L-3 Communications risk/reward favorable after sell-off, says JPMorgan JPMorgan views the risk/reward on shares of L-3 Communications as favorable after the stock sold off 12% on the company's announcement that it is conducting an internal accounting review at Aerospace Systems. JPMorgan does not believe L3's earnings or cash flow power for future periods will be materially impacted. The firm keeps an Overweight rating on the stock and raised its price target for shares to $140 from $135.
BAE Systems orders aerostat systems for U.S. Army contract BAE Systems (BAESY) has awarded Drone Aviation Holding's wholly owned subsidiary, Drone Aviation Corp., an order for parts and services related to enhancing and supporting two WASP aerostat systems owned and operated by the U.S. Army Space and Missile Defense Command Battle Lab for upcoming Department of Defense exercises. The upgrades and services are designed to integrate specialized wireless electronics, advanced optics and a communications package provided by L-3 Communication (LLL). Under the terms of an agreement between DAC and L-3 CS-West, a working group has commenced on a technical integration plan that includes integrating new technologies into the WASP and jointly marketing the integrated solution. The enhanced WASP systems and components are expected to be delivered to the U.S. Army in July.