Mercury Systems (NASDAQ:MRCY) EVP Sells $818,161.92 in Stock

Mercury Systems Inc (NASDAQ:MRCY) EVP David Farnsworth sold 7,347 shares of the stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $111.36, for a total transaction of $818,161.92. Following the completion of the sale, the executive vice president owned 132,734 shares in the company, valued at $14,781,258.24. This represents a 5.24% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Mercury Systems Trading Down 3.6%

Mercury Systems stock traded down $3.75 during midday trading on Wednesday, hitting $101.25. 1,723,371 shares of the stock were exchanged, compared to its average volume of 669,717. The stock has a market capitalization of $6.08 billion, a PE ratio of -421.88 and a beta of 0.95. The company has a fifty day simple moving average of $108.73 and a two-hundred day simple moving average of $94.85. The company has a quick ratio of 2.15, a current ratio of 3.19 and a debt-to-equity ratio of 0.40. Mercury Systems Inc has a 52 week low of $62.78 and a 52 week high of $128.45.

Mercury Systems (NASDAQ:MRCY) last posted its earnings results on Tuesday, August 18th. The technology company reported $0.37 earnings per share for the quarter, missing the consensus estimate of $0.38 by ($0.01). Mercury Systems had a positive return on equity of 2.22% and a negative net margin of 1.46%.The firm had revenue of $289.78 million during the quarter, compared to analyst estimates of $266.09 million. During the same quarter last year, the business posted $0.47 earnings per share. The company’s revenue for the quarter was up 6.1% on a year-over-year basis. Equities research analysts anticipate that Mercury Systems Inc will post 0.33 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. AQR Capital Management LLC bought a new stake in Mercury Systems in the first quarter valued at approximately $755,000. Goldman Sachs Group Inc. boosted its stake in shares of Mercury Systems by 51.6% during the 1st quarter. Goldman Sachs Group Inc. now owns 855,441 shares of the technology company’s stock worth $36,861,000 after acquiring an additional 290,989 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of Mercury Systems by 13.4% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 159,617 shares of the technology company’s stock worth $6,878,000 after acquiring an additional 18,916 shares during the last quarter. Jane Street Group LLC increased its holdings in shares of Mercury Systems by 161.3% during the 1st quarter. Jane Street Group LLC now owns 50,769 shares of the technology company’s stock worth $2,188,000 after acquiring an additional 31,337 shares during the last quarter. Finally, JPMorgan Chase & Co. raised its stake in Mercury Systems by 30.3% in the 2nd quarter. JPMorgan Chase & Co. now owns 124,973 shares of the technology company’s stock valued at $6,731,000 after acquiring an additional 29,057 shares during the period. 95.99% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of research firms have recently commented on MRCY. Robert W. Baird raised their price target on Mercury Systems from $120.00 to $130.00 and gave the stock an “outperform” rating in a research report on Wednesday. Weiss Ratings reiterated a “sell (d-)” rating on shares of Mercury Systems in a research report on Friday, July 17th. Canaccord Genuity Group increased their price objective on shares of Mercury Systems from $102.00 to $106.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Zacks Research lowered shares of Mercury Systems from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 4th. Finally, Deutsche Bank Aktiengesellschaft lowered shares of Mercury Systems to a “hold” rating in a research note on Wednesday, August 12th. Two investment analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $106.80.

Key Stories Impacting Mercury Systems

Here are the key news stories impacting Mercury Systems this week:

• Positive Sentiment: Record fourth-quarter bookings rose 93.1% year over year to approximately $660 million, producing a 2.28 book-to-bill ratio. Backlog exceeded $1.9 billion, up 38.4% year over year, improving visibility as production ramps. Mercury Systems Reports Fourth Quarter and Fiscal 2026 Results
• Positive Sentiment: Fourth-quarter revenue increased 6.1% to roughly $290 million, exceeding analyst expectations near $266 million. Management’s fiscal 2027 targets point to low-double-digit revenue growth and potentially stronger performance ahead. Mercury Systems Q4 Earnings in Line, Revenues Top on Bookings
• Positive Sentiment: Several analysts raised their outlooks after the results. RBC increased its price target to $120 with an “outperform” rating, while Baird raised its target to $130 and Piper Sandler lifted its “overweight” target to $131. These Analysts Raise Their Forecasts on Mercury Systems After Q4 Results
• Neutral Sentiment: The broader market backdrop was mixed, with investors also monitoring geopolitical developments and technology stocks, potentially adding volatility to MRCY’s post-earnings reaction. Stock Market Futures Mixed
• Negative Sentiment: Adjusted EPS was $0.37, slightly below the $0.38 consensus and down from $0.47 a year earlier. GAAP EPS fell to approximately $0.01 from $0.27, while adjusted EBITDA declined to $49 million from $51 million. Lower profitability overshadowed the demand signals. Mercury Systems Drops as Q4 EPS Miss Overshadows Record Bookings
• Negative Sentiment: Fourth-quarter free cash flow eased to $29 million from $34 million, and full-year operating and free cash flow were below fiscal 2025 levels. Reported insider activity also showed sales and no open-market purchases in the past six months, adding a cautious signal.

Mercury Systems Company Profile

Mercury Systems, Inc (NASDAQ: MRCY) is a technology company that designs, manufactures and markets secure processing subsystems for aerospace and defense applications. The company’s products are built to address the stringent security, safety and reliability requirements of mission-critical programs, with a focus on radar, electronic warfare, intelligence and other sensor and processing functions. Mercury’s offerings encompass rugged embedded computing modules, high-performance radio frequency (RF) and microwave components, digital signal processing subsystems and secure networking solutions.

Since its origins in advanced signal processing, Mercury Systems has expanded its capabilities through a combination of internal development and targeted acquisitions.