituent measurements. The system consists of a compact, 5.1 kilogram (11.2 pounds), portable analyzer and a series of single-use plastic discs, called reagent discs that contain all the chemicals required to perform a panel of up to 13 tests on veterinary patients and 14 tests on human patients. The system can be operated with minimal training and performs multiple routine tests on whole blood, serum or plasma samples. The system provides test results in less than 12 minutes with the precision and accuracy equivalent to a clinical laboratory analyzer.
ABM Industries Inc. (NYSE:ABM) ABM Industries Incorporated, which operates through its subsidiaries (collectively "ABM"), is among the leading providers of facility services in the United States. With fiscal 2008 revenues in excess of $3.6 billion and more than 100,000 employees, ABM provides janitorial, facility, engineering, parking and security services for thousands of commercial, industrial, institutional and retail facilities across the United States, Puerto Rico and British Columbia, Canada. ABM's business services include ABM Janitorial Services; ABM Facility Services; ABM Engineering Services; Ampco System Parking; and ABM Security Services.
Acambis (AIM:ACM.L; ACAMY.PK) Acambis is a leading vaccine company developing novel vaccines that address significant unmet medical needs or substantially improve standards of care. Acambis is recognised internationally as the leading producer of smallpox vaccines for emergency-use stockpiles held by the US Government and several other governments around the world. Acambis developed its ACAM2000™ smallpox vaccine under contracts with the US Government.
Accenture Ltd (NYSE: ACN) Accenture is a global management consulting, technology services and outsourcing company. Combining unparalleled experience, comprehensive capabilities across all industries and business functions, and extensive research on the world's most successful companies, Accenture collaborates with clients to help them become high-performance businesses and governments. With more than 186,000 people serving clients in over 120 countries, the company generated net revenues of US $23.39 billion for the fiscal year ended Aug. 31, 2008.
ACI Worldwide (NasdaqGS:ACIW) ACI Worldwide is a leading provider of electronic payments software and services to major banks, retailers and processors around the world. The company's solutions enable online payment processing, online banking, fraud prevention and detection, and back office services such as settlement, account management, card management and dispute processing. ACI solutions provide market-leading levels of reliability, manageability and scale to over 800 customers in 88 countries.
Acorn Energy, Inc. (NasdaqGM:ACFN) Acorn Energy is holding company focused on improving the efficiency and environmental impact of the energy infrastructure, fossil fuel and nuclear industries. It also offers RT Solutions that focus on naval solutions to the commercial, defense, and homeland security markets, as well as other real-time and embedded hardware and software development in Israel. The naval solutions include Diver Detection Sonar(DDS) system that guards ports and shore installations from underwater threats; Mobile Acoustic Range system to measure radiated noise of submarines and surface vessels; Generic Sonar Simulator for training ASW, submarine, and mine detection sonar operators; Harbor Surveillance System that incorporates DDS sensors with above-water surveillance sensors to create above and below water security system; and Underwater Acoustic Signal Analysis system to process, analyze, and classify acoustic signals radiated by various sources and received by naval sonar systems.
Full directory- http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
About Homelanddefensestocks.com- HomelandDefenseStocks.com Portal is a global meeting place for investors and industry following defense and security, within Investorideas.com. Global visitors use the site daily to research the latest news, articles, audio, research reports and stock directories.
About InvestorIdeas.com:
InvestorIdeas.com is a leading global investor and industry research resource portal specialized in sector investing covering over thirty industry sectors and global markets including China, India, the Middle East and Australia.
Investorideas.com Membership – Defense Stocks directory:
With markets and investor sentiment changing daily- it is more important than ever to stay on top of key trends! Gain Exclusive Insight on Leading Sectors, Global Trends, and Insider Trading Ideas, News, Articles and Investor Ideas Members only Restricted Content including the complete renewable energy stocks directory, water stocks, biotech and defense stocks directory, as well as the Insiders Corner by Michael Brush.
Become an InvestorIdeas.com -Learn more: http://www.investorideas.com/membership/
InvestorIdeas.com Disclaimer: www.InvestorIdeas.com/About/Disclaimer.asp
Our sites do not make recommendations, but offer information portals to investors to research news, articles, stock lists and recent research. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of any information presented. All information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is compensated by featured companies, news submissions and online advertising. OPXS Disclosure: Optex is a featured showcase company and compensates Investorideas.com $3000 month and sixty two thousand 144 shares issued quarterly.
