Kratos Defense & Security Solutions (NASDAQ:KTOS) Stock Price Up 10.1% After Analyst Upgrade

Shares of Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) rose 10.1% during mid-day trading on Monday after Jefferies Financial Group upgraded the stock from a hold rating to a buy rating. Jefferies Financial Group now has a $85.00 price target on the stock. Kratos Defense & Security Solutions traded as high as $74.41 and last traded at $74.09. Approximately 4,120,434 shares changed hands during mid-day trading, a decline of 6% from the average daily volume of 4,398,880 shares. The stock had previously closed at $67.31.

A number of other brokerages have also issued reports on KTOS. UBS Group initiated coverage on Kratos Defense & Security Solutions in a report on Wednesday, February 18th. They issued a “neutral” rating and a $79.00 price objective for the company. JonesTrading initiated coverage on Kratos Defense & Security Solutions in a report on Monday, January 5th. They issued a “buy” rating for the company. BTIG Research increased their price objective on Kratos Defense & Security Solutions from $95.00 to $115.00 and gave the stock a “buy” rating in a report on Tuesday, February 24th. B. Riley Financial increased their price objective on Kratos Defense & Security Solutions from $105.00 to $128.00 and gave the stock a “buy” rating in a report on Friday, January 9th. Finally, The Goldman Sachs Group increased their price objective on Kratos Defense & Security Solutions from $93.00 to $125.00 and gave the stock a “buy” rating in a report on Tuesday, January 20th. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $98.28.

Insider Transactions at Kratos Defense & Security Solutions

In other Kratos Defense & Security Solutions news, insider Stacey G. Rock sold 4,000 shares of the company’s stock in a transaction that occurred on Thursday, March 26th. The stock was sold at an average price of $76.78, for a total value of $307,120.00. Following the completion of the sale, the insider directly owned 21,777 shares in the company, valued at $1,672,038.06. This represents a 15.52% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director William A. Hoglund sold 30,500 shares of the company’s stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $71.19, for a total value of $2,171,295.00. Following the completion of the sale, the director owned 252,500 shares of the company’s stock, valued at $17,975,475. This trade represents a 10.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 211,000 shares of company stock valued at $19,390,027 over the last three months. 2.37% of the stock is owned by company insiders.

Kratos Defense & Security Solutions News Summary

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

• Positive Sentiment: Jefferies upgraded KTOS from Hold to Buy and reiterated an $85 price target, citing stronger growth prospects in Kratos’ tactical systems and unmanned platforms. This upgrade is the main catalyst pushing the stock higher. Kratos Defense stock rises after Jefferies upgrade to buy
• Positive Sentiment: Jefferies’ analyst specifically highlights upside from hypersonics and sustained missile/drone demand as key earnings and revenue drivers for Kratos, reinforcing a more bullish medium‑term thesis. This Drone Stock Can Rise 26%, Says Jefferies. Missile Demand Holds the Key.
• Positive Sentiment: Fund commentary and media coverage point to geopolitical risk (ongoing conflict in the Middle East) supporting defense budgets and near‑term program demand, a context analysts say could benefit Kratos’ product lines. Why Kratos Defense & Security Solutions Is Soaring Today
• Negative Sentiment: Insider selling reported today may give some investors pause: the CFO sold roughly $348,150 of KTOS stock. CFO Sells $348,150 in Stock
• Negative Sentiment: A company director disclosed a larger sale of about $2.17 million in KTOS shares, which can be viewed as a short-term headwind for sentiment even if sales are routine or for diversification. Director Sells $2,171,295 in Stock

Institutional Investors Weigh In On Kratos Defense & Security Solutions

A number of institutional investors have recently added to or reduced their stakes in the company. Purpose Unlimited Inc. acquired a new stake in Kratos Defense & Security Solutions in the fourth quarter worth approximately $122,000. Rockefeller Capital Management L.P. lifted its position in shares of Kratos Defense & Security Solutions by 34.8% during 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 acquiring an additional 6,141 shares during the last quarter. World Investment Advisors lifted its position in shares of Kratos Defense & Security Solutions by 13.0% during the 4th quarter. World Investment Advisors now owns 6,015 shares of the aerospace company’s stock valued at $457,000 after acquiring an additional 694 shares during the last quarter. Eos Management L.P. lifted its position in shares of Kratos Defense & Security Solutions by 83.1% during the 4th quarter. Eos Management L.P. now owns 15,021 shares of the aerospace company’s stock valued at $1,140,000 after acquiring an additional 6,819 shares during the last quarter. Finally, Corient Private Wealth LLC lifted its position in shares of Kratos Defense & Security Solutions by 19.7% during the 4th quarter. Corient Private Wealth LLC now owns 24,452 shares of the aerospace company’s stock valued at $1,856,000 after acquiring an additional 4,026 shares during the last quarter. 75.92% of the stock is currently owned by institutional investors and hedge funds.

Kratos Defense & Security Solutions Price Performance

The business has a 50-day moving average price of $88.90 and a 200 day moving average price of $87.97. The company has a market cap of $13.88 billion, a price-to-earnings ratio of 569.97 and a beta of 1.22. The company has a current ratio of 4.06, a quick ratio of 3.46 and a debt-to-equity ratio of 0.05.

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

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.