Kratos Defense & Security Solutions (NASDAQ:KTOS) Trading Down 9.3% – Here’s What Happened

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) shares dropped 9.3% during mid-day trading on Monday . The stock traded as low as $64.37 and last traded at $65.28. Approximately 5,450,228 shares changed hands during trading, an increase of 25% from the average daily volume of 4,359,953 shares. The stock had previously closed at $71.94.

Analysts Set New Price Targets

Several analysts have weighed in on the stock. The Goldman Sachs Group boosted their target price on shares of Kratos Defense & Security Solutions from $93.00 to $125.00 and gave the company a “buy” rating in a research note on Tuesday, January 20th. KeyCorp lifted their price target on shares of Kratos Defense & Security Solutions from $90.00 to $130.00 and gave the company an “overweight” rating in a report on Wednesday, January 28th. Piper Sandler initiated coverage on shares of Kratos Defense & Security Solutions in a research report on Wednesday, January 21st. They set a “neutral” rating and a $99.00 price objective for the company. Citizens Jmp increased their price objective on shares of Kratos Defense & Security Solutions from $105.00 to $125.00 and gave the stock a “market outperform” rating in a research note on Monday, January 12th. Finally, Stifel Nicolaus raised their target price on shares of Kratos Defense & Security Solutions from $112.00 to $134.00 and gave the stock a “buy” rating in a report on Tuesday, January 13th. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Kratos Defense & Security Solutions has an average rating of “Moderate Buy” and an average price target of $98.28.

Kratos Defense & Security Solutions Price Performance

The company has a quick ratio of 3.46, a current ratio of 4.06 and a debt-to-equity ratio of 0.05. The company has a market capitalization of $12.23 billion, a P/E ratio of 502.19 and a beta of 1.12. The business has a 50 day simple moving average of $94.97 and a 200-day simple moving average of $88.17.

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

Insider Transactions at Kratos Defense & Security Solutions

In other news, insider Stacey G. Rock sold 16,568 shares of the business’s stock in a transaction that occurred on Monday, January 12th. The stock was sold at an average price of $116.74, for a total transaction of $1,934,148.32. Following the completion of the transaction, the insider directly owned 26,487 shares in the company, valued at approximately $3,092,092.38. The trade was a 38.48% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Eric M. Demarco sold 191,699 shares of the stock in a transaction that occurred on Tuesday, January 6th. The stock was sold at an average price of $90.28, for a total value of $17,306,585.72. Following the completion of the transaction, the chief executive officer directly owned 687,117 shares of the company’s stock, valued at $62,032,922.76. This trade represents a 21.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 373,500 shares of company stock worth $34,826,678 in the last quarter. 2.37% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in KTOS. Greenleaf Trust increased its holdings in shares of Kratos Defense & Security Solutions by 2.7% during the fourth quarter. Greenleaf Trust now owns 3,830 shares of the aerospace company’s stock valued at $291,000 after purchasing an additional 100 shares during the period. LVW Advisors LLC lifted its holdings in Kratos Defense & Security Solutions by 3.0% in the fourth quarter. LVW Advisors LLC now owns 3,665 shares of the aerospace company’s stock worth $278,000 after purchasing an additional 107 shares during the period. CENTRAL TRUST Co grew its position in Kratos Defense & Security Solutions by 7.3% in the 4th quarter. CENTRAL TRUST Co now owns 1,698 shares of the aerospace company’s stock valued at $129,000 after buying an additional 115 shares in the last quarter. Quadrant Capital Group LLC grew its position in Kratos Defense & Security Solutions by 2.1% in the 4th quarter. Quadrant Capital Group LLC now owns 5,918 shares of the aerospace company’s stock valued at $449,000 after buying an additional 122 shares in the last quarter. Finally, Parkside Financial Bank & Trust increased its stake in Kratos Defense & Security Solutions by 6.9% during the 4th quarter. Parkside Financial Bank & Trust now owns 1,945 shares of the aerospace company’s stock valued at $148,000 after buying an additional 125 shares during the period. Institutional investors and hedge funds 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.