For more information contact:
Dawn Van Zant 800.665.0411
Email: dvanzant@HomelandDefenseStocks.com
Source: HomelandDefenseStocks.com, Investor Ideas
Wednesday, May 6, 2009
Defense Budget Winners and Losers-How Defense Companies Boeing (NYSE:BA), Northrop Grumman (NYSE:NOC),OTCBB: OPXS) and others are Impacted
Defense Budget Winners and Losers
How Defense Companies Boeing (NYSE:BA), Northrop Grumman (NYSE:NOC), General Dynamics (NYSE:GD), Optex Systems Holdings, Inc. (OTCBB: OPXS) and others are Impacted
POINT ROBERTS, Wash., DELTA, B.C. - May 6, 2009 – http://www.homelanddefensestocks.com/, a leading global investor and industry portal for the defense and security sector, within Investorideas.com, presents a sector close-up on defense stocks following recently announced changes in the Defense Budget.
Defense Budget Winners and Losers
Lisa Springer CFA, Equity research analyst and financial writer
The 2010 defense budget presented by Defense Secretary Robert Gates offers growth prospects for defense contractors involved in cyber security, intelligence, surveillance and reconnaissance, but disappointments for big ticket programs such as F-22 fighter jets, combat search and rescue helicopters and missile intercepting lasers. Secretary Gate’s budget suggests major changes to more than 50 weapons programs, some cancellations and increased funding to a select few. At $534 billion, the 2010 budget is 4% higher than last year and nearly double America’s annual defense budget in the year leading up to the September 11, 2001 terrorist attacks. Secretary Gates is also seeking supplemental funding of $130 billion for the wars in Iraq and Afghanistan next year, down from $141.4 billion in supplemental funding for these operations in the current fiscal year.
Significant programs that lost funding included ground-based missile defense, Army ground vehicle modernization and military transport C-17 aircraft programs managed by Boeing (NYSE:BA) and the DDG-1000 Navy destroyer program jointly managed by Northrop Grumman (NYSE:NOC) and General Dynamics (NYSE:GD). In general, Secretary Gate’s budget shifts spending away from big ticket defense programs conceived during the Cold War to smaller programs that have already proven their usefulness in combat such as unmanned drones used to hunt insurgents in Afghanistan, Iraq and Pakistan. Secretary Gate’s request for a $2.0 billion increase in cyber security and reconnaissance spending for 2010 is a positive development for prime contractors Lockheed Martin ( NYSE:LMT), Northrop Grumman and Raytheon (NYSE:RTN), who have already established substantial capabilities in this segment.
Share prices for several of the major defense contractors rose after the new budget was announced because spending cuts were not as deep as many investors had feared. Lockheed Martin will see funding reductions in some areas but overall fared reasonably well under the new budget. For example, although Secretary Gate’s budget caps purchases of Lockheed’s F-22 fighters at the 187 jets already ordered, it increases 2010 funding 65% to $11.2 billion for Lockheed’s next generation F-35 Joint Strike Fighter. The Pentagon plans to acquire 513 F-35 fighter jets, priced at $80 million apiece, over the next five years and at least 2,300 F-35 fighter jets over the 30 year life of the contract. The Department of Defense also announced plans to purchase two expensive new imaging satellites as part of a contract likely to be awarded to Lockheed Martin, and the Navy shared its plans to purchase three Littoral Combat Ships (LCS) manufactured by General Dynamics and Lockheed Martin. These ships, designed to operate in shallow seas and within 100 miles of shore, are priced at approximately $500 million apiece.
A major change in the new defense budget is the gutting of the Army’s $200 billion Future Combat Systems (FCS) program and its eight program ground vehicles. These vehicles include next generation tanks, cannons and infantry carriers. When first announced six years ago, FCS was lauded as the program that would equip a 21st century military force with high-tech combat vehicles able to outgun and out-maneuver any enemy. The hard lesson learned in Iraq and Afghanistan, however, was that these lightweight vehicles were too thinly armored to survive insurgent attacks with road-side bombs. A few pieces of the FCS program will continue to be funded such as ground robots and unmanned aerial drones. This is welcome news for AeroVironment (NASDAQ:AVAV), a small cap defense contractor and leading supplier of military unmanned aerial vehicles.
