Insider Selling: Mercury Systems (NASDAQ:MRCY) EVP Sells $147,882.75 in Stock

Mercury Systems Inc (NASDAQ:MRCY) EVP David Farnsworth sold 1,345 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $109.95, for a total transaction of $147,882.75. Following the sale, the executive vice president owned 140,081 shares of the company’s stock, valued at approximately $15,401,905.95. This represents a 0.95% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Mercury Systems Stock Down 3.0%

MRCY stock opened at $91.36 on Friday. Mercury Systems Inc has a 12-month low of $65.04 and a 12-month high of $128.45. The company has a quick ratio of 2.15, a current ratio of 2.96 and a debt-to-equity ratio of 0.29. The company has a market cap of $5.49 billion, a price-to-earnings ratio of -182.72 and a beta of 0.95. The company has a 50 day moving average of $107.54 and a two-hundred day moving average of $94.85.

Mercury Systems (NASDAQ:MRCY) last posted its quarterly earnings results on Tuesday, August 18th. The technology company reported $0.37 EPS for the quarter, missing the consensus estimate of $0.38 by ($0.01). Mercury Systems had a negative net margin of 3.02% and a positive return on equity of 1.29%. The company had revenue of $289.78 million for the quarter, compared to analysts’ expectations of $266.09 million. During the same quarter in the prior year, the firm earned $0.47 earnings per share. The company’s revenue was up 6.1% on a year-over-year basis. On average, equities analysts anticipate that Mercury Systems Inc will post 0.77 earnings per share for the current fiscal year.

Mercury Systems News Roundup

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

• Positive Sentiment: Mercury Systems reported record fourth-quarter bookings of approximately $660 million, up 93.1% year over year, with a 2.28 book-to-bill ratio. Backlog surpassed $1.9 billion, a 38.4% increase, providing stronger revenue visibility as production ramps. Mercury Systems Reports Fourth Quarter and Fiscal 2026 Results
• Positive Sentiment: Revenue increased 6.1% year over year to approximately $290 million, exceeding the roughly $266 million analyst estimate. RBC raised its target to $120, Piper Sandler lifted its target to $131 while maintaining an Overweight rating, and Baird also forecast substantial upside. Robert W. Baird Forecasts Strong Price Appreciation
• Neutral Sentiment: CEO William Ballhaus and several executives sold shares in transactions from August 17–20. The sales totaled several million dollars, but SEC filings said they were intended to cover tax withholding on vested equity awards. That reduces their value as a bearish signal, although no insider purchases were reported. Mercury Systems SEC Insider Trading Filing
• Negative Sentiment: Adjusted EPS was $0.37, narrowly missing the $0.38 consensus and falling from $0.47 a year earlier. GAAP EPS was $0.01, while adjusted EBITDA declined to $49 million from $51 million and free cash flow fell to $29 million from $34 million. The earnings shortfall appears to have outweighed the strong bookings and revenue figures. Mercury Systems Drops as EPS Miss Overshadows Record Bookings
• Negative Sentiment: Investors are also evaluating Mercury’s exposure to semiconductor-price volatility. Because many contracts are fixed-price, higher component costs could pressure margins before the company can adjust pricing or supply arrangements. Mercury Systems Fixed-Price Contract Risk

Analyst Ratings Changes

Several brokerages recently commented on MRCY. Royal Bank Of Canada boosted their price target on Mercury Systems from $105.00 to $120.00 and gave the company an “outperform” rating in a research note on Wednesday. The Goldman Sachs Group lifted their target price on shares of Mercury Systems from $60.00 to $68.00 and gave the company a “sell” rating in a research note on Monday, May 11th. Truist Financial increased their price target on shares of Mercury Systems from $109.00 to $120.00 and gave the stock a “buy” rating in a research note on Thursday. Deutsche Bank Aktiengesellschaft lowered shares of Mercury Systems to a “hold” rating in a research note on Wednesday, August 12th. Finally, Robert W. Baird increased their target price on shares of Mercury Systems from $120.00 to $130.00 and gave the stock an “outperform” rating in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $110.10.

Institutional Trading of Mercury Systems

Large investors have recently modified their holdings of the company. BlackRock Inc. bought a new position in Mercury Systems in the 2nd quarter worth $1,146,342,000. State Street Corp boosted its holdings in Mercury Systems by 12.1% during the fourth quarter. State Street Corp now owns 3,423,600 shares of the technology company’s stock valued at $249,957,000 after acquiring an additional 368,242 shares during the period. Invesco Ltd. grew its position in shares of Mercury Systems by 25.1% in the fourth quarter. Invesco Ltd. now owns 1,910,742 shares of the technology company’s stock valued at $139,503,000 after purchasing an additional 383,299 shares during the last quarter. T. Rowe Price Investment Management Inc. grew its position in shares of Mercury Systems by 1.4% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 1,542,851 shares of the technology company’s stock valued at $112,644,000 after purchasing an additional 21,182 shares during the last quarter. Finally, Geode Capital Management LLC increased its stake in shares of Mercury Systems by 3.6% in the fourth quarter. Geode Capital Management LLC now owns 1,368,659 shares of the technology company’s stock worth $99,940,000 after purchasing an additional 47,174 shares during the period. 95.99% of the stock is owned by institutional investors.

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.