Insider Selling: Kratos Defense & Security Solutions (NASDAQ:KTOS) Insider Sells $236,640.00 in Stock

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) insider David Carter sold 4,000 shares of Kratos Defense & Security Solutions stock in a transaction on Friday, June 5th. The stock was sold at an average price of $59.16, for a total transaction of $236,640.00. Following the transaction, the insider owned 70,092 shares in the company, valued at $4,146,642.72. This represents a 5.40% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Kratos Defense & Security Solutions Trading Up 7.2%

Shares of Kratos Defense & Security Solutions stock opened at $58.78 on Friday. The stock has a market capitalization of $11.02 billion, a PE ratio of 345.76 and a beta of 1.04. The company has a debt-to-equity ratio of 0.04, a current ratio of 5.63 and a quick ratio of 5.08. The company’s fifty day simple moving average is $62.56 and its 200-day simple moving average is $80.29. Kratos Defense & Security Solutions, Inc. has a 1-year low of $39.00 and a 1-year high of $134.00.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last issued its earnings results on Wednesday, May 6th. The aerospace company reported $0.16 earnings per share for the quarter, topping the consensus estimate of $0.13 by $0.03. The company had revenue of $371.00 million during the quarter, compared to the consensus estimate of $345.00 million. Kratos Defense & Security Solutions had a net margin of 2.08% and a return on equity of 2.82%. Kratos Defense & Security Solutions’s quarterly revenue was up 22.6% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.12 EPS. As a group, equities analysts anticipate that Kratos Defense & Security Solutions, Inc. will post 0.5 earnings per share for the current year.

Key Headlines Impacting Kratos Defense & Security Solutions

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

• Positive Sentiment: Kratos announced a major expansion of Spartan turbojet engine production, targeting 3,000 engines next year to support rising demand from missile and loitering munition programs. That suggests improving revenue visibility and stronger defense demand. Article: Kratos Expands Production of Spartan Engines to Support Growing Missile and Loitering Munition Demand
• Positive Sentiment: Analysts highlighted Kratos’ growth potential in hypersonics and autonomous systems, with Valkyrie drone production and improving Unmanned Systems profitability supporting the longer-term outlook. Article: Is KTOS Building a Growth Engine in Hypersonics & Autonomous Systems?
• Neutral Sentiment: Insider David M. Carter sold 4,000 shares under a pre-arranged 10b5-1 plan. The sale was relatively small, but continued insider selling can still pressure sentiment. Article: Insider sale filing
• Neutral Sentiment: Steven Fendley also disclosed a larger sale of 35,000 shares, which may add to investor caution even though it was publicly reported. Article: Insider sale filing
• Negative Sentiment: Recent commentary questioned whether KTOS has already priced in too much growth after its multiyear rally, keeping valuation concerns in focus and likely contributing to the stock’s weakness. Article: Is Kratos Defense & Security Solutions (KTOS) Pricing In Too Much After Its Multiyear Run?

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on KTOS shares. Canaccord Genuity Group upped their target price on shares of Kratos Defense & Security Solutions from $125.00 to $130.00 and gave the stock a “buy” rating in a report on Thursday, May 7th. Jefferies Financial Group set a $80.00 target price on shares of Kratos Defense & Security Solutions in a report on Sunday, May 10th. Truist Financial raised shares of Kratos Defense & Security Solutions to a “strong-buy” rating in a report on Friday, May 1st. Citizens Jmp dropped their target price on shares of Kratos Defense & Security Solutions from $125.00 to $105.00 and set a “market outperform” rating for the company in a report on Friday, May 8th. Finally, BNP Paribas Exane boosted their price target on shares of Kratos Defense & Security Solutions from $80.00 to $85.00 and gave the stock a “neutral” rating in a research note on Thursday, May 7th. Three investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $96.28.

Institutional Trading of Kratos Defense & Security Solutions

Several hedge funds have recently made changes to their positions in the business. Parallel Advisors LLC raised its position in shares of Kratos Defense & Security Solutions by 143.3% during the 1st quarter. Parallel Advisors LLC now owns 1,280 shares of the aerospace company’s stock valued at $90,000 after buying an additional 754 shares in the last quarter. NewEdge Advisors LLC raised its position in shares of Kratos Defense & Security Solutions by 35.3% during the 1st quarter. NewEdge Advisors LLC now owns 10,243 shares of the aerospace company’s stock valued at $722,000 after buying an additional 2,671 shares in the last quarter. BankChampaign National Association purchased a new stake in shares of Kratos Defense & Security Solutions during the 1st quarter valued at about $276,000. Western Wealth Management LLC purchased a new stake in shares of Kratos Defense & Security Solutions during the 1st quarter valued at about $119,000. Finally, Cim Investment Management Inc. purchased a new stake in shares of Kratos Defense & Security Solutions during the 1st quarter valued at about $236,000. 75.92% of the stock is currently owned by hedge funds and other institutional investors.

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.