Financial Analysis: Mercury Systems (MRCY) vs. The Competition
Mercury Systems (NASDAQ: MRCY) is one of 44 publicly-traded companies in the “Aerospace & Defense” industry, but how does it weigh in compared to its rivals? We will compare Mercury Systems to related companies based on the strength of its earnings, analyst recommendations, profitability, dividends, risk, institutional ownership and valuation.
Risk and Volatility
Mercury Systems has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500. Comparatively, Mercury Systems’ rivals have a beta of 1.06, indicating that their average share price is 6% more volatile than the S&P 500.
This table compares Mercury Systems and its rivals’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Mercury Systems Competitors||-5.04%||24.59%||3.95%|
Earnings & Valuation
This table compares Mercury Systems and its rivals gross revenue, earnings per share and valuation.
|Gross Revenue||EBITDA||Price/Earnings Ratio|
|Mercury Systems||$408.59 million||$77.23 million||91.09|
|Mercury Systems Competitors||$8.56 billion||$1.20 billion||81.59|
Mercury Systems’ rivals have higher revenue and earnings than Mercury Systems. Mercury Systems is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.
This is a breakdown of recent ratings and price targets for Mercury Systems and its rivals, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Mercury Systems Competitors||473||2095||2320||82||2.40|
Mercury Systems currently has a consensus price target of $48.00, suggesting a potential downside of 9.14%. As a group, “Aerospace & Defense” companies have a potential upside of 3.60%. Given Mercury Systems’ rivals higher probable upside, analysts plainly believe Mercury Systems has less favorable growth aspects than its rivals.
Institutional & Insider Ownership
96.4% of Mercury Systems shares are owned by institutional investors. Comparatively, 70.3% of shares of all “Aerospace & Defense” companies are owned by institutional investors. 3.5% of Mercury Systems shares are owned by insiders. Comparatively, 7.1% of shares of all “Aerospace & Defense” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Mercury Systems rivals beat Mercury Systems on 9 of the 13 factors compared.
About Mercury Systems
Mercury Systems, Inc. is a commercial provider of secure processing subsystems designed and made in the United States. The Company’s solutions support a range of defense and intelligence programs. Its technologies include embedded processing modules and subsystems, radio frequency (RF) and microwave multi-function assemblies, as well as subsystems, and RF and microwave components. It designs and builds RF and microwave components and subsystems for the electronic warfare (EW), signals intelligence (SIGINT) and other communications requirements and applications. It offers analyst services and systems engineering support, consulting, maintenance and other support, testing and installation. It designs, markets and sells software and middleware environments for the development and execution of signal and image processing applications on a range of heterogeneous and multi-computing platforms. It also offers solutions in mission computing, safety-critical avionics and platform management.
Receive News & Ratings for Mercury Systems Inc Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mercury Systems Inc and related companies with MarketBeat.com's FREE daily email newsletter.