Budget plans that defer spending on next-generation FCS platforms are also positive news for defense contractors supplying assemblies and spare parts for existing military vehicle platforms. Because of FCS program cuts, Abrams tanks and Bradley and Stryker ground vehicles are likely to remain the workhorses of the U.S. military for at least the next 20 years. Optex Systems Holdings, Inc. (OTCBB: OPXS ) is a small cap company benefitting from this trend. Founded in 1987, Optex supplies sighting systems and replacement optics installed on most types of U.S. military vehicles, including Abrams, Bradley and Stryker fighting vehicles. In addition, the company’s optical sighting systems target the big Howitzer guns used by the U.S. military to shell insurgent positions in the mountains of Afghanistan with lethal effectiveness. Demand for Optex sighting systems is likely to rise as the war in Afghanistan ramps up and the company is working with its military customers to increase its production and capabilities. Besides military sales, Optex also sees opportunities to integrate some of its night vision and optical sight product lines into retail applications.
In fiscal 2009, Optex (OTCBB: OPXS) expects to recognize $27.4 million in revenues from its sizable contract backlog and the company is actively pursuing on other large government contracts. Backlog was $44 million at fiscal year-end and $39 million at the end of the first quarter of fiscal 2009. Optex revenues rose 64.5% year-over-year during first quarter of fiscal 2009 to $7.2 million and net losses fell to $0.03 million from $0.69 million one year earlier.
Lisa Springer Bio/ Disclaimer: http://www.investorideas.com/About/Lisa-Springer-CFA/
Optex Systems Holdings, Inc. (OTCBB: OPXS) is a featured defense stock and showcase company on Investor Ideas defense investor portals, Homelandefensestocks.com, BorderandPortsecurity.com and http://www.nationalhomelandsecurityknowledgebase.com/
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
About Homelanddefensestocks.com- HomelandDefenseStocks.com Portal is a global meeting place for investors and industry following defense and security, within Investorideas.com. Global visitors use the site daily to research the latest news, articles, audio, research reports and stock directories.
Defense Stocks Directory: http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
About InvestorIdeas.com:
InvestorIdeas.com is a leading global investor and industry research resource portal specialized in sector investing covering over thirty industry sectors and global markets including China, India, the Middle East and Australia.
InvestorIdeas.com Disclaimer.: www.InvestorIdeas.com/About/Disclaimer.asp
Our sites do not make recommendations, but offer information portals to investors to research news, articles, stock lists and recent research. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of any information presented. All information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is compensated by featured companies, news submissions and online advertising. OPXS Disclosure: Optex is a featured showcase company and compensates Investorideas.com $3000 month and sixty two thousand 144 shares issued quarterly.
Optex Systems Holdings, Inc. has not been consulted as to the content of this article. Optex specifically disclaims any involvement with the creation or review thereof, and specifically disclaims the making of any warranties as to the factual nature of the article or its conclusions or of its failure to make a statement where one may be warranted.
For more information contact: Dawn Van Zant 800.665.0411 Email: dvanzant@HomelandDefenseStocks.com
Source: HomelandDefenseStocks.com, Investor Ideas.com
How Defense Companies Boeing (NYSE:BA), Northrop Grumman (NYSE:NOC), General Dynamics (NYSE:GD), Optex Systems Holdings, Inc. (OTCBB: OPXS) and others are Impacted
POINT ROBERTS, Wash., DELTA, B.C. - May 6, 2009 – http://www.homelanddefensestocks.com/, a leading global investor and industry portal for the defense and security sector, within Investorideas.com, presents a sector close-up on defense stocks following recently announced changes in the Defense Budget.
