Jefferies On MANT: 2011 Could Be Active Year For M&A

Jefferies said that it feels ManTech International

continues to exploit its leading capability in high growth pockets of the intelligence community and DoD. “Organic growth of 15% in Q4, coupled with healthy bookings through February of this year point to what could be conservative guidance, barring any government shutdown,” Jefferies writes. “Management indicated that not only should the recent acquisitions of QinetiQ and MTCSC provide growth in 2011, but that the company has already won new contracts in combined bidding, including work on Encore II valued at approximately $60 million. “Given a high yield deal done last year, where EPS dilution was taken up front, we feel that recent acquisitions should provide attractive accretion in FY11, again pointing to some conservatism in EPS guidance. Finally, management seems to provide more than average color on the call surrounding its acquisition program, leading us to believe 2011 could be a very active year for M&A.” ManTech International currently trades at $41.22.