Kratos Defense & Security Solutions (NASDAQ:KTOS) Trading 1.7% Higher – Here’s What Happened

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS)’s stock price rose 1.7% during mid-day trading on Friday . The company traded as high as $90.88 and last traded at $87.00. Approximately 5,346,808 shares traded hands during trading, an increase of 16% from the average daily volume of 4,622,863 shares. The stock had previously closed at $85.54.

Kratos Defense & Security Solutions News Summary

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

• Positive Sentiment: Kratos completed the cash acquisition of Israeli firm Orbit Technologies, adding capabilities and personnel that support its unmanned systems and satellite communications strategy. Kratos Defense Completes Cash Acquisition of Orbit Technologies
• Positive Sentiment: Kratos won a multi‑million dollar production contract for a Counter‑UAS system and confirmed its OpenSpace platform is deployed in SSC Space’s Space Go LEO service — tangible revenue/visibility drivers for its unmanned and space businesses. Kratos Defense Weighs New Contracts Equity Raise And OpenSpace Growth Potential
• Positive Sentiment: Analysts and media lists continue to highlight KTOS as a defense/drone play; several firms maintain buy/overweight views and some raised targets recently, supporting demand from retail and institutional momentum. MarketBeat KTOS Coverage
• Neutral Sentiment: The company completed a major follow‑on equity offering to fund expansion and M&A — this provides firepower for growth but introduces dilution risk investors must price in. Equity Offering and Growth Plans
• Negative Sentiment: Insider selling: CFO Deanna Lund and another insider disclosed sales totaling ~10k+ shares in early March, which some investors view as a near‑term negative signal. Deanna Lund Sells 5,000 Shares
• Negative Sentiment: Valuation and volatility risks: KTOS trades at a very high P/E and has shown wide price swings over the past year, raising the risk that momentum reverses if execution or macro tailwinds fade. KTOS Valuation and Metrics

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on KTOS shares. B. Riley Financial lifted their price objective on Kratos Defense & Security Solutions from $105.00 to $128.00 and gave the company a “buy” rating in a research note on Friday, January 9th. Canaccord Genuity Group lifted their price objective on shares of Kratos Defense & Security Solutions from $120.00 to $125.00 and gave the company a “buy” rating in a report on Tuesday, February 24th. UBS Group started coverage on shares of Kratos Defense & Security Solutions in a research note on Wednesday, February 18th. They set a “neutral” rating and a $79.00 target price on the stock. KeyCorp increased their target price on shares of Kratos Defense & Security Solutions from $90.00 to $130.00 and gave the stock an “overweight” rating in a report on Wednesday, January 28th. Finally, Jefferies Financial Group reaffirmed a “hold” rating and issued a $85.00 price target on shares of Kratos Defense & Security Solutions in a research report on Thursday, November 6th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $98.28.

Kratos Defense & Security Solutions Price Performance

The stock has a market capitalization of $16.25 billion, a price-to-earnings ratio of 669.28 and a beta of 1.12. The company has a current ratio of 4.06, a quick ratio of 3.46 and a debt-to-equity ratio of 0.05. The company’s 50 day moving average is $98.75 and its 200 day moving average is $85.60.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last posted its earnings results on Monday, February 23rd. The aerospace company reported $0.18 EPS for the quarter, topping analysts’ consensus estimates of $0.14 by $0.04. The business had revenue of $345.10 million for the quarter, compared to analysts’ expectations of $327.51 million. Kratos Defense & Security Solutions had a return on equity of 3.34% and a net margin of 1.63%.The business’s revenue was up 21.9% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.13 earnings per share. Research analysts anticipate that Kratos Defense & Security Solutions, Inc. will post 0.31 EPS for the current fiscal year.

Insider Buying and Selling at Kratos Defense & Security Solutions

In other news, insider Stacey G. Rock sold 16,568 shares of the company’s stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $116.74, for a total value of $1,934,148.32. Following the completion of the sale, the insider directly owned 26,487 shares of the company’s stock, valued at approximately $3,092,092.38. This represents a 38.48% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Thomas E. Iv Mills sold 8,523 shares of the stock in a transaction dated Wednesday, January 7th. The stock was sold at an average price of $92.98, for a total transaction of $792,468.54. Following the sale, the insider owned 9,802 shares of the company’s stock, valued at $911,389.96. This trade represents a 46.51% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 564,665 shares of company stock valued at $49,631,118. 2.37% of the stock is owned by company insiders.

Institutional Trading of Kratos Defense & Security Solutions

A number of hedge funds have recently added to or reduced their stakes in the stock. Caitong International Asset Management Co. Ltd purchased a new position in shares of Kratos Defense & Security Solutions in the 4th quarter valued at approximately $174,000. Oak Grove Capital LLC lifted its holdings in shares of Kratos Defense & Security Solutions by 7.9% during the fourth quarter. Oak Grove Capital LLC now owns 6,800 shares of the aerospace company’s stock worth $516,000 after purchasing an additional 500 shares during the period. Pacer Advisors Inc. grew its position in Kratos Defense & Security Solutions by 34.9% in the 4th quarter. Pacer Advisors Inc. now owns 30,327 shares of the aerospace company’s stock valued at $2,302,000 after buying an additional 7,847 shares during the last quarter. Mcguire Capital Advisors Inc. purchased a new position in Kratos Defense & Security Solutions in the 4th quarter valued at $25,000. Finally, Corient Private Wealth LLC increased its stake in Kratos Defense & Security Solutions by 7,701.6% in the 4th quarter. Corient Private Wealth LLC now owns 1,593,549 shares of the aerospace company’s stock valued at $120,966,000 after buying an additional 1,573,123 shares during the period. 75.92% of the stock is owned by institutional investors and hedge funds.

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.