Alliant Techsystems Making Changes For New World Of Defense Contracting
By Matthew Potter:
Alliant Techsystems (ATK) has seen sales increase over the last decade due to the U.S. military demand for ammunition, explosives, pyrotechnics and rocket motors for use in Iraq and Afghanistan as well as training purposes. The stock though has not moved much in recent years trading around the $60 mark for most of the last year although it hit a peak of close to $76 in May of last year.
ATK reported its most recent quarterly results after the market closed on February 2nd. Alliant Techsystems, while it does have a growing customer base, still is heavily reliant on defense spending. It also has some contracts with the Federal government that make up a great deal of its revenue. The company has suffered the loss of one of these contracts – the one to run the Radford explosives plant – and faces stiff competition to keep the ammunition production one
Investing, Long Term Investment, stock market | admin February 3, 2012
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