Kratos Defense & Security Solutions (NASDAQ:KTOS) Stock Price Down 6% – Should You Sell?

07 Jul 2026, 21:40 by Mitch Edgeman · The Markets Daily

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS – Get Free Report) fell 6% during mid-day trading on Tuesday . The stock traded as low as $49.76 and last traded at $50.34. 3,615,823 shares were traded during mid-day trading, a decline of 21% from the average session volume of 4,598,861 shares. The stock had previously closed at $53.54.

Analyst Ratings Changes

A number of research analysts have commented on the company. Truist Financial upgraded Kratos Defense & Security Solutions to a “strong-buy” rating in a research note on Friday, May 1st. Citizens Jmp dropped their target price on Kratos Defense & Security Solutions from $125.00 to $105.00 and set a “market outperform” rating on the stock in a report on Friday, May 8th. BTIG Research reduced their price target on Kratos Defense & Security Solutions from $115.00 to $100.00 and set a “buy” rating on the stock in a research report on Thursday, May 7th. Wedbush started coverage on Kratos Defense & Security Solutions in a report on Tuesday, June 30th. They issued an “outperform” rating and a $85.00 price target for the company. Finally, JPMorgan Chase & Co. raised shares of Kratos Defense & Security Solutions from a “neutral” rating to an “overweight” rating and lowered their price objective for the company from $99.00 to $82.00 in a research report on Friday, June 12th. Three investment analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $100.44.

Check Out Our Latest Report on Kratos Defense & Security Solutions

Kratos Defense & Security Solutions Trading Down 6.0%

The business’s 50-day simple moving average is $56.40 and its two-hundred day simple moving average is $77.55. The company has a current ratio of 5.63, a quick ratio of 5.08 and a debt-to-equity ratio of 0.04. The company has a market capitalization of $9.44 billion, a PE ratio of 296.12 and a beta of 1.07.

Kratos Defense & Security Solutions (NASDAQ:KTOS – Get Free Report) last announced its earnings results on Wednesday, May 6th. The aerospace company reported $0.16 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.13 by $0.03. The business had revenue of $371.00 million for the quarter, compared to analyst estimates of $345.00 million. Kratos Defense & Security Solutions had a return on equity of 2.82% and a net margin of 2.08%.The company’s revenue for the quarter was up 22.6% compared to the same quarter last year. During the same period in the previous year, the company earned $0.12 earnings per share. On average, analysts predict that Kratos Defense & Security Solutions, Inc. will post 0.48 earnings per share for the current year.

Insider Activity at Kratos Defense & Security Solutions

In related news, Director Scot B. Jarvis sold 5,417 shares of Kratos Defense & Security Solutions stock in a transaction on Thursday, April 16th. The shares were sold at an average price of $75.90, for a total value of $411,150.30. Following the completion of the sale, the director owned 75,123 shares in the company, valued at approximately $5,701,835.70. The trade was a 6.73% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Deanna H. Lund sold 5,000 shares of the company’s stock in a transaction on Friday, May 1st. The shares were sold at an average price of $62.10, for a total transaction of $310,500.00. Following the completion of the sale, the chief financial officer directly owned 295,200 shares in the company, valued at $18,331,920. This represents a 1.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 161,453 shares of company stock worth $9,561,063. 1.50% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Kratos Defense & Security Solutions

Several hedge funds and other institutional investors have recently modified their holdings of KTOS. Harbor Investment Advisory LLC bought a new position in shares of Kratos Defense & Security Solutions during the second quarter worth about $25,000. Mcguire Capital Advisors Inc. bought a new stake in Kratos Defense & Security Solutions in the fourth quarter valued at about $25,000. Atlantic Union Bankshares Corp raised its stake in Kratos Defense & Security Solutions by 7,600.0% during the fourth quarter. Atlantic Union Bankshares Corp now owns 385 shares of the aerospace company’s stock valued at $29,000 after buying an additional 380 shares in the last quarter. Vision Retirement LLC raised its stake in Kratos Defense & Security Solutions by 288.2% during the first quarter. Vision Retirement LLC now owns 427 shares of the aerospace company’s stock valued at $30,000 after buying an additional 317 shares in the last quarter. Finally, Rakuten Securities Inc. bought a new position in Kratos Defense & Security Solutions during the 2nd quarter worth approximately $31,000. Institutional investors own 75.92% of the company’s stock.

About Kratos Defense & Security Solutions

(Get Free Report)

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.