FIVE RIVERS ANALYTICS, LLC: $16.0M Department of Transportation Contract
Summary
The FAA exercised a $16M option year on a technical support services contract with Five Rivers Analytics, a Leidos subsidiary. This is a routine renewal with minimal financial impact on Leidos (LDOS), but it signals continued stability in FAA IT services spending. No major stock catalyst.
See which stocks are affected
Key takeaways, market implications, full AI analysis, and connected signals are available to HillSignal members.
Already have an account? Log in
Key Takeaways
- 1.Leidos (LDOS) received a $16M FAA option year renewal for technical support services.
- 2.The contract is financially immaterial to Leidos, representing ~0.1% of annual revenue.
- 3.No related legislation directly drives this award; it is a routine budget execution action.
- 4.The award reinforces Leidos' stable position in FAA IT services but is not a stock catalyst.
Market Implications
This contract is a non-event for the broader market. For Leidos (LDOS), it is a routine renewal that will not move the stock. Investors should view this as a minor positive signal of contract stability within Leidos' Civil segment, but it does not change the investment thesis for the company. No other publicly traded companies are directly impacted.
Full Analysis
The Federal Aviation Administration (FAA) has exercised Option Year II of a delivery order (6973GH-24-D-00040) with Five Rivers Analytics, LLC, valued at $16.0 million for the period May 1, 2026 through April 30, 2027. The contract covers technical support services for the FAA, a core function that ensures the agency's operational systems remain maintained and modernized.
Five Rivers Analytics, LLC is a wholly owned subsidiary of Leidos Holdings, Inc. (NYSE: LDOS). Leidos is a $16B+ annual revenue defense, aviation, and IT services contractor. This $16M option year represents approximately 0.1% of Leidos' annual revenue, making it financially immaterial to the parent company's overall performance. However, it does demonstrate the stickiness of Leidos' relationship with the FAA, a key client for its Civil business unit.
No related bill signals in the provided database directly authorize or appropriate this specific contract. The contract is funded through the FAA's existing operations budget, not through new legislation. The bills listed are largely neutral and unrelated to aviation or transportation technical services, with the exception of HR8607 (Equitable Transit Oriented Development Support Act) which is neutral and low-impact.
Supply chain beneficiaries are difficult to identify at this level of specificity. Leidos likely subcontracts portions of this work to smaller IT and engineering firms, but no specific subcontractors are named in the award. Potential downstream beneficiaries could include small-cap IT services firms like CACI International (CACI) or Booz Allen Hamilton (BAH) if they are used as subcontractors, but this is speculative.
Historically, FAA technical support contracts are multi-year, cost-plus or fixed-price arrangements that provide steady, predictable revenue for prime contractors like Leidos. These contracts rarely move the stock of a large-cap company like LDOS, but they do contribute to the company's backlog and provide a floor for its Civil segment revenue. The pattern is one of incremental, low-volatility growth rather than a transformative catalyst.
Intelligence Surface
Cross-referenced against federal contracts, SEC insider filings & congressional trade disclosures
No confirming evidence found yet from contracts, insider trades, or congressional activity
What the bill does
Direct award to a subsidiary of a publicly traded parent company; option year exercise on a technical support services contract for the FAA.
Who must act
Department of Transportation / Federal Aviation Administration (FAA) awarded to Five Rivers Analytics, LLC, a subsidiary of Leidos Holdings, Inc.
What happens
$16.0M in obligated funding for a one-year period (FY2026-2027), representing approximately 0.03% of Leidos' annual revenue (~$16B).
Stock impact
Leidos (LDOS) is a large-cap defense and technology services firm. This is a routine option year renewal on an existing contract. While the dollar amount is small relative to Leidos' total revenue, it reinforces the company's entrenched position in FAA technical support services, a stable, recurring revenue stream within its Civil segment.
Connected Signals
Matched on shared policy language across AI analyses, with ticker & timing weight
Stop Secret Spending Act of 2025
Making appropriations for national security, Department of State, and related programs for the fiscal year ending September 30, 2027, and for other purposes.
Department of Homeland Security Appropriations Act, 2026
CITIBANK, NATIONAL ASSOCIATION: $184M Department of State Contract
MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC.: $137M General Services Administration Contract
FOX-ESA JV LLC: $37.0M Department of Veterans Affairs Contract
SPREZZATURA MANAGEMENT CONSULTING, LLC: $23.2M Department of Veterans Affairs Contract
MODERN TECHNOLOGY SOLUTIONS, INC.: $10.1M General Services Administration Contract
Related Presidential Actions
Executive orders & memoranda affecting the same sectors or companies
Imposing Additional Duties to Offset Canadian Discrimination Against the Commerce of the United States with Respect to Motor Vehicles
This proclamation imposes a 50% ad valorem duty on certain Canadian products, effective August 19, 2026, under Section 338 of the Tariff Act of 1930, to offset Canada's discriminatory 25% tariff and tariff-rate quota on U.S. motor vehicle exports, which have reduced U.S. auto exports to Canada by 22% and shifted demand to competitors like Mexico, Japan, Korea, and Germany.
Securing America’s Defense Supply Chains and Ensuring Domestic Acquisition of Critical Materials
This executive order restricts waivers for foreign-sourced critical materials in defense contracts, effective January 1, 2027, and mandates that defense contractors map their supply chains from raw materials to end products, vet subcontractors for risks, and prohibit covered materials from unreliable foreign suppliers. It directs the Secretary of War to enforce strict compliance, including requiring mitigation plans for any non-compliant materials and establishing penalties for fraud or willful noncompliance.
Adjusting Imports of Commercial Aircraft, Jet Engines, and Aircraft and Engine Parts into the United States
The President has determined that imports of commercial aircraft, jet engines, and their associated parts threaten national security under Section 232 of the Trade Expansion Act of 1962. Rather than imposing immediate tariffs, the President directs the Secretary of Commerce and the U.S. Trade Representative to pursue negotiations with foreign trading partners to adjust imports, with a progress report due in 180 days, while reserving the right to consider alternative remedies (including tariffs) depending on the outcome.
Contract Details
Recipient
FIVE RIVERS ANALYTICS, LLC
Award Amount
$15,965,382
Awarding Agency
Department of Transportation
Sub-Agency
Federal Aviation Administration
Contract Type
DELIVERY ORDER
Free — no credit card
Get the next market-moving signal before the news does
HillSignal scores every Congressional bill, federal contract, and insider filing for market impact and emails you the high-conviction ones — free, no credit card.
Weekly digest — the congressional activity that actually moved markets that week, in plain English. Free, one email.
Free forever plan · No credit card · Unsubscribe in one click
Want the live terminal too? Create a free account →