Kratos Defense & Security Solutions (NASDAQ:KTOS) Director Sells $440,000.00 in Stock

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) Director Scot Jarvis sold 5,000 shares of the firm’s stock in a transaction that occurred on Thursday, February 26th. The stock was sold at an average price of $88.00, for a total transaction of $440,000.00. Following the sale, the director directly owned 90,417 shares of the company’s stock, valued at approximately $7,956,696. This trade represents a 5.24% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link.

Kratos Defense & Security Solutions Stock Down 6.5%

Kratos Defense & Security Solutions stock opened at $86.18 on Monday. The company has a market capitalization of $14.68 billion, a PE ratio of 662.97 and a beta of 1.12. Kratos Defense & Security Solutions, Inc. has a 12-month low of $25.11 and a 12-month high of $134.00. The firm’s fifty day moving average is $98.13 and its 200 day moving average is $85.28. The company has a quick ratio of 3.46, a current ratio of 4.06 and a debt-to-equity ratio of 0.05.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last posted its quarterly 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. Kratos Defense & Security Solutions had a net margin of 1.63% and a return on equity of 3.34%. The business had revenue of $345.10 million during the quarter, compared to analysts’ expectations of $327.51 million. During the same period last year, the company posted $0.13 earnings per share. The business’s quarterly revenue was up 21.9% on a year-over-year basis. As a group, sell-side analysts predict that Kratos Defense & Security Solutions, Inc. will post 0.31 EPS for the current fiscal year.

Hedge Funds Weigh In On Kratos Defense & Security Solutions

A number of hedge funds have recently bought and sold shares of the company. Oak Grove Capital LLC raised its holdings in shares of Kratos Defense & Security Solutions by 7.9% in the fourth quarter. Oak Grove Capital LLC now owns 6,800 shares of the aerospace company’s stock valued at $516,000 after purchasing an additional 500 shares during the last quarter. 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 worth $2,302,000 after purchasing an additional 7,847 shares in the last quarter. Mcguire Capital Advisors Inc. purchased a new stake in Kratos Defense & Security Solutions in the 4th quarter valued at about $25,000. Corient Private Wealth LLC lifted its position in shares of Kratos Defense & Security Solutions by 7,701.6% during the 4th quarter. Corient Private Wealth LLC now owns 1,593,549 shares of the aerospace company’s stock worth $120,966,000 after buying an additional 1,573,123 shares in the last quarter. Finally, State of Tennessee Department of Treasury boosted its stake in shares of Kratos Defense & Security Solutions by 5.2% in the 4th quarter. State of Tennessee Department of Treasury now owns 71,408 shares of the aerospace company’s stock worth $5,421,000 after buying an additional 3,539 shares during the last quarter. 75.92% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages have commented on KTOS. BTIG Research raised their price objective on Kratos Defense & Security Solutions from $95.00 to $115.00 and gave the company a “buy” rating in a research note on Tuesday, February 24th. Citigroup reissued a “market outperform” rating on shares of Kratos Defense & Security Solutions in a research report on Tuesday, February 24th. Truist Financial set a $135.00 price objective on shares of Kratos Defense & Security Solutions in a report on Friday, January 9th. Canaccord Genuity Group raised 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 research note on Tuesday, February 24th. Finally, Cantor Fitzgerald reissued an “overweight” rating and set a $115.00 target price on shares of Kratos Defense & Security Solutions in a research report on Tuesday, February 24th. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $98.28.

Kratos Defense & Security Solutions News Summary

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.