Olin Winchester Secures $788.4M Army Ammunition Contract
OLN is trading near its 52-week low of $16.73 (2.8% above the low).
Summary
Olin's Winchester division won a $788.4M U.S. Army ammunition contract, a substantial order for a company with a market cap near $2B. The contract is to supply bullets to the U.S. military. This is a major new revenue stream for the ammunition segment, especially as the company trades near its 52-week low and recently reported a Q2 net loss. The contract provides multi-year revenue visibility and could improve sentiment around the pending Huntsman merger. Watch for further details on contract timing and any impact on merger synergies.
At the time of this announcement, OLN was trading at $17.20 on NYSE in the Manufacturing sector, with a market capitalization of approximately $2B. The 52-week trading range was $16.73 to $30.46. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Seeking Alpha.