Intech Investment Management LLC Reduces Stock Position in Kratos Defense & Security Solutions, Inc. $KTOS

Intech Investment Management LLC lessened its stake in Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) by 20.7% in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 52,290 shares of the aerospace company’s stock after selling 13,674 shares during the period. Intech Investment Management LLC’s holdings in Kratos Defense & Security Solutions were worth $4,778,000 at the end of the most recent quarter.

Other hedge funds have also added to or reduced their stakes in the company. TD Waterhouse Canada Inc. purchased a new position in shares of Kratos Defense & Security Solutions in the 2nd quarter worth $30,000. Rakuten Securities Inc. purchased a new position in Kratos Defense & Security Solutions in the second quarter worth about $31,000. Bayforest Capital Ltd purchased a new position in Kratos Defense & Security Solutions in the third quarter worth about $32,000. Whittier Trust Co. bought a new stake in shares of Kratos Defense & Security Solutions during the 3rd quarter valued at about $38,000. Finally, NewEdge Advisors LLC increased its position in shares of Kratos Defense & Security Solutions by 64.4% during the 1st quarter. NewEdge Advisors LLC now owns 1,315 shares of the aerospace company’s stock valued at $39,000 after purchasing an additional 515 shares during the last quarter. 75.92% of the stock is currently owned by hedge funds and other institutional investors.

Kratos Defense & Security Solutions Price Performance

Shares of Kratos Defense & Security Solutions stock opened at $86.18 on Friday. The company has a market capitalization of $14.68 billion, a price-to-earnings ratio of 662.97 and a beta of 1.09. The company has a quick ratio of 3.68, a current ratio of 4.06 and a debt-to-equity ratio of 0.05. The stock’s 50-day simple moving average is $98.13 and its 200-day simple moving average is $85.17. Kratos Defense & Security Solutions, Inc. has a 52 week low of $25.11 and a 52 week high of $134.00.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last issued its earnings results on Monday, February 23rd. The aerospace company reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.14 by $0.04. Kratos Defense & Security Solutions had a return on equity of 3.34% and a net margin of 1.63%.The company had revenue of $345.10 million for the quarter, compared to the consensus estimate of $327.51 million. During the same quarter last year, the company earned $0.13 EPS. The firm’s quarterly revenue was up 21.9% on a year-over-year basis. As a group, analysts expect that Kratos Defense & Security Solutions, Inc. will post 0.31 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

KTOS has been the topic of a number of research reports. JonesTrading began coverage on shares of Kratos Defense & Security Solutions in a report on Monday, January 5th. They issued a “buy” rating on the stock. The Goldman Sachs Group increased their price target on shares of Kratos Defense & Security Solutions from $93.00 to $125.00 and gave the stock a “buy” rating in a research report on Tuesday, January 20th. B. Riley Financial boosted their price objective on shares of Kratos Defense & Security Solutions from $105.00 to $128.00 and gave the company a “buy” rating in a research report on Friday, January 9th. Stifel Nicolaus upped their price objective on Kratos Defense & Security Solutions from $112.00 to $134.00 and gave the stock a “buy” rating in a research note on Tuesday, January 13th. Finally, Noble Financial reiterated an “outperform” rating on shares of Kratos Defense & Security Solutions in a research report on Tuesday, January 20th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $98.28.

Insider Transactions at Kratos Defense & Security Solutions

In other Kratos Defense & Security Solutions news, CFO Deanna H. Lund sold 30,000 shares of Kratos Defense & Security Solutions stock in a transaction on Monday, December 1st. The shares were sold at an average price of $74.08, for a total value of $2,222,400.00. Following the sale, the chief financial officer directly owned 273,285 shares in the company, valued at approximately $20,244,952.80. The trade was a 9.89% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Eric M. Demarco sold 200,000 shares of the business’s stock in a transaction on Monday, December 1st. The stock was sold at an average price of $74.09, for a total transaction of $14,818,000.00. Following the completion of the sale, the chief executive officer owned 1,196,237 shares in the company, valued at approximately $88,629,199.33. The trade was a 14.32% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 897,907 shares of company stock valued at $74,113,293. 2.37% of the stock is owned by corporate insiders.

Kratos Defense & Security Solutions News Roundup

Here are the key news stories impacting Kratos Defense & Security Solutions this week:

• Positive Sentiment: Kratos won a $61.1M Navy contract modification for full‑rate production of 70 BQM‑177A subsonic aerial targets — adds near‑term funded revenue and supports production momentum. Kratos Navy Contract
• Positive Sentiment: Kratos completed the Critical Design Review (CDR) for the Space Development Agency’s Advanced Fire Control Ground Infrastructure (AFCGI), de‑risking integration milestones on a major space/ground program and supporting future revenue recognition. CDR Completion
• Positive Sentiment: BTIG raised its price target on KTOS to $115, signaling increased analyst optimism tied to program wins and positioning in unmanned/space markets. BTIG Price Target Raise
• Neutral Sentiment: Kratos reported a Q4 beat (revenue +21.9% YoY, EPS above expectations) and a larger backlog — fundamental positives, but largely anticipated and insufficient to offset near‑term concerns. Q4 Results
• Negative Sentiment: The company priced an underwritten offering of 14,285,714 shares at $84.00 to raise roughly $1.17B (with a 30‑day option), all shares sold by Kratos — a primary offering that increases share count and sparked dilution concerns. The offering is expected to close March 2, 2026. Offering Priced
• Negative Sentiment: Noble Financial reduced its Q1 and Q2 2026 EPS estimates for Kratos (Q1 to $0.09, Q2 to $0.10), signaling near‑term earnings pressure despite an Outperform rating — analyst downgrades or cuts tend to pressure sentiment. Noble Financial Estimates
• Negative Sentiment: After‑hours weakness followed management’s softer Q1 guidance and commentary about cash burn (inventory/production ramps), which overshadowed the Q4 beat and likely triggered short‑term profit taking. After‑hours Fall Explanation
• Negative Sentiment: An insider sold 7,000 shares last week (disclosed SEC filing) — not large versus total holdings but a headline that can add selling pressure. Insider Sale Filing
• Negative Sentiment: Valuation remains a concern (very high P/E multiples), leaving KTOS vulnerable to pullbacks if guidance or cash‑flow timing disappoints. Valuation Concerns

Kratos Defense & Security Solutions Company Profile

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.