Mercury Systems Inc (NASDAQ:MRCY – Get Free Report) CEO William Ballhaus sold 26,802 shares of the stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $100.31, for a total value of $2,688,508.62. Following the completion of the transaction, the chief executive officer directly owned 250,207 shares in the company, valued at approximately $25,098,264.17. This represents a 9.68% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.
Mercury Systems Stock Performance
NASDAQ:MRCY traded down $2.87 on Friday, hitting $91.36. The stock had a trading volume of 1,117,619 shares, compared to its average volume of 675,344. The business’s 50-day simple moving average is $108.12 and its two-hundred day simple moving average is $94.88. The stock has a market cap of $5.49 billion, a price-to-earnings ratio of -182.72 and a beta of 0.95. Mercury Systems Inc has a 52-week low of $65.04 and a 52-week high of $128.45. The company has a quick ratio of 2.15, a current ratio of 2.96 and a debt-to-equity ratio of 0.29.
Mercury Systems (NASDAQ:MRCY – Get Free Report) last released its quarterly earnings results on Tuesday, August 18th. The technology company reported $0.37 EPS for the quarter, missing the consensus estimate of $0.38 by ($0.01). Mercury Systems had a negative net margin of 3.02% and a positive return on equity of 1.29%. The business had revenue of $289.78 million for the quarter, compared to analysts’ expectations of $266.09 million. During the same period in the previous year, the company earned $0.47 EPS. Mercury Systems’s revenue for the quarter was up 6.1% compared to the same quarter last year. As a group, research analysts predict that Mercury Systems Inc will post 0.77 earnings per share for the current year.
Key Stories Impacting Mercury Systems
- Positive Sentiment: Mercury reported record fourth-quarter bookings of approximately $660 million, up 93% year over year, with a 2.28 book-to-bill ratio. Backlog surpassed $1.9 billion, rising 38.4% and improving longer-term revenue visibility. Mercury Systems Reports Fourth Quarter and Fiscal 2026 Results
- Positive Sentiment: Revenue increased 6.1% year over year to approximately $289.8 million, well above the roughly $266.1 million analyst estimate. RBC raised its price target to $120, while Piper Sandler lifted its target to $131 and reaffirmed an “Overweight” rating; Baird also forecast substantial appreciation. Royal Bank of Canada Mercury Systems Forecast
- Positive Sentiment: A strategic alliance with Palantir Technologies is intended to automate material planning and factory operations for U.S. military programs. Investors may view the partnership as a potential catalyst for higher production throughput and shorter delivery times. Mercury Systems and Palantir Partnership
- Neutral Sentiment: Multiple executives sold shares in transactions totaling roughly $4.7 million. The filings say the sales covered tax withholding on vested equity awards, limiting their value as a bearish signal, although no insider purchases were reported. Mercury Systems Insider Trading Filing
- Negative Sentiment: Adjusted EPS was $0.37, narrowly missing the $0.38 consensus and falling from $0.47 a year earlier. GAAP EPS was $0.01, adjusted EBITDA declined to $49 million, and free cash flow fell to $29 million, overshadowing the strong bookings and revenue figures. Why Mercury Systems Is Down
- Negative Sentiment: Mercury’s fixed-price contracts expose margins to volatility in advanced semiconductor costs. Rising component expenses could pressure profitability before the company can adjust pricing or supply arrangements. Mercury Systems Fixed-Price Contract Risk
Analyst Ratings Changes
MRCY has been the topic of several analyst reports. Deutsche Bank Aktiengesellschaft cut shares of Mercury Systems to a “hold” rating in a research note on Wednesday, August 12th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Mercury Systems in a report on Friday, July 17th. Canaccord Genuity Group lifted their target price on Mercury Systems from $106.00 to $128.00 and gave the company a “buy” rating in a research report on Thursday. JPMorgan Chase & Co. boosted their price target on Mercury Systems from $99.00 to $101.00 and gave the company a “neutral” rating in a report on Monday, July 13th. Finally, Robert W. Baird boosted their price target on Mercury Systems from $120.00 to $130.00 and gave the company an “outperform” rating in a report on Wednesday. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, Mercury Systems has a consensus rating of “Hold” and an average price target of $110.10.
Check Out Our Latest Analysis on Mercury Systems
Hedge Funds Weigh In On Mercury Systems
Several large investors have recently added to or reduced their stakes in the company. Osaic Holdings Inc. raised its position in shares of Mercury Systems by 53.2% during the 2nd quarter. Osaic Holdings Inc. now owns 599 shares of the technology company’s stock valued at $32,000 after purchasing an additional 208 shares during the period. Leonteq Securities AG bought a new position in Mercury Systems in the 4th quarter worth $35,000. Hollencrest Capital Management bought a new position in Mercury Systems in the 4th quarter worth $37,000. Public Employees Retirement System of Ohio purchased a new stake in Mercury Systems in the 2nd quarter worth $43,000. Finally, Federated Hermes Inc. purchased a new stake in Mercury Systems in the 2nd quarter worth $43,000. Hedge funds and other institutional investors own 95.99% of the company’s stock.
About Mercury Systems
Mercury Systems, Inc (NASDAQ: MRCY) is a technology company that designs, manufactures and markets secure processing subsystems for aerospace and defense applications. The company’s products are built to address the stringent security, safety and reliability requirements of mission-critical programs, with a focus on radar, electronic warfare, intelligence and other sensor and processing functions. Mercury’s offerings encompass rugged embedded computing modules, high-performance radio frequency (RF) and microwave components, digital signal processing subsystems and secure networking solutions.
Since its origins in advanced signal processing, Mercury Systems has expanded its capabilities through a combination of internal development and targeted acquisitions.
Featured Stories
- Five stocks we like better than Mercury Systems
- Blueprint for a Boom: SEC Clears the Crypto Runway
- Ross Stores Just Flipped the Off-Price Retail Story After TJX’s Marmaxx Miss
- Advance Auto Parts Plunged, But Its Turnaround Is Still Working
- Is Palo Alto Networks Priced for Perfection Again as AI Security Demand Accelerates?
Receive News & Ratings for Mercury Systems Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mercury Systems and related companies with MarketBeat.com's FREE daily email newsletter.
