Parsons Stock Price, News & Analysis

Parsons Corporation (NYSE: PSN) announced it achieved over $200 million in other transaction awards (OTAs) from the U.S. Department of Defense in 2020, surpassing $450 million since 2018. This growth is in line with Parsons' strategy of rapid development, innovative technology investments, and an agile research approach. The awards focus on advanced technologies such as hypersonic weapons, artificial intelligence, and cybersecurity, reflecting the company's commitment to enhancing the operational capabilities for U.S. warfighters.

Parsons Corporation (NYSE: PSN) reported a 2% decrease in total revenue for Q3 2020, totaling $1 billion, with net income falling to $41 million. Operating income rose by 24% to $66 million, driven by lower IG&A expenses. Adjusted EBITDA increased by 13% to $101 million, marking a 10% margin. The company announced a significant impending acquisition to enhance its space portfolio. Key performance indicators show a book-to-bill ratio of 1.2x and a total backlog of $7.8 billion. The fiscal year 2020 guidance for revenue remains at $3.95 - $4.05 billion.

The O'Neil Group Company has announced a definitive agreement to sell Braxton Science & Technology Group to Parsons Corporation for approximately $300 million in cash. This sale represents the transfer of 5 of the 7 defense entities under OGC's management, highlighting its portfolio success. Since being acquired, Braxton has increased its employee count by over 300 and expanded its revenue by 25 times. The acquisition positions Parsons to enhance its capabilities in satellite operations and ground system automation for national security clients, particularly in low earth orbit missions.

Parsons Corporation (NYSE:PSN) announced a definitive agreement to acquire Braxton Science & Technology Group, LLC for approximately $300 million. This acquisition enhances Parsons' capabilities in the space, cyber, and intelligence markets, adding 370 employees, 80% with security clearances. Braxton is expected to generate $133 million in revenue for 2021. The deal is projected to be accretive to Parsons' earnings per share and is expected to close in Q4 2020, pending customary conditions.

Parsons Corporation (NYSE: PSN) has been awarded a $50 million contract by the Southern California Regional Rail Authority (SCRRA) for a three-year engineering project. This contract will focus on expanding, rehabilitating, and ensuring the safety of the Metrolink System. Parsons was chosen for its expertise in railroad project management and successful implementation of the first positive train control system for a U.S. commuter rail agency. This collaboration aims to enhance transportation connectivity across six Southern California counties.

Parsons Corporation (NYSE: PSN) has secured the SharkSeer 2.0 task order under the Defense Information Systems Agency's SETI contract, with a potential total value of $28 million over one base year and four option years. This contract aims to enhance cybersecurity for the Department of Defense by improving the existing SharkSeer program that utilizes AI to combat cyber threats. Parsons will handle various tasks, including integration and optimization across operational boundaries, leveraging its previous experience with the program.

Parsons Corporation (NYSE:PSN) has secured a $50.6 million contract from the U.S. Air Force to manufacture, integrate, and sustain 13 Recovery of Airbase Denied by Ordnance (RADBO) systems over six years. This innovative system utilizes the ZEUS™ directed energy weapon to safely neutralize unexploded ordnance in hazardous areas. RADBO features a mine-resistant vehicle equipped with a laser and robotic arm, allowing personnel to operate from a safe distance. This contract marks the first DoD ground-based laser system in production, enhancing explosive ordnance disposal capabilities.

Parsons Corporation (NYSE: PSN) has been awarded a $45 million contract by the Bay Area Rapid Transit District (BART) to implement a Communications-Based Train Control (CBTC) system, set to become the largest of its kind in North America. This initiative aims to enhance passenger capacity, ensure system safety, and improve efficiency across BART's transit network. The project is part of BART's $3.5 billion Transbay Corridor Core Capacity Program, focusing on modernizing infrastructure, including traction power system upgrades and new rail vehicles.