Raytheon Company (RTN) has posted strong third quarter earnings of $499 million or $1.25 per diluted share -- better than the Zacks Consensus Estimate of $1.16 per share. Last year, the company had reported a net income of $437 million or $1.01 per share.   Operating income in the reported quarter grew by double digits (11%) to $765 million over the year-ago period. The boost came mainly from higher operating income in Technical Services (33%), Network Centric Systems (13%), Space and Airborne Systems (10%) and Integrated Defence Systems (5%). However, Intelligence & Information Systems and Missile Systems registered no growth.   On the revenue front, Raytheon grew 6% during the quarter to $6.2 billion over the year-ago period. Top-line growth was fueled by all but the Intelligence & Information Systems segment, owing to lower volumes in the e-Borders program.   Raytheon reported total bookings of $5.1 billion for ...

Raytheon Co. (RTN) bagged a $77 million contract from the US Air Force for building missiles for Korea and Taiwan. According to terms of the contract, the company will produce AGM-65D and AGM-65G2 infrared-guided Maverick air-to-surface missiles for the two Asian nations.

Raytheon will manufacture and provide life-cycle support for more than 250 new missiles. The company began producing the missiles’ infrared guidance and control sections in November 2008.

The company’s AGM-65 Maverick is a class of air-to-ground tactical missile used by US Air Force, Navy, Marine Corps and 33 international customers. Its AGM-65D has a 125-pound warhead with a forward-firing, conical-shaped charge for armor penetrations. Raytheon’s AGM-65G2 employs a 300-pound blast fragmentation/penetrator warhead that was developed for maximum effectiveness against larger, reinforced targets. The company has manufactured more than 69,000 AGM-65 missiles till date.

Raytheon is the one of the largest aerospace and defense companies in the

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Raytheon Missile Systems, an operating unit of Raytheon Company (RTN), received a $93.9 million contract from the Naval Sea Systems Command, authorizing the start of production of Standard Missile-6 (SM-6). The anti-air warfare missile completed tests in August 2009, validating the go-ahead to initiate production. Work on the contract – expected to be completed by March 2012 – will be executed in Tucson, AZ, Camden, AR, Boston, MA and elsewhere. Raytheon Missile Systems’ contractual backlog of late has witnessed a slide from $9.9 billion after the end of the fiscal 2008 to $7.6 billion after the end of the first-half of fiscal 2009. This was mainly due to the cancellation of the $2.4 billion KEI program. The initiation of production of the SM-6 missile generated another steady stream of orders for the company. Raytheon is the one of the largest aerospace and defense companies in ...

Raytheon Company (RTN) is planning to acquire privately held BBN Technologies to boost its advanced networking and speech and language technologies. Raytheon expects to complete the transaction by year's end. BBN Technologies was set up in 1984 by Massachusetts Institute of Technology professors Richard Bolt and Leo Beranek with MIT graduate Robert Newman. The company has about 700 employees in its seven U.S. facilities. Raytheon’s acquisition of BBN Technologies has been planned in accordance with its focus on strengthening its Intelligence and Information Systems segment, whose importance rose in recent times with Pentagon’s emphasis on cyber security and mission-critical intelligence products. Intelligence and Information Systems segment is the dark horse for growth considering the Pentagon’s ire towards high-cost platform programs. However, Raytheon ended the second quarter of fiscal 2009 with a funded backlog of only $1.8 billion, the lowest among its six operating segments....

TODAY: Medvedev admits terrorists have strong hand in Caucasus; proposes sidestepping trial by jury for special cases; technological breakthrough to solve missile defence situation?  Ukraine-Russia issues still making waves; church reacts on exposé article.At a security conference on the North Caucasus, Dmitry Medvedev has said that terrorists must be killed 'without emotion or doubt', and that they should be tried elsewhere in Russia if a 'quality trial' cannot be assured in the region itself.  He also told police officers that police safety must be ensured at all costs: 'Chiefs of any rank will be taken to task, or even fired, for failing to provide such [security] measures'.  Medvedev has pledged a commitment to regaining stability in ...

