Karman’s (KRMN) Sell Rating Reiterated at BWS Financial

Karman (NYSE:KRMN)‘s stock had its “sell” rating reaffirmed by stock analysts at BWS Financial in a research note issued on Friday,Benzinga reports. They currently have a $37.00 price objective on the stock. BWS Financial’s target price suggests a potential downside of 57.36% from the stock’s current price.

A number of other analysts have also recently weighed in on KRMN. Weiss Ratings reiterated a “hold (c-)” rating on shares of Karman in a research report on Monday, December 29th. Citigroup increased their target price on Karman from $125.00 to $127.00 and gave the stock a “buy” rating in a research report on Thursday. Truist Financial set a $118.00 target price on Karman in a research note on Friday, January 9th. Evercore upped their price target on shares of Karman from $110.00 to $125.00 and gave the stock an “outperform” rating in a research report on Thursday, January 22nd. Finally, Raymond James Financial reaffirmed a “strong-buy” rating and issued a $130.00 price objective on shares of Karman in a report on Thursday, January 22nd. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $117.10.

Karman Stock Performance

Shares of NYSE KRMN traded up $0.77 during midday trading on Friday, hitting $86.78. The company’s stock had a trading volume of 1,204,413 shares, compared to its average volume of 2,148,655. The company has a debt-to-equity ratio of 1.27, a quick ratio of 2.69 and a current ratio of 2.86. Karman has a 1-year low of $25.02 and a 1-year high of $118.38. The firm’s fifty day moving average price is $96.91 and its 200-day moving average price is $82.00. The firm has a market cap of $11.48 billion and a P/E ratio of 668.58.

Karman (NYSE:KRMN) last released its quarterly earnings data on Wednesday, March 25th. The company reported $0.11 earnings per share for the quarter, hitting the consensus estimate of $0.11. Karman had a net margin of 3.68% and a return on equity of 13.36%. The firm had revenue of $134.49 million for the quarter. The company’s revenue for the quarter was up 47.5% compared to the same quarter last year.

Institutional Investors Weigh In On Karman

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Invesco Ltd. lifted its holdings in Karman by 27.3% in the fourth quarter. Invesco Ltd. now owns 4,088,649 shares of the company’s stock worth $299,166,000 after purchasing an additional 877,462 shares during the period. Vident Advisory LLC acquired a new position in Karman during the 4th quarter valued at about $14,579,000. VARCOV Co. acquired a new position in Karman during the 4th quarter valued at about $485,000. Polymer Capital Management US LLC bought a new stake in shares of Karman during the 4th quarter worth about $569,000. Finally, Engineers Gate Manager LP bought a new stake in shares of Karman during the 4th quarter worth about $241,000.

Key Karman News

Here are the key news stories impacting Karman this week:

• Positive Sentiment: Company raised 2026 revenue guidance, forecasting ~53% growth and signaling continued strong demand across missiles, hypersonics, space & launch and other defense end-markets — this underpins the bullish outlook. Karman expects 53% revenue growth
• Positive Sentiment: Q4 revenue was strong ($134.5M, +47.5% YoY) and management cites an $800M-ish backlog that gives near‑term visibility — a core reason analysts remain constructive. Q4 results press release
• Positive Sentiment: Analysts are maintaining/upgrading targets after the results — Needham reaffirmed a Buy with a $125 target and Citigroup raised its target to $127 — these actions support further upside expectations. Analyst coverage (Benzinga) TipRanks (Needham)
• Neutral Sentiment: Reported EPS of $0.11 was inline with consensus — not a surprise, which tempers volatility but leaves focus on revenue/backlog and margin trajectory. Earnings call transcript
• Negative Sentiment: Management expects adjusted EBITDA margin to moderate (~29.5%) in 2026 due to acquisitions and capacity expansion — margin compression and integration risk are near-term negatives.
• Negative Sentiment: Shares experienced a sharp post‑earnings drop (reported intraday decline of ~double digits), reflecting valuation sensitivity — the stock trades at a high multiple, so execution vs. lofty expectations is the key risk.

About Karman

We specialize in the upfront design, testing, manufacturing, and sale of mission-critical systems for existing and emerging missile and defense, and space programs. Our integrated payload protection, propulsion, and interstage system solutions are deployed across a wide variety of existing and emerging programs supporting important Department of Defense (“DoD”) and space sector initiatives. We estimate that no single program accounted for more than 10% of sales for the nine months ended September 30, 2024 or the twelve months ended December 31, 2023, with revenue from over 100 active programs supporting current production and next-generation space, missile, hypersonic, and defense applications.