Parsons Corporation (PSN) is seeing a surge in its stock price on Monday after securing a lucrative three-year contract worth $68.5 million from the U.S. Army Corps of Engineers (USACE) Honolulu District. This contract marks the second time in less than a year that Parsons has been awarded a project to construct new army housing units.
This time, the company will be responsible for the design, bidding, and construction of new U.S. Army housing units in the Kwajalein Atoll, Republic of the Marshall Islands. This remote location presents unique challenges due to its logistical complexities, corrosive environment, and high humidity.
Parsons’ expertise in building infrastructure in such challenging environments has been recognized by the USACE Honolulu District, which has also chosen the company for its Pre-Qualified Source Listing (PQSL). This listing qualifies Parsons to receive future large task orders valued at $50 million or more within the district’s jurisdiction.
The company’s strong performance in this area is evident in its previous contract, secured in October 2023, for a $44 million army housing project as part of the Department of the Army’s modernization efforts.
Jon Moretta, President of Engineered Systems for Parsons, highlighted the significance of this latest award, stating, “This award expands our work in the Kwajalein Atoll, a uniquely complex environment for infrastructure due to the logistical challenges of servicing the remote location as well as the highly corrosive and humid environment.”
Parsons’ recent success in securing major contracts, including the $4.6 billion State Route 400 Express Lanes Major Mobility Investment Program in Georgia, further solidifies the company’s position as a leader in the engineering and construction industry. Investors can gain exposure to Parsons through various investment vehicles, such as the Global X Defense Tech ETF (SHLD) and the Otter Creek Focus Strategy ETF (OCFS).
PSN shares are currently up 5.54% at $96.98, showcasing the market’s positive response to the company’s recent achievements.
