Kratos Defense & Security Solutions (NASDAQ:KTOS) Trading Down 5.6% – Here’s What Happened

Posted by Geri Gentry on Jun 24th, 2026

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS – Get Free Report) shares fell 5.6% on Wednesday . The stock traded as low as $47.78 and last traded at $47.95. Approximately 3,536,710 shares were traded during mid-day trading, a decline of 19% from the average session volume of 4,348,165 shares. The stock had previously closed at $50.80.

Wall Street Analyst Weigh In

A number of equities research analysts have recently issued reports on KTOS shares. BTIG Research cut their price objective on shares of Kratos Defense & Security Solutions from $115.00 to $100.00 and set a “buy” rating for the company in a research report on Thursday, May 7th. Truist Financial upgraded Kratos Defense & Security Solutions to a “strong-buy” rating in a research report on Friday, May 1st. Royal Bank Of Canada cut their price target on Kratos Defense & Security Solutions from $100.00 to $80.00 and set an “outperform” rating for the company in a report on Thursday, May 7th. Citigroup restated a “market outperform” rating on shares of Kratos Defense & Security Solutions in a research report on Tuesday, February 24th. Finally, BNP Paribas Exane raised their price objective on Kratos Defense & Security Solutions from $80.00 to $85.00 and gave the stock a “neutral” rating in a research note on Thursday, May 7th. Three equities research analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, Kratos Defense & Security Solutions currently has a consensus rating of “Moderate Buy” and a consensus price target of $101.35.

Read Our Latest Report on KTOS

Kratos Defense & Security Solutions Stock Down 5.6%

The company has a debt-to-equity ratio of 0.04, a quick ratio of 5.08 and a current ratio of 5.63. The company’s 50-day moving average price is $60.08 and its 200 day moving average price is $79.19. The stock has a market capitalization of $8.99 billion, a P/E ratio of 282.06 and a beta of 1.04.

Kratos Defense & Security Solutions (NASDAQ:KTOS – Get Free Report) last issued its earnings results on Wednesday, May 6th. The aerospace company reported $0.16 earnings per share for the quarter, topping the consensus estimate of $0.13 by $0.03. Kratos Defense & Security Solutions had a net margin of 2.08% and a return on equity of 2.82%. The company had revenue of $371.00 million during the quarter, compared to the consensus estimate of $345.00 million. During the same quarter in the prior year, the firm posted $0.12 EPS. Kratos Defense & Security Solutions’s quarterly revenue was up 22.6% compared to the same quarter last year. As a group, equities analysts expect that Kratos Defense & Security Solutions, Inc. will post 0.47 earnings per share for the current year.

Insider Transactions at Kratos Defense & Security Solutions

In related news, insider Jonah Adelman sold 31,348 shares of the stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $57.06, for a total transaction of $1,788,716.88. Following the completion of the sale, the insider owned 8,000 shares in the company, valued at approximately $456,480. This trade represents a 79.67% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Phillip D. Carrai sold 6,500 shares of Kratos Defense & Security Solutions stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $74.72, for a total value of $485,680.00. Following the sale, the insider directly owned 227,898 shares in the company, valued at $17,028,538.56. This trade represents a 2.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 196,278 shares of company stock valued at $12,428,868. 1.50% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Kratos Defense & Security Solutions

Several institutional investors and hedge funds have recently modified their holdings of the stock. BNP Paribas Financial Markets lifted its stake in Kratos Defense & Security Solutions by 245.2% in the 4th quarter. BNP Paribas Financial Markets now owns 601,674 shares of the aerospace company’s stock worth $45,673,000 after purchasing an additional 427,396 shares in the last quarter. M&T Bank Corp lifted its position in shares of Kratos Defense & Security Solutions by 6,900.4% in the fourth quarter. M&T Bank Corp now owns 176,831 shares of the aerospace company’s stock worth $13,423,000 after buying an additional 174,305 shares in the last quarter. New Age Alpha Advisors LLC grew its holdings in Kratos Defense & Security Solutions by 435.1% during the 4th quarter. New Age Alpha Advisors LLC now owns 43,011 shares of the aerospace company’s stock valued at $3,265,000 after buying an additional 34,973 shares in the last quarter. Victory Capital Management Inc. purchased a new position in Kratos Defense & Security Solutions during the 3rd quarter valued at approximately $21,013,000. Finally, JPMorgan Chase & Co. increased its position in Kratos Defense & Security Solutions by 93.0% in the third quarter. JPMorgan Chase & Co. now owns 964,973 shares of the aerospace company’s stock worth $88,170,000 after purchasing an additional 465,100 shares during the last quarter. Institutional investors own 75.92% of the company’s stock.

About Kratos Defense & Security Solutions

(Get Free Report)

Kratos Defense & Security Solutions, Inc (NASDAQ: KTOS) is a technology-driven company that specializes in national security and defense solutions for government and military customers. The firm’s core capabilities span unmanned systems, satellite communications, missile defense, cyber security, and directed-energy weapons. Through its integrated approach, Kratos delivers mission-critical products and services designed to enhance operational readiness and support force modernization initiatives.

In the unmanned systems arena, Kratos develops high-performance aerial platforms used as target drones, low-cost attritable aircraft and experimental stealth demonstrators.