Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Pentagon Insider: $442 Million in Defense Contracts Awarded Thursday

For many investors, the U.S. government seems a black box. Taxes go in, spending comes out — but with the exception of the occasional headline-grabbing megacontract, where the spending goes, and how much goes to whom, remains very much a mystery.

But if you look very carefully (and know where to look), you can sometimes get a glimpse at where the money is going. Believe it or not, one of the easiest places to spy on government spending is… the U.S. Pentagon.

Thursday at the Pentagon
The Pentagon awarded 17 new defense contracts worth a combined $442 million on Thursday. Mega-contracts were largely lacking in this day’s news, but here are a few of the larger awards handed down:

– Boeing (NYSE:BA) was awarded a $34.4 million “definitization” (fixing the final value) on a previously awarded contract to repair “field failures” and manage “parts obsolescence” on U.S. Army radar systems. With this definitization, the total value of the contract in question is fixed at $98.6 million.

– Raytheon (NYSE:RTN) was awarded an $18.4 million contract modification to perform depot-level diagnostics and repair of major PATRIOT missile system parts for the Army.

– General Dynamics (NYSE:GD) will receive an extra $17.1 million on a foreign military sales contract to supply the governments of Oman and Taiwan with upwards of 6,100 MK-82 and MK-84 General Purpose Bomb Bodies.

– and in a separate foreign military sales contract, United Technologies’ (NYSE:UTX) Sikorsky division won an extra $11.3 million to supply Jordan with one new UH-60M Black Hawk helicopter.

Insider trading notes
Insider trading trends among these companies have been decidedly mixed. At Boeing, for example, only four transactions (one insider buy, three sells) have been recorded over the past three months. In contrast, there have been a much larger number of transactions reported at Raytheon — but even so, insider sales are outrunning insider purchases 3-to-1.

General Dynamics has seen 21 insider buys, versus only three insider sales the past three months — but a whopping 171,729 more shares sold than bought.

Finally, it’s at United Technologies that insider transactions have been fewest and farthest between. Although there have been no insider purchases reported in the past three months, there have been only two insider sales reported, both relatively small in size.


This $19 trillion industry could destroy the Internet
One bleeding-edge technology is about to put the World Wide Web to bed. And if you act quickly, you could be among the savvy investors who enjoy the profits from this stunning change. Experts are calling it the single largest business opportunity in the history of capitalism… The Economist is calling it “transformative”… But you’ll probably just call it “how I made my millions.” Don’t be too late to the party — click here for one stock to own when the Web goes dark.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.