Defense Budget Winners and Losers
Lisa Springer CFA, Equity research analyst and financial writer
The 2010 defense budget presented by Defense Secretary Robert Gates offers growth prospects for defense contractors involved in cyber security, intelligence, surveillance and reconnaissance, but disappointments for big ticket programs such as F-22 fighter jets, combat search and rescue helicopters and missile intercepting lasers. Secretary Gate’s budget suggests major changes to more than 50 weapons programs, some cancellations and increased funding to a select few. At $534 billion, the 2010 budget is 4% higher than last year and nearly double America’s annual defense budget in the year leading up to the September 11, 2001 terrorist attacks. Secretary Gates is also seeking supplemental funding of $130 billion for the wars in Iraq and Afghanistan next year, down from $141.4 billion in supplemental funding for these operations in the current fiscal year.
Significant programs that lost funding included ground-based missile defense, Army ground vehicle modernization and military transport C-17 aircraft programs managed by Boeing (NYSE:BA) and the DDG-1000 Navy destroyer program jointly managed by Northrop Grumman (NYSE:NOC) and General Dynamics (NYSE:GD). In general, Secretary Gate’s budget shifts spending away from big ticket defense programs conceived during the Cold War to smaller programs that have already proven their usefulness in combat such as unmanned drones used to hunt insurgents in Afghanistan, Iraq and Pakistan. Secretary Gate’s request for a $2.0 billion increase in cyber security and reconnaissance spending for 2010 is a positive development for prime contractors Lockheed Martin ( NYSE:LMT), Northrop Grumman and Raytheon (NYSE:RTN), who have already established substantial capabilities in this segment.
Share prices for several of the major defense contractors rose after the new budget was announced because spending cuts were not as deep as many investors had feared. Lockheed Martin will see funding reductions in some areas but overall fared reasonably well under the new budget. For example, although Secretary Gate’s budget caps purchases of Lockheed’s F-22 fighters at the 187 jets already ordered, it increases 2010 funding 65% to $11.2 billion for Lockheed’s next generation F-35 Joint Strike Fighter. The Pentagon plans to acquire 513 F-35 fighter jets, priced at $80 million apiece, over the next five years and at least 2,300 F-35 fighter jets over the 30 year life of the contract. The Department of Defense also announced plans to purchase two expensive new imaging satellites as part of a contract likely to be awarded to Lockheed Martin, and the Navy shared its plans to purchase three Littoral Combat Ships (LCS) manufactured by General Dynamics and Lockheed Martin. These ships, designed to operate in shallow seas and within 100 miles of shore, are priced at approximately $500 million apiece.
A major change in the new defense budget is the gutting of the Army’s $200 billion Future Combat Systems (FCS) program and its eight program ground vehicles. These vehicles include next generation tanks, cannons and infantry carriers. When first announced six years ago, FCS was lauded as the program that would equip a 21st century military force with high-tech combat vehicles able to outgun and out-maneuver any enemy. The hard lesson learned in Iraq and Afghanistan, however, was that these lightweight vehicles were too thinly armored to survive insurgent attacks with road-side bombs. A few pieces of the FCS program will continue to be funded such as ground robots and unmanned aerial drones. This is welcome news for AeroVironment (NASDAQ:AVAV), a small cap defense contractor and leading supplier of military unmanned aerial vehicles.
Budget plans that defer spending on next-generation FCS platforms are also positive news for defense contractors supplying assemblies and spare parts for existing military vehicle platforms. Because of FCS program cuts, Abrams tanks and Bradley and Stryker ground vehicles are likely to remain the workhorses of the U.S. military for at least the next 20 years. Optex Systems Holdings, Inc. (OTCBB: OPXS ) is a small cap company benefitting from this trend. Founded in 1987, Optex supplies sighting systems and replacement optics installed on most types of U.S. military vehicles, including Abrams, Bradley and Stryker fighting vehicles. In addition, the company’s optical sighting systems target the big Howitzer guns used by the U.S. military to shell insurgent positions in the mountains of Afghanistan with lethal effectiveness. Demand for Optex sighting systems is likely to rise as the war in Afghanistan ramps up and the company is working with its military customers to increase its production and capabilities. Besides military sales, Optex also sees opportunities to integrate some of its night vision and optical sight product lines into retail applications.