Raytheon (RTN) announced better-than-expected 2nd quarter results. The defense electronics giant -- in contrast to the flagship of defense contractors, Lockheed Martin Corporation (LMT) -- reported 25% higher EPS of $1.24 over the year-ago quarter. Lockheed Martin reported 13% lower EPS over the year-ago quarter. While Lockheed was swept away by pension blues, Raytheon gained $11 million during the quarter from pension adjustments. The Details Raytheon exceeded both our and market expectations of $1.13 for the quarter. Operating income fell marginally year-over-year (1.9%) in the Integrated Defense Systems (IDS) and Missile Systems (MS, 7%) segments. This was more than made up by Network Centric Systems (NCS, 12.6%), Space and Airborne Systems (SAS, 24.1%) and Technical Services (TS, 17.8%), along with steady Intelligence and Information Systems (IIS). On the revenue front, although Raytheon grew 4% during the quarter to $6.1 billion, it failed to ...

Microsemi Corporation’s (MSCC) fiscal third quarter revenue missed the consensus by a sliver, but EPS beat by 3 cents. Revenue was at the high-end of the guided range, while the EPS exceeded the guidance by $0.01. Revenue The company reported revenue of $107.0 million, which was up 1.2% sequentially and down 17.2% year over year. Microsemi’s Analog/Mixed Signal products cater to three end markets -- mobile/connectivity, industrial/semicap and notebooks/LCD TVs/display. The mobile/connectivity business (9% of revenue) grew 4.5% sequentially and declined 53.1% from the year-ago quarter. The business is currently being driven by the WLAN product line, as the high capital requirement of POE installations limit adoption in the current environment. The industrial/semicap business remains weak, generating just 6% of revenue in the last quarter. Segment revenue declined 17.6% sequentially and 30.1% year over year. Notebooks/LCD TVs/displays generated 5% of revenue, representing ...

We are presenting a list of companies which we believe are currently mispriced, based on our estimate of fair value, by the market. We develop our fair value ranges by projected free cash flow out one year and estimating an appropriate FCF multiple based on our assessment of risk and the strength of the balance sheet.

Cisco Systems [CSCO: 19.57, +0.84 (+4.48%)] Recent Price $17.04 Value Range 21.86 – $38.41 Cisco Systems, Inc. designs, manufactures and sells Internet protocol (IP)-based networking and other products related to the communications and information technology (IT) industry, and provides services associated with these products and their use. The Company provides a line of products for transporting data, voice, and video within buildings, across campuses, and around the world. Its products are designed to transform how people connect, communicate and collaborate. Cisco Systems, Inc.’s products, which include primarily routers, switches, and products that the

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The week of June 26th was very bad to Boeing. After continued reassurance from CEO Jim McNerney that the company’s much anticipated (and previously delayed) Dreamliner 787 would be delivered by the 23rd, Boeing once again came up short. To investors, this was simply one slip-up too many… and a company that cannot fulfill promises is a company worth selling. Making matters worse, the next day, the U.S. Department of Defense terminated the land warfare weapons program headed by BA’s Integrated Defense Systems unit worth an estimated $160 billion. Thinking that there was no possible way to add more grief onto shares of Boeing, Qantas Airways canceled orders for 15 Boeing 787 Dreamliners after being “disappointed” by Boeing’s management.

Shares slid on the day of the initial 787 delay by 6.46%. On the day of the

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div style="text-align: justify;"span style="font-weight: bold;"At the peak of one cycle and the trough of another/spanbr /br /We are at the peak of a decade long boom in Defense spending, and at the trough of a two year Aerospace bear market. span style="font-weight: bold;"Goldman Sachs is upgrading Aerospace to Attractive and downgrading Defense to Cautious,/span and expect Aamp;D investors to increasingly rotate out of the latter and into the former, particularly given that, at current trading levels, one pays the same price for trough Aerospace earnings as they do for peak Defense earnings.br /br /span style="font-weight: bold;"Firm is upgrading Aerospace to Attractive given:/spanbr /br /span style="font-weight: bold;"1) Traditional Buy signals are turning green./span The second derivative in yoy air traffic and the level of aircraft orders are both close to a bottom, which typically indicates the start of an upturn in the group.br /br /span style="font-weight: bold;"2) Expectations are low and ...