BTIG Research Forecasts Strong Price Appreciation for Kratos Defense & Security Solutions (NASDAQ:KTOS) Stock

Kratos Defense & Security Solutions (NASDAQ:KTOS) had its target price lifted by research analysts at BTIG Research from $100.00 to $104.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The firm presently has a “buy” rating on the aerospace company’s stock. BTIG Research’s price objective would suggest a potential upside of 100.50% from the stock’s previous close.

A number of other equities analysts have also recently issued reports on the stock. Citigroup reissued a “market outperform” rating on shares of Kratos Defense & Security Solutions in a research report on Tuesday, July 28th. UBS Group reaffirmed a “neutral” rating and set a $82.00 price target on shares of Kratos Defense & Security Solutions in a research note on Thursday, May 7th. Clear Str upgraded Kratos Defense & Security Solutions to a “strong-buy” rating in a report on Wednesday, April 29th. Citizens Jmp reduced their price objective on Kratos Defense & Security Solutions from $125.00 to $105.00 and set a “market outperform” rating for the company in a research note on Friday, May 8th. Finally, BNP Paribas Exane boosted their price objective on Kratos Defense & Security Solutions from $80.00 to $85.00 and gave the company a “neutral” rating in a report on Thursday, May 7th. Three research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Buy” and an average price target of $102.12.

Kratos Defense & Security Solutions Trading Up 5.4%

NASDAQ KTOS opened at $51.87 on Wednesday. The firm has a market capitalization of $9.73 billion, a PE ratio of 305.12 and a beta of 1.08. The business’s 50-day moving average price is $52.54 and its two-hundred day moving average price is $71.64. The company has a current ratio of 5.63, a quick ratio of 5.08 and a debt-to-equity ratio of 0.04. Kratos Defense & Security Solutions has a 12 month low of $43.09 and a 12 month high of $134.00.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last released its quarterly earnings results on Tuesday, August 4th. The aerospace company reported $0.21 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.14 by $0.07. The firm had revenue of $458.80 million during the quarter, compared to analyst estimates of $410.36 million. Kratos Defense & Security Solutions had a net margin of 2.08% and a return on equity of 2.82%. The company’s revenue was up 30.5% compared to the same quarter last year. During the same quarter last year, the business earned $0.11 EPS. On average, analysts expect that Kratos Defense & Security Solutions will post 0.48 EPS for the current year.

Insider Buying and Selling

In other Kratos Defense & Security Solutions news, insider Jonah Adelman sold 31,348 shares of the firm’s stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $57.06, for a total transaction of $1,788,716.88. Following the transaction, the insider directly owned 8,000 shares in the company, valued at approximately $456,480. This trade represents a 79.67% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Steven S. Fendley sold 35,000 shares of the firm’s stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $58.23, for a total transaction of $2,038,050.00. Following the transaction, the insider directly owned 309,087 shares in the company, valued at $17,998,136.01. The trade was a 10.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 139,036 shares of company stock valued at $7,799,667. 1.50% of the stock is currently owned by company insiders.

Institutional Trading of Kratos Defense & Security Solutions

A number of institutional investors and hedge funds have recently modified their holdings of the business. Ausbil Investment Management Ltd bought a new position in Kratos Defense & Security Solutions in the 2nd quarter valued at $296,000. Hennion & Walsh Asset Management Inc. increased its holdings in Kratos Defense & Security Solutions by 4.0% during the second quarter. Hennion & Walsh Asset Management Inc. now owns 72,660 shares of the aerospace company’s stock worth $3,623,000 after buying an additional 2,808 shares during the last quarter. Polianta Ltd purchased a new position in Kratos Defense & Security Solutions in the second quarter valued at about $1,600,000. Assenagon Asset Management S.A. boosted its stake in Kratos Defense & Security Solutions by 80.2% in the second quarter. Assenagon Asset Management S.A. now owns 70,254 shares of the aerospace company’s stock valued at $3,503,000 after acquiring an additional 31,273 shares during the last quarter. Finally, Byrne Asset Management LLC purchased a new stake in shares of Kratos Defense & Security Solutions during the 2nd quarter worth approximately $124,000. 75.92% of the stock is owned by hedge funds and other institutional investors.

Key Kratos Defense & Security Solutions News

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

• Positive Sentiment: Quarterly results exceeded expectations. Kratos reported second-quarter revenue of $458.8 million, up 30.5% year over year and above the $410.4 million consensus estimate. Adjusted EPS of $0.21 also surpassed estimates of approximately $0.13-$0.14 and increased from $0.11 a year earlier. Kratos Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Growth was broad-based, led by government solutions. Kratos Government Solutions revenue rose 36.4% to $379.7 million, with 22% organic growth, while Unmanned Systems revenue increased 8.1% to $79.1 million. The results reinforce demand for the company’s hypersonic, missile-defense, drone and other national-security programs. Kratos Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Management raised expectations for continued expansion. Kratos forecasts 19%-23% organic revenue growth in 2026 and is targeting production of 3,000 Spartan engines in 2027, signaling confidence in future production demand and defense-program execution. Kratos forecasts 2026 organic revenue growth
• Positive Sentiment: Forward revenue guidance was encouraging. Full-year 2026 revenue guidance of roughly $1.8 billion exceeds the $1.7 billion analyst consensus. The midpoint of third-quarter guidance, $470 million, is modestly above expectations and implies continued year-over-year growth. Kratos Q2 2026 Earnings Call Transcript
• Neutral Sentiment: Analyst sentiment remains favorable but valuation is demanding. Cantor Fitzgerald lowered its price target to $100 from $115 while retaining an “overweight” rating. KTOS trades at a very high earnings multiple, and its approximately 2% net margin leaves limited room for execution disappointments. Cantor Fitzgerald price target update

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.