Mercury Systems (NASDAQ:MRCY) EVP Sells $818,161.92 in Stock

Mercury Systems Inc (NASDAQ:MRCY) EVP David Farnsworth sold 7,347 shares of the firm’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $111.36, for a total transaction of $818,161.92. Following the completion of the sale, the executive vice president owned 132,734 shares of the company’s stock, valued at $14,781,258.24. 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 accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Mercury Systems Stock Down 3.0%

MRCY stock opened at $91.36 on Friday. The company has a current ratio of 2.96, a quick ratio of 2.15 and a debt-to-equity ratio of 0.29. The company’s 50-day moving average price is $107.54 and its 200 day moving average price is $94.85. Mercury Systems Inc has a 52 week low of $65.04 and a 52 week high of $128.45. The company has a market cap of $5.49 billion, a P/E ratio of -182.72 and a beta of 0.95.

Mercury Systems (NASDAQ:MRCY) last issued its earnings results on Tuesday, August 18th. The technology company reported $0.37 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 company had revenue of $289.78 million during the quarter, compared to analysts’ expectations of $266.09 million. During the same period last year, the business posted $0.47 earnings per share. The company’s quarterly revenue was up 6.1% on a year-over-year basis. On average, research analysts expect that Mercury Systems Inc will post 0.77 earnings per share for the current fiscal year.

Key Mercury Systems News

Here are the key news stories impacting Mercury Systems this week:

• Positive Sentiment: Mercury Systems reported record fourth-quarter bookings of approximately $660 million, up 93.1% year over year, with a 2.28 book-to-bill ratio. Backlog surpassed $1.9 billion, a 38.4% increase, providing stronger revenue visibility as production ramps. Mercury Systems Reports Fourth Quarter and Fiscal 2026 Results
• Positive Sentiment: Revenue increased 6.1% year over year to approximately $290 million, exceeding the roughly $266 million analyst estimate. RBC raised its target to $120, Piper Sandler lifted its target to $131 while maintaining an Overweight rating, and Baird also forecast substantial upside. Robert W. Baird Forecasts Strong Price Appreciation
• Neutral Sentiment: CEO William Ballhaus and several executives sold shares in transactions from August 17–20. The sales totaled several million dollars, but SEC filings said they were intended to cover tax withholding on vested equity awards. That reduces their value as a bearish signal, although no insider purchases were reported. Mercury Systems SEC 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, while adjusted EBITDA declined to $49 million from $51 million and free cash flow fell to $29 million from $34 million. The earnings shortfall appears to have outweighed the strong bookings and revenue figures. Mercury Systems Drops as EPS Miss Overshadows Record Bookings
• Negative Sentiment: Investors are also evaluating Mercury’s exposure to semiconductor-price volatility. Because many contracts are fixed-price, higher component costs could pressure margins before the company can adjust pricing or supply arrangements. Mercury Systems Fixed-Price Contract Risk

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Osaic Holdings Inc. lifted its stake in Mercury Systems by 53.2% in the 2nd quarter. Osaic Holdings Inc. now owns 599 shares of the technology company’s stock valued at $32,000 after buying an additional 208 shares in the last quarter. Leonteq Securities AG purchased a new position in Mercury Systems during the fourth quarter worth $35,000. Hollencrest Capital Management purchased a new position in Mercury Systems during the fourth quarter worth $37,000. Public Employees Retirement System of Ohio acquired a new position in shares of Mercury Systems in the second quarter worth $43,000. Finally, Federated Hermes Inc. acquired a new position in shares of Mercury Systems in the second quarter worth $43,000. 95.99% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the company. Piper Sandler reaffirmed an “overweight” rating and set a $131.00 price objective (up from $126.00) on shares of Mercury Systems in a report on Wednesday. Weiss Ratings reissued a “sell (d-)” rating on shares of Mercury Systems in a report on Friday, July 17th. The Goldman Sachs Group raised their price target on Mercury Systems from $60.00 to $68.00 and gave the company a “sell” rating in a research report on Monday, May 11th. Deutsche Bank Aktiengesellschaft downgraded Mercury Systems to a “hold” rating in a research note on Wednesday, August 12th. Finally, Wall Street Zen lowered shares of Mercury Systems from a “buy” rating to a “hold” rating in a research report on Saturday, July 18th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, four have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Mercury Systems has a consensus rating of “Hold” and a consensus target price of $110.10.

Mercury Systems Company Profile

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.