Latest news with #KTOS
Yahoo
2 days ago
- Business
- Yahoo
Kratos Defense & Security Solutions, Inc (KTOS): A Bull Case Theory
We came across a bullish thesis on Kratos Defense & Security Solutions, Inc on Polymath Investor substack by Polymath. In this article, we will summarize the bulls' thesis on KTOS. Kratos Defense & Security Solutions, Inc's share was trading at $42.16 as of 18th June. KTOS's trailing and forward P/E were 324.31 and 79.37 respectively according to Yahoo Finance. A drone taking off from a commercial warehouse, representing the company's custom manufacturing capabilities. Kratos Defense & Security Solutions (KTOS) stands out as a rare publicly traded company offering direct exposure to the rapidly growing tactical drone and unmanned aerial vehicle (UAV) market. Its Unmanned Systems segment, in particular, is the primary reason investors are taking notice. Positioned in a high-priority niche for the Pentagon, Kratos is investing heavily in next-generation drone and space technologies, which represent critical capabilities for modern defense. These areas are seeing increasing government focus, suggesting strong long-term tailwinds. However, the aggressive reinvestment into these growth opportunities has kept consolidated profits relatively flat for now. The company's strategy reflects a long-term vision, with current spending aimed at capturing future defense budgets and technological leadership. Despite the promising outlook, Kratos is not without risks. The unpredictable nature of defense contract timing—where delays or cancellations can significantly impact performance—remains a key concern. Additionally, the company's reliance on equity issuance to fund growth introduces short-term dilution, which may deter some investors. Yet, for those who believe in the secular growth of tactical drones and trust in Kratos's strategic positioning, the company could emerge as a leader in an increasingly vital segment of defense technology. With few public peers offering this level of exposure to unmanned systems, Kratos presents a unique opportunity to gain early-stage access to a sector likely to see substantial expansion, driven by evolving military needs and increasing autonomy in combat systems. As such, the current period of heavy investment may eventually give way to meaningful returns, making Kratos a compelling long-term play. Previously we covered a bullish thesis on Kratos Defense & Security Solutions, Inc. (KTOS) by Kooky_Lime1793 in January 2025, which highlighted the company's $1.45 billion hypersonic test contract, growing prominence in autonomous military drones, and partnerships with RocketLab and Leidos. The company's stock price has appreciated approximately by 47% since our coverage. This is because the thesis played out with strong government backing and strategic execution. The thesis still stands as Kratos remains well-positioned in defense innovation. Polymath shares a similar outlook but emphasizes Kratos' long-term positioning in tactical drones despite current profit headwinds. KTOS isn't on our list of the 30 Most Popular Stocks Among Hedge Funds. While we acknowledge the risk and potential of KTOS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
03-07-2025
- Business
- Yahoo
Kratos Defense (KTOS) Drops 7.3% as Traders Pocket Gains After All-Time High
Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) is one of . Kratos Defense dropped its share prices by 7.28 percent on Tuesday to close at $43.07 apiece as investors resorted to profit-taking after hitting a new all-time high in the previous trading. On Monday, Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) soared to an all-time high of $47.09 after successfully raising $575 million from a share sale program. According to the company, it was able to sell more than 14.9 million common shares at a price of $38.5 apiece. The total amount included the overallotment option worth $75 million. Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) said that net proceeds from the offer will be used to fund investments critical to national security, targeted acquisitions, and other general corporate purposes, including the repayment of existing debt and fees related to the offering. In recent news, the company earned a 'buy' recommendation and a higher price target of $52 from Truist Securities. The new price target marked a 37-percent increase from its previous price target of $38. A technician in a laboratory carrying out research and development of microwave electronics. According to Truist, the new projects have the potential to raise the listed firm's revenues by $150 million in the coming years, adding that it was bullish on the company for this year and the next amid higher growth expectations from the new contracts. While we acknowledge the potential of KTOS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
28-06-2025
- Business
- Yahoo
Kratos Defense (KTOS) Jumps 10.9% as Analyst Hikes Price Target
Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) is one of the . Kratos Defense jumped by 10.91 percent on Friday to close at $45.84 apiece following an investment firm's upgrade of its stock price target. In a market note on Thursday, Truist Securities said it raised its price target for Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) to $52 from $38 previously while maintaining a 'buy' recommendation. The new price marked a 13.4-percent upside from its latest closing price. A technician in a laboratory carrying out research and development of microwave electronics. The upgrade followed Kratos Defense & Security Solutions, Inc.'s (NASDAQ:KTOS) plans to raise $500 million through the issuance of 15 million additional shares in a bid to raise funds for new projects totaling $200 million. According to Truist, the new projects have the potential to raise the listed firm's revenues by $150 million in the coming years, adding that it was bullish on the company for this year and the next amid higher growth expectations from the new contracts. While we acknowledge the potential of KTOS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Business Insider
27-06-2025
- Business
- Business Insider
Stifel Nicolaus Sticks to Its Buy Rating for Kratos Defense (KTOS)
In a report released today, Jonathan Siegmann CFA from Stifel Nicolaus maintained a Buy rating on Kratos Defense (KTOS – Research Report), with a price target of $52.00. The company's shares closed yesterday at $42.33. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter The word on The Street in general, suggests a Strong Buy analyst consensus rating for Kratos Defense with a $43.57 average price target, a 2.93% upside from current levels. In a report released on June 23, Benchmark Co. also maintained a Buy rating on the stock with a $48.00 price target. The company has a one-year high of $46.52 and a one-year low of $17.91. Currently, Kratos Defense has an average volume of 2.36M. Based on the recent corporate insider activity of 121 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of KTOS in relation to earlier this year. Last month, Bobbi Doorenbos, a Director at KTOS sold 5,000.00 shares for a total of $175,000.00.
Business Insider
27-06-2025
- Business
- Business Insider
Kratos Defense (KTOS) Receives a Rating Update from a Top Analyst
In a report released today, Michael Ciarmoli from Truist Financial maintained a Buy rating on Kratos Defense (KTOS – Research Report), with a price target of $52.00. The company's shares closed today at $41.33. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter According to TipRanks, Ciarmoli is a top 100 analyst with an average return of 18.1% and a 68.92% success rate. Ciarmoli covers the Industrials sector, focusing on stocks such as Woodward, Howmet Aerospace, and Astronics. In addition to Truist Financial, Kratos Defense also received a Buy from Stifel Nicolaus's Jonathan Siegmann CFA in a report issued today. However, on June 16, J.P. Morgan maintained a Hold rating on Kratos Defense (NASDAQ: KTOS). KTOS market cap is currently $6.5B and has a P/E ratio of 335.15. Based on the recent corporate insider activity of 121 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of KTOS in relation to earlier this year. Last month, Boyd Bradley L, a Director at KTOS sold 3,800.00 shares for a total of $132,544.00.
