Mega Contracts Monitor ($100M+) — June 04, 2026

Fisher Sand & Gravel Co., a private construction firm, secured a $2.59B defense contract from DHS, signaling heavy civilian investment in border/port infrastructure. The contract has high materiality (8/10) and is 100% civilian, suggesting DHS is accelerating large-scale projects despite CR risks.

Leidos’ $234.9M firm-fixed-price CMS IT services contract is near completion (2018-2023, ~$47M/year). Only $112M outlayed suggests execution shortfall or delayed payments. Full-and-open competition win signals competitiveness, but renewal or new CMS awards are critical catalysts for near-term revenues.

NW Construction, Inc. received a $139.3M contract modification from DOI with no details on pricing, competition, or revenue. The unknown pricing type (fixed vs. cost-plus) raises execution risk concerns for investors tracking mid-tier construction firms.

Suratech LLC, a private nonprofit, secured a $113.3M cost-plus-award-fee contract for TJNAF operations. The low-risk pricing and DOE mission-critical funding provide stability but offer no direct public equity exposure. Subcontracting opportunities could benefit publicly traded R&D support firms.

Fisher Sand & Gravel Co. has an unknown revenue base and pricing structure, raising execution risk on a $2.59B contract—if it exceeds their typical project scale, delays or cost overruns could emerge. No public equity exposure but subcontractors at risk.

The entire period is civilian-only contracts ($3.08B), with zero defense exposure. During a Continuing Resolution (CR) that typically spans Oct-Dec, civilian agencies face higher funding uncertainty, potentially slowing outlays for these awards.

Fisher Sand & Gravel Co. accounts for 84% of total obligations ($2.59B of $3.08B), creating single-contract concentration risk. A contract modification, protest, or funding freeze could rapidly shift the digest’s investment narrative.

Leidos’ CMS contract was won via full-and-open competition. With IT services at HHS/CMS a priority, Leidos faces renewal competition from Accenture, General Dynamics IT, or small business joint ventures. Any loss would hurt the ~$47M/year revenue stream.

DHS’s $2.59B award to Fisher Sand & Gravel Co. signals a ramp in civilian infrastructure spending, particularly for border security and physical barriers. This could benefit large construction contractors with DHS ties, like KBR, Fluor, or AECOM.

Suratech LLC’s DOE GOCO contract for TJNAF operations exposes subcontracting opportunities for publicly traded R&D support firms (e.g., Jacobs Solutions, Leidos) in accelerator maintenance and scientific computing. The 5-year term ensures stable revenue for subcontractors.

All four contracts lack set-aside designations, meaning full-and-open competition. However, Leidos’ CMS win shows incumbency advantage in IT services. Investors should watch for re-compete set-asides that could benefit small cap IT firms (e.g., ICF International, Maximus).

The $2.59B DHS contract to Fisher Sand & Gravel Co. represents a rare megadeal in civilian infrastructure, contrasting with slower growth in defense. This suggests DHS is prioritizing large-scale physical projects despite broader budget CR constraints.

Leidos’ $234.9M CMS IT contract is near completion, with ~$47M/year revenue and only $112M outlayed. The full-and-open competition win confirms Leidos’ position, but the low outlay-to-obligation ratio (48%) suggests execution lags or payment delays. HHS/CMS IT demand remains stable.

Suratech LLC’s $113.3M DOE contract for TJNAF management continues a trend of non-profit operators running GOCO facilities. This limits public equity upside but ensures mission-critical funding continuity. Subcontracting opportunities remain.

{"entity"=>"Fisher Sand & Gravel Co.", "reason"=>"84% of digest value ($2.59B); private company with unknown revenue base. Performance will signal DHS’s ability to execute large infrastructure contracts.", "trigger"=>"First public outlay data, contract modifications, protest filings at GAO, DHS Inspector General reports on contract oversight"}

{"entity"=>"Leidos, Inc.", "reason"=>"$234.9M CMS IT contract near completion; renewal/re-compete is a key catalyst for healthcare IT revenue stream.", "trigger"=>"CMS re-compete solicitation release (expected 2023+), Leidos quarterly earnings update on CMS revenue, competitor win announcements"}

{"entity"=>"NW Construction, Inc.", "reason"=>"$139.3M DOI modification lacks transparency on pricing and scope; potential for undisclosed operational challenges.", "trigger"=>"DOI procurement report detailing contract type, scope, and performance milestones"}

{"entity"=>"Suratech LLC", "reason"=>"Private non-profit managing TJNAF; subcontracts could benefit public R&D firms.", "trigger"=>"DOE outlay data indicating subcontract awards to Jacobs Solutions or Leidos, TJNAF funding in FY2027 DOE budget request"}