Kratos Defense & Security Solutions (NASDAQ:KTOS – Get Free Report) had its price target decreased by analysts at BTIG Research from $104.00 to $65.00 in a research note issued to investors on Friday, Benzinga reports. The firm presently has a “buy” rating on the aerospace company’s stock. BTIG Research‘s target price indicates a potential upside of 85.19% from the company’s previous close.
A number of other research analysts have also recently commented on KTOS. Citigroup reiterated a “market outperform” rating on shares of Kratos Defense & Security Solutions in a research note on Monday, October 19th. The Goldman Sachs Group reduced their price objective on Kratos Defense & Security Solutions from $88.00 to $77.00 and set a “buy” rating on the stock in a research report on Monday, October 12th. KeyCorp lowered their target price on Kratos Defense & Security Solutions from $130.00 to $75.00 and set an “overweight” rating for the company in a report on Monday, November 2nd. Rothschild & Co Redburn assumed coverage on Kratos Defense & Security Solutions in a research report on Tuesday, October 6th. They issued a “buy” rating and a $70.00 target price for the company. Finally, Jefferies Financial Group lowered Kratos Defense & Security Solutions from a “buy” rating to a “negative” rating in a research note on Monday, October 19th. Three investment analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating, one has assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $81.70.
View Our Latest Stock Analysis on Kratos Defense & Security Solutions
Kratos Defense & Security Solutions Stock Up 5.1%
KTOS opened at $35.10 on Friday. The stock has a fifty day moving average of $43.48 and a 200-day moving average of $62.56. The company has a market capitalization of $6.59 billion, a P/E ratio of 292.50 and a beta of 1.18. Kratos Defense & Security Solutions has a fifty-two week low of $31.57 and a fifty-two week high of $134.00. The company has a debt-to-equity ratio of 0.04, a quick ratio of 4.99 and a current ratio of 5.54.
Kratos Defense & Security Solutions (NASDAQ:KTOS – Get Free Report) last announced its quarterly earnings data on Thursday, November 5th. The aerospace company reported $0.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.21 by $0.03. The firm had revenue of $471.80 million for the quarter, compared to the consensus estimate of $471.40 million. Kratos Defense & Security Solutions had a net margin of 1.34% and a return on equity of 3.32%. The business’s revenue for the quarter was up 35.7% on a year-over-year basis. During the same period in the prior year, the company posted $0.14 earnings per share. On average, equities analysts expect that Kratos Defense & Security Solutions will post 0.59 EPS for the current year.
Insider Activity at Kratos Defense & Security Solutions
In other Kratos Defense & Security Solutions news, CEO Eric Demarco sold 300,000 shares of the firm’s stock in a transaction on Friday, August 14th. The shares were sold at an average price of $64.33, for a total value of $19,299,000.00. Following the completion of the sale, the chief executive officer directly owned 761,632 shares in the company, valued at approximately $48,995,786.56. This trade represents a 28.26% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Phillip Carrai sold 26,500 shares of the firm’s stock in a transaction on Monday, August 17th. The stock was sold at an average price of $63.25, for a total transaction of $1,676,125.00. Following the completion of the sale, the insider owned 182,084 shares of the company’s stock, valued at $11,516,813. The trade was a 12.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 373,013 shares of company stock worth $23,340,582 over the last ninety days. 1.50% of the stock is owned by corporate insiders.
Hedge Funds Weigh In On Kratos Defense & Security Solutions
Institutional investors and hedge funds have recently made changes to their positions in the stock. Versant Capital Management Inc grew its position in Kratos Defense & Security Solutions by 61.9% during the 2nd quarter. Versant Capital Management Inc now owns 696 shares of the aerospace company’s stock worth $35,000 after acquiring an additional 266 shares during the last quarter. Vision Retirement LLC lifted its position in Kratos Defense & Security Solutions by 288.2% in the first quarter. Vision Retirement LLC now owns 427 shares of the aerospace company’s stock valued at $30,000 after purchasing an additional 317 shares during the last quarter. Ranch Capital Advisors Inc. lifted its position in Kratos Defense & Security Solutions by 5.1% in the first quarter. Ranch Capital Advisors Inc. now owns 6,553 shares of the aerospace company’s stock valued at $462,000 after purchasing an additional 318 shares during the last quarter. Provenance Wealth Advisors LLC boosted its stake in shares of Kratos Defense & Security Solutions by 128.9% during the third quarter. Provenance Wealth Advisors LLC now owns 744 shares of the aerospace company’s stock valued at $32,000 after purchasing an additional 419 shares during the period. Finally, IMG Wealth Management Inc. boosted its stake in shares of Kratos Defense & Security Solutions by 427.0% during the first quarter. IMG Wealth Management Inc. now owns 527 shares of the aerospace company’s stock valued at $37,000 after purchasing an additional 427 shares during the period. Institutional investors own 75.92% of the company’s stock.
Key Stories Impacting Kratos Defense & Security Solutions
Here are the key news stories impacting Kratos Defense & Security Solutions this week:
- Positive Sentiment: Third-quarter adjusted EPS was $0.24, above the $0.21 consensus, while revenue rose 35.7% year over year to $471.8 million. Government Solutions growth was a key contributor. Kratos Defense Q3 Earnings Outpace Estimates, Revenues Increase Y/Y
- Positive Sentiment: Orders exceeded sales, with a 2.2-to-1 book-to-bill ratio and backlog reported at $2.65 billion—supportive of future revenue. Fourth-quarter revenue guidance has a $495 million midpoint, slightly above analyst expectations, and the company maintained a roughly $1.8 billion full-year revenue outlook. Kratos Sales Up 36%, Free Cash Flow Negative: Rapid Earnings Reaction
- Neutral Sentiment: Call-option trading activity was unusually high, up 44% versus its average volume. This may reflect increased investor interest but does not establish the direction of future performance.
- Negative Sentiment: Despite adjusted earnings growth, Kratos reported a small GAAP net loss, negative free cash flow, and a GAAP operating loss. These issues raise questions about near-term profitability and cash conversion. Kratos Q3 2026 Earnings Call Transcript
- Negative Sentiment: BTIG cut its price target to $65 from $104, although it retained a Buy rating. The reduction signals a more cautious valuation view even as the firm sees upside potential. BTIG Research ratings
Kratos Defense & Security Solutions Company Profile
Kratos Defense & Security Solutions is a defense technology company that develops products and services for U.S. government agencies, national security organizations, and allied governments. Its work spans unmanned systems, satellite communications, microwave electronics, command-and-control systems, and training and simulation.
The company’s offerings include unmanned aerial vehicles and target drones, as well as systems and components used in space and satellite communications and other defense applications.
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