Insider Selling: Kratos Defense & Security Solutions (NASDAQ:KTOS) Director Sells 5,000 Shares of Stock

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) Director Scot Jarvis sold 5,000 shares of Kratos Defense & Security Solutions stock in a transaction dated Thursday, March 26th. The shares were sold at an average price of $78.14, for a total value of $390,700.00. Following the completion of the transaction, the director directly owned 80,417 shares of the company’s stock, valued at $6,283,784.38. This represents a 5.85% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Kratos Defense & Security Solutions Stock Down 5.2%

Shares of NASDAQ KTOS opened at $71.94 on Friday. Kratos Defense & Security Solutions, Inc. has a 12-month low of $25.78 and a 12-month high of $134.00. The firm’s 50-day simple moving average is $94.97 and its 200 day simple moving average is $87.85. 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 cap of $13.48 billion, a price-to-earnings ratio of 553.43 and a beta of 1.12.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last posted its quarterly earnings data on Monday, February 23rd. The aerospace company reported $0.18 earnings per share for the quarter, beating the consensus estimate 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 firm had revenue of $345.10 million during the quarter, compared to analysts’ expectations of $327.51 million. During the same quarter last year, the company posted $0.13 EPS. The company’s quarterly revenue was up 21.9% compared to the same quarter last year. On average, research analysts expect that Kratos Defense & Security Solutions, Inc. will post 0.31 earnings per share for the current fiscal year.

Key Stories Impacting Kratos Defense & Security Solutions

Here are the key news stories impacting Kratos Defense & Security Solutions this week:

• Positive Sentiment: Kratos won a Naval Surface Warfare Center (NSWC PHD) contract for production and delivery of up to 36 Oriole™ solid rocket motors and three Thrust Vector Control kits (funded base plus options), a $49M award that supports hypersonic and missile test programs and adds near-term funded backlog. Kratos Awarded $49 Million NSWC PHD Contract for Oriole™ Rocket Motor and Thrust Vector Control Systems to Support Navy Missile and Test Programs
• Positive Sentiment: Kratos added industry veteran David King to its board; his aerospace and defense background (Dynetics, NASA-related programs) strengthens governance and program-level experience as Kratos expands propulsion and hypersonics work. Kratos Defense & Security Solutions, Inc.: Kratos Announces Appointment of David King to Board of Directors
• Positive Sentiment: Analysts and coverage highlight Kratos’ propulsion systems business as a growth vector — demand for compact, lower-cost engines for drones, missiles and next‑gen platforms could lift margins and revenue over time. Can Kratos Defense’s Propulsion Systems Business Drive Growth?
• Neutral Sentiment: Media and TV attention (notably Jim Cramer) has driven strong retail interest and a large multi-month rally; that attention can sustain volume and momentum but isn’t the same as new contracts or bookings. Kratos (KTOS) stock has surged since Jim Cramer said he liked “the story very much”
• Negative Sentiment: Valuation and momentum risk: KTOS has run up sharply (large YTD/1‑year gains), leaving it exposed to profit-taking and heightened volatility—earnings metrics show a very high P/E and the stock is pulling back from recent moving‑average levels. This helps explain today’s decline as investors reassess near-term upside.

Hedge Funds Weigh In On Kratos Defense & Security Solutions

Hedge funds and other institutional investors have recently bought and sold shares of the business. Purpose Unlimited Inc. acquired a new stake in Kratos Defense & Security Solutions during the 4th quarter worth $122,000. Rockefeller Capital Management L.P. lifted its stake in shares of Kratos Defense & Security Solutions by 34.8% in the 4th quarter. Rockefeller Capital Management L.P. now owns 23,771 shares of the aerospace company’s stock valued at $1,804,000 after purchasing an additional 6,141 shares during the period. World Investment Advisors lifted its stake in shares of Kratos Defense & Security Solutions by 13.0% in the 4th quarter. World Investment Advisors now owns 6,015 shares of the aerospace company’s stock valued at $457,000 after purchasing an additional 694 shares during the period. Eos Management L.P. boosted its position in shares of Kratos Defense & Security Solutions by 83.1% in the 4th quarter. Eos Management L.P. now owns 15,021 shares of the aerospace company’s stock worth $1,140,000 after purchasing an additional 6,819 shares during the last quarter. Finally, Corient Private Wealth LLC boosted its position in shares of Kratos Defense & Security Solutions by 19.7% in the 4th quarter. Corient Private Wealth LLC now owns 24,452 shares of the aerospace company’s stock worth $1,856,000 after purchasing an additional 4,026 shares during the last quarter. 75.92% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several research analysts recently weighed in on KTOS shares. B. Riley Financial boosted their price objective on shares of Kratos Defense & Security Solutions from $105.00 to $128.00 and gave the stock a “buy” rating in a research report on Friday, January 9th. BTIG Research increased their price objective on Kratos Defense & Security Solutions from $95.00 to $115.00 and gave the company a “buy” rating in a research report on Tuesday, February 24th. Noble Financial reissued an “outperform” rating on shares of Kratos Defense & Security Solutions in a research note on Tuesday, January 20th. Citizens Jmp boosted their target price on Kratos Defense & Security Solutions from $105.00 to $125.00 and gave the stock a “market outperform” rating in a research report on Monday, January 12th. Finally, UBS Group initiated coverage on Kratos Defense & Security Solutions in a research note on Wednesday, February 18th. They set a “neutral” rating and a $79.00 price target on the stock. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $98.28.

About Kratos Defense & Security Solutions

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.