PAE became a publicly-traded company in February, before the coronavirus pandemic was deemed such, so in one sense the government services contractor is not isolated from turbulence in the global financial markets.
The company’s stock price closed its first day on the NASDAQ at $11.50, then gradually tumbled to a bottom of $3.45 by March 18 at the peak of economic fears but is now back above $9.00 during Friday’s session. It goes without saying PAE was far from the only company who saw a valuation hit on these macroeconomic concerns that saw global equities lose trillions and throw markets into dysfunction.
Qualitatively speaking, how does what happened to the economy and the government’s massive spending aimed at restarting it factor into how PAE sees the overall landscape?
“Our outlook right now is that the government’s focus is on shoring up the economy and I’d say the same for foreign governments as well,” PAE CEO John Heller told investors Thursday during the company’s first quarter earnings call. "We expect that will carry forward into 2021 and potentially even into 2022 regardless of party.
Read more in the Washington Technology article.