Kratos Defense & Security Solutions (NASDAQ:KTOS) Upgraded at Jefferies Financial Group

Jefferies Financial Group upgraded shares of Kratos Defense & Security Solutions (NASDAQ:KTOS) from a hold rating to a buy rating in a research report released on Monday morning, MarketBeat reports. The firm currently has $85.00 price objective on the aerospace company’s stock.

A number of other research firms also recently commented on KTOS. Citizens Jmp increased their price objective on Kratos Defense & Security Solutions from $105.00 to $125.00 and gave the company a “market outperform” rating in a report on Monday, January 12th. KeyCorp raised their price target on Kratos Defense & Security Solutions from $90.00 to $130.00 and gave the stock an “overweight” rating in a research note on Wednesday, January 28th. UBS Group began 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. The Goldman Sachs Group raised their price target on Kratos Defense & Security Solutions from $93.00 to $125.00 and gave the stock a “buy” rating in a research note on Tuesday, January 20th. Finally, Cantor Fitzgerald restated an “overweight” rating and set a $115.00 price target on shares of Kratos Defense & Security Solutions in a research note on Tuesday, February 24th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $98.28.

Kratos Defense & Security Solutions Trading Up 3.5%

KTOS opened at $74.46 on Monday. Kratos Defense & Security Solutions has a one year low of $28.39 and a one year high of $134.00. The company has a market cap of $13.95 billion, a P/E ratio of 572.81 and a beta of 1.22. The company has a debt-to-equity ratio of 0.05, a quick ratio of 3.46 and a current ratio of 4.06. The business’s 50-day simple moving average is $87.22 and its 200-day simple moving average is $87.82.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last released 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 business had revenue of $345.10 million for the quarter, compared to the consensus estimate of $327.51 million. During the same quarter in the prior year, the business posted $0.13 EPS. The business’s revenue for the quarter was up 21.9% on a year-over-year basis. As a group, equities research analysts expect that Kratos Defense & Security Solutions will post 0.31 EPS for the current fiscal year.

Insider Activity

In other Kratos Defense & Security Solutions news, Director Scott I. Anderson sold 15,000 shares of the stock in a transaction that occurred on Monday, March 16th. The stock was sold at an average price of $89.11, for a total transaction of $1,336,650.00. Following the completion of the sale, the director directly owned 51,334 shares of the company’s stock, valued at approximately $4,574,372.74. This trade represents a 22.61% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Phillip D. Carrai sold 6,500 shares of the stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $90.91, for a total value of $590,915.00. Following the sale, the insider directly owned 213,325 shares of the company’s stock, valued at $19,393,375.75. The trade was a 2.96% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 186,354 shares of company stock worth $16,947,994 over the last ninety days. 2.37% of the stock is owned by corporate insiders.

Institutional Trading of Kratos Defense & Security Solutions

A number of hedge funds have recently added to or reduced their stakes in KTOS. Alliancebernstein L.P. lifted its position in Kratos Defense & Security Solutions by 1,389.0% during the 3rd quarter. Alliancebernstein L.P. now owns 2,707,776 shares of the aerospace company’s stock worth $247,409,000 after acquiring an additional 2,525,921 shares during the period. Corient Private Wealth LLC lifted its position in Kratos Defense & Security Solutions by 7,701.6% during the 4th quarter. Corient Private Wealth LLC now owns 1,593,549 shares of the aerospace company’s stock worth $120,966,000 after acquiring an additional 1,573,123 shares during the period. Norges Bank acquired a new stake in Kratos Defense & Security Solutions during the 4th quarter worth approximately $104,807,000. Westfield Capital Management Co. LP acquired a new stake in Kratos Defense & Security Solutions during the 3rd quarter worth approximately $91,901,000. Finally, First Trust Advisors LP lifted its position in Kratos Defense & Security Solutions by 29.5% during the 3rd quarter. First Trust Advisors LP now owns 3,068,863 shares of the aerospace company’s stock worth $280,402,000 after acquiring an additional 698,778 shares during the period. 75.92% of the stock is owned by institutional investors and hedge funds.

Kratos Defense & Security Solutions News Roundup

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

• Positive Sentiment: Kratos won a Space Systems Command Other Transaction Agreement (OTA) worth up to $446.8–$447 million to design, integrate and operate a resilient missile-warning and missile-tracking ground management & integration (GMI) system for emerging MEO space-sensing constellations — a multi-year, programmatic award that supports recurring revenue and strengthens Kratos’ space-systems backlog. Read More.
• Positive Sentiment: Jefferies upgraded KTOS to Buy (with an $85 price target), highlighting growth opportunities from hypersonics, drones and space programs — the upgrade and related headlines triggered strong buying and helped lift sentiment. Read More.
• Positive Sentiment: Sector and coverage momentum: multiple analyst/press pieces (Zacks, MarketBeat, Yahoo) are spotlighting Kratos as a leading “drone disruptor” with attractive positioning in high-volume unmanned systems and partnerships (including recent collaboration news on satellite ground systems). This thematic coverage reinforces investor interest in KTOS’s long-term addressable market. Read More.
• Neutral Sentiment: Additional contract flow: Kratos received smaller awards (e.g., Naval Surface Warfare Centre work for solid rocket motors and related UAV support), which add to near-term bookings but are less transformative than the Space Systems Command OTA. Read More.
• Neutral Sentiment: Analyst debate on valuation and timing: coverage titled “Is KTOS a Buy, Hold or Sell?” reviews a 150% one‑year run and weighs growth vs. costs — useful for investors but not a new fundamental catalyst. Read More.
• Neutral Sentiment: Macro/sector noise: reports that defense stocks were mixed after an Iran cease-fire show that geopolitical shifts can temporarily compress demand expectations across names; Kratos may be less sensitive to single-theater moves because of diversified space, missile, and unmanned programs. Read More.
• Negative Sentiment: Risk/valuation concerns: critical pieces (e.g., Seeking Alpha) and the company’s very high trailing P/E reflect investor skepticism about sustainability of margins and the premium investors are paying — these raise downside risk if growth or contract execution disappoints. Read More.

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.