In fiscal 2009, Optex (OTCBB: OPXS) expects to recognize $27.4 million in revenues from its sizable contract backlog and the company is actively pursuing on other large government contracts. Backlog was $44 million at fiscal year-end and $39 million at the end of the first quarter of fiscal 2009. Optex revenues rose 64.5% year-over-year during first quarter of fiscal 2009 to $7.2 million and net losses fell to $0.03 million from $0.69 million one year earlier.
Lisa Springer Bio/ Disclaimer: http://www.investorideas.com/About/Lisa-Springer-CFA/
Optex Systems Holdings, Inc. (OTCBB: OPXS) is a featured defense stock and showcase company on Investor Ideas defense investor portals, Homelandefensestocks.com, BorderandPortsecurity.com and http://www.nationalhomelandsecurityknowledgebase.com/
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
About Homelanddefensestocks.com- HomelandDefenseStocks.com Portal is a global meeting place for investors and industry following defense and security, within Investorideas.com. Global visitors use the site daily to research the latest news, articles, audio, research reports and stock directories.
Defense Stocks Directory: http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
About InvestorIdeas.com:
InvestorIdeas.com is a leading global investor and industry research resource portal specialized in sector investing covering over thirty industry sectors and global markets including China, India, the Middle East and Australia.
InvestorIdeas.com Disclaimer.: www.InvestorIdeas.com/About/Disclaimer.asp
Our sites do not make recommendations, but offer information portals to investors to research news, articles, stock lists and recent research. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of any information presented. All information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is compensated by featured companies, news submissions and online advertising. OPXS Disclosure: Optex is a featured showcase company and compensates Investorideas.com $3000 month and sixty two thousand 144 shares issued quarterly.
Optex Systems Holdings, Inc. has not been consulted as to the content of this article. Optex specifically disclaims any involvement with the creation or review thereof, and specifically disclaims the making of any warranties as to the factual nature of the article or its conclusions or of its failure to make a statement where one may be warranted.
For more information contact: Dawn Van Zant 800.665.0411 Email: dvanzant@HomelandDefenseStocks.com
Source: HomelandDefenseStocks.com, Investor Ideas.com
Tuesday, May 5, 2009
Defense Stock Company Profile for Optex Systems Holdings, Inc. (OTCBB: OPXS)
Defense Stock Company Profile for Optex Systems Holdings, Inc. (OTCBB: OPXS)
Point Roberts May 5, 2009 - http://www.investorideas.com/ and its leading defense stocks investor portal, Homelanddefensestocks.com, add Optex Systems Holdings, Inc. (OTCBB: OPXS) to its directory of company profiles by industry sectors.
Optex Systems Holdings, Inc., (OTCBB:OPXS ) through its wholly-owned subsidiary, Optex Systems, Inc. manufactures optical sighting systems and assemblies primarily for Department of Defense (DOD) applications. Its products are installed on a majority of types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Armored Security Vehicles and have been selected for installation on the Future Combat Systems(FCS) Stryker vehicle. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors.
Current customers include General Dynamics (NYSE: GD), Northrop Grumman Corporation (NYSE:NOC) and Raytheon Company (NYSE: RTN).
Read the full company profile:
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
The company profiles consist of the company name, logo, contact info , sector, executive summary, products and services summary, key executives, keywords, and if publicly traded- stock symbol and exchange.
Optex Systems Holdings, Inc. (OTCBB: OPXS) is a featured defense stock and showcase company on Investor Ideas defense investor portals, Homelandefensestocks.com, BorderandPortsecurity.com and http://www.nationalhomelandsecurityknowledgebase.com/
Submit company profiles: http://www.investorideas.com/Profile/Submission.asp
Directory: http://www.investorideas.com/Profile/
Become an Investorideas.com Member: research defense stocks
With markets and investor sentiment changing daily- it is more important than ever to stay on top of key trends! Gain Exclusive Insight on Leading Sectors, Global Trends, and Insider Trading Ideas, News, Articles and Investor Ideas Members only Stock Directories in renewable energy, biotech, water and defense stocks.
