Kratos Defense & Security Solutions (NASDAQ:KTOS) Trading Down 4.2% – Should You Sell?

Posted by George Bondi on Jul 24th, 2026

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS – Get Free Report)’s share price was down 4.2% during trading on Friday . The company traded as low as $47.22 and last traded at $47.35. 2,832,962 shares changed hands during trading, a decline of 37% from the average daily volume of 4,510,804 shares. The stock had previously closed at $49.44.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the stock. BNP Paribas Exane boosted their target price on shares of Kratos Defense & Security Solutions from $80.00 to $85.00 and gave the company a “neutral” rating in a research note on Thursday, May 7th. Wedbush began coverage on shares of Kratos Defense & Security Solutions in a report on Tuesday, June 30th. They set an “outperform” rating and a $85.00 price target for the company. Citizens Jmp cut their price objective on shares of Kratos Defense & Security Solutions from $125.00 to $105.00 and set a “market outperform” rating for the company in a research report on Friday, May 8th. Royal Bank Of Canada reduced their price objective on shares of Kratos Defense & Security Solutions from $100.00 to $80.00 and set an “outperform” rating on the stock in a research note on Thursday, May 7th. Finally, Piper Sandler decreased their target price on shares of Kratos Defense & Security Solutions from $99.00 to $75.00 and set a “neutral” rating on the stock in a research report on Thursday, May 7th. Three research analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $101.29.

Check Out Our Latest Stock Analysis on KTOS

Kratos Defense & Security Solutions Stock Performance

The stock’s fifty day simple moving average is $53.66 and its two-hundred day simple moving average is $74.93. The company has a market cap of $8.88 billion, a price-to-earnings ratio of 278.53 and a beta of 1.07. The company has a debt-to-equity ratio of 0.04, a quick ratio of 5.08 and a current ratio of 5.63.

Kratos Defense & Security Solutions (NASDAQ:KTOS – Get Free Report) last released its quarterly earnings data on Wednesday, May 6th. The aerospace company reported $0.16 EPS for the quarter, topping analysts’ consensus estimates of $0.13 by $0.03. The business had revenue of $371.00 million during the quarter, compared to the consensus estimate of $345.00 million. Kratos Defense & Security Solutions had a return on equity of 2.82% and a net margin of 2.08%.The business’s revenue for the quarter was up 22.6% on a year-over-year basis. During the same period in the prior year, the firm posted $0.12 EPS. Equities research analysts anticipate that Kratos Defense & Security Solutions, Inc. will post 0.48 EPS for the current year.

Insider Activity at Kratos Defense & Security Solutions

In other news, insider Stacey G. Rock sold 4,675 shares of the business’s stock in a transaction dated Tuesday, June 30th. The stock was sold at an average price of $50.00, for a total transaction of $233,750.00. Following the completion of the sale, the insider owned 9,600 shares in the company, valued at approximately $480,000. The trade was a 32.75% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Deanna H. Lund sold 5,000 shares of the stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $52.85, for a total transaction of $264,250.00. Following the sale, the chief financial officer directly owned 285,405 shares of the company’s stock, valued at approximately $15,083,654.25. This trade represents a 1.72% 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. Insiders sold a total of 148,036 shares of company stock valued at $8,455,857 over the last three months. Insiders own 1.50% of the company’s stock.

Institutional Investors Weigh In On Kratos Defense & Security Solutions

Several institutional investors have recently bought and sold shares of the business. Harbor Investment Advisory LLC acquired a new stake in shares of Kratos Defense & Security Solutions in the second quarter worth $25,000. Mcguire Capital Advisors Inc. acquired a new position in shares of Kratos Defense & Security Solutions during the 4th quarter valued at $25,000. Atlantic Union Bankshares Corp boosted its position in Kratos Defense & Security Solutions by 7,600.0% during the 4th quarter. Atlantic Union Bankshares Corp now owns 385 shares of the aerospace company’s stock worth $29,000 after purchasing an additional 380 shares during the period. Vision Retirement LLC boosted its position in Kratos Defense & Security Solutions by 288.2% during the 1st quarter. Vision Retirement LLC now owns 427 shares of the aerospace company’s stock worth $30,000 after purchasing an additional 317 shares during the period. Finally, Rakuten Securities Inc. acquired a new stake in Kratos Defense & Security Solutions in the 2nd quarter valued at $31,000. 75.92% of the stock is currently owned by hedge funds and other institutional investors.

Kratos Defense & Security Solutions Company Profile

(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.