Kratos Defense & Security Solutions (NASDAQ:KTOS) Trading 1.7% Higher – Time to Buy?

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

Trending Headlines about Kratos Defense & Security Solutions

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

Analyst Ratings Changes

Several brokerages recently issued reports on KTOS. Noble Financial reissued an “outperform” rating on shares of Kratos Defense & Security Solutions in a report on Tuesday, January 20th. The Goldman Sachs Group increased their target price on Kratos Defense & Security Solutions from $93.00 to $125.00 and gave the company a “buy” rating in a research report on Tuesday, January 20th. KeyCorp lifted their price target on Kratos Defense & Security Solutions from $90.00 to $130.00 and gave the company an “overweight” rating in a report on Wednesday, January 28th. JonesTrading assumed coverage on Kratos Defense & Security Solutions in a research note on Monday, January 5th. They set a “buy” rating for the company. Finally, Citizens Jmp raised their price objective on Kratos Defense & Security Solutions from $105.00 to $125.00 and gave the company a “market outperform” rating in a research report on Monday, January 12th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, Kratos Defense & Security Solutions has an average rating of “Moderate Buy” and a consensus target price of $98.28.

Kratos Defense & Security Solutions Trading Up 1.7%

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

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

Insider Activity

In related news, CFO Deanna H. Lund sold 5,000 shares of the stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $91.28, for a total value of $456,400.00. Following the completion of the transaction, the chief financial officer directly owned 270,058 shares of the company’s stock, valued at approximately $24,650,894.24. This represents a 1.82% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Thomas E. Iv Mills sold 5,758 shares of the company’s stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $91.26, for a total transaction of $525,475.08. Following the sale, the insider directly owned 4,086 shares of the company’s stock, valued at approximately $372,888.36. This represents a 58.49% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 564,665 shares of company stock valued at $49,631,118 in the last three months. Company insiders own 2.37% of the company’s stock.

Hedge Funds Weigh In On Kratos Defense & Security Solutions

A number of institutional investors have recently added to or reduced their stakes in the stock. Royal Bank of Canada grew its holdings in Kratos Defense & Security Solutions by 22.6% in the 1st quarter. Royal Bank of Canada now owns 190,481 shares of the aerospace company’s stock valued at $5,655,000 after buying an additional 35,098 shares in the last quarter. Amundi purchased a new position in Kratos Defense & Security Solutions during the first quarter worth about $791,000. NewEdge Advisors LLC boosted its holdings in Kratos Defense & Security Solutions by 64.4% in 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. Jones Financial Companies Lllp grew its stake in shares of Kratos Defense & Security Solutions by 178.0% in the 1st quarter. Jones Financial Companies Lllp now owns 3,570 shares of the aerospace company’s stock valued at $108,000 after buying an additional 2,286 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of Kratos Defense & Security Solutions by 11.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 393,614 shares of the aerospace company’s stock worth $11,686,000 after buying an additional 41,265 shares during the last quarter. Hedge funds and other institutional investors own 75.92% of the company’s stock.

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.