Become an InvestorIdeas.com -Learn more: http://www.investorideas.com/membership/
Disclaimer: The following company profile is a paid for submission. Our sites do not make recommendations. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of information presented. All Information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is currently compensated by featured companies, news submissions, company profile submissions and online advertising. www.InvestorIdeas.com/About/Disclaimer.asp
For Additional Information:
Dawn Van Zant: 800-665-0411 - dvanzant@investorideas.com
Source – Investorideas.com
Research defense stocks with the global defense stocks directory at Investorideas.com
click here:
http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
Point Roberts May 5, 2009 - http://www.investorideas.com/ and its leading defense stocks investor portal, Homelanddefensestocks.com, add Optex Systems Holdings, Inc. (OTCBB: OPXS) to its directory of company profiles by industry sectors.
Optex Systems Holdings, Inc., (OTCBB:OPXS ) through its wholly-owned subsidiary, Optex Systems, Inc. manufactures optical sighting systems and assemblies primarily for Department of Defense (DOD) applications. Its products are installed on a majority of types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Armored Security Vehicles and have been selected for installation on the Future Combat Systems(FCS) Stryker vehicle. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors.
Current customers include General Dynamics (NYSE: GD), Northrop Grumman Corporation (NYSE:NOC) and Raytheon Company (NYSE: RTN).
Read the full company profile:
Visit Optex Systems Holdings, Inc. (OTCBB: OPXS) Company Profile: http://www.investorideas.com/CO/OPTEX/
The company profiles consist of the company name, logo, contact info , sector, executive summary, products and services summary, key executives, keywords, and if publicly traded- stock symbol and exchange.
Optex Systems Holdings, Inc. (OTCBB: OPXS) is a featured defense stock and showcase company on Investor Ideas defense investor portals, Homelandefensestocks.com, BorderandPortsecurity.com and http://www.nationalhomelandsecurityknowledgebase.com/
Submit company profiles: http://www.investorideas.com/Profile/Submission.asp
Directory: http://www.investorideas.com/Profile/
Become an Investorideas.com Member: research defense stocks
With markets and investor sentiment changing daily- it is more important than ever to stay on top of key trends! Gain Exclusive Insight on Leading Sectors, Global Trends, and Insider Trading Ideas, News, Articles and Investor Ideas Members only Stock Directories in renewable energy, biotech, water and defense stocks.
Become an InvestorIdeas.com -Learn more: http://www.investorideas.com/membership/
Disclaimer: The following company profile is a paid for submission. Our sites do not make recommendations. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. We attempt to research thoroughly, but we offer no guarantees as to the accuracy of information presented. All Information relating to featured companies is sourced from public documents and/ or the company and is not the opinion of our web sites. This site is currently compensated by featured companies, news submissions, company profile submissions and online advertising. www.InvestorIdeas.com/About/Disclaimer.asp
For Additional Information:
Dawn Van Zant: 800-665-0411 - dvanzant@investorideas.com
Source – Investorideas.com
Research defense stocks with the global defense stocks directory at Investorideas.com
click here:
http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
Friday, May 1, 2009
New Defense stock listed on Investorideas.com -Optex Systems Holdings, Inc, (OTCBB:OPXS)
Optex Systems Holdings, Inc, (OTCBB:OPXS) through its wholly-owned subsidiary, Optex Systems, Inc. manufactures optical sighting systems and assemblies primarily for Department of Defense (DOD) applications. Its products are installed on a majority of types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Armored Security Vehicles and have been selected for installation on the Future Combat Systems(FCS) Stryker vehicle. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors.
Current customers include General Dynamics (NYSE: GD), Northrop Grumman Corporation (NYSE:NOC) and Raytheon Company (NYSE: RTN)
read company profile -
http://www.investorideas.com/CO/OPTEX/
Disclaimer - disclosure -
http://www.investorideas.com/About/Disclaimer.asp
Research defense stocks with the global defense stocks directory at Investorideas.com
click here:
http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
Current customers include General Dynamics (NYSE: GD), Northrop Grumman Corporation (NYSE:NOC) and Raytheon Company (NYSE: RTN)
read company profile -
http://www.investorideas.com/CO/OPTEX/
Disclaimer - disclosure -
http://www.investorideas.com/About/Disclaimer.asp
Research defense stocks with the global defense stocks directory at Investorideas.com
click here:
http://www.investorideas.com/Companies/HomelandDefense/Stock_List.asp
Subscribe to:
Posts (Atom)