Kratos Defense & Security Solutions (NASDAQ:KTOS) CEO Sells $747,090.00 in Stock

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) CEO Eric Demarco sold 8,301 shares of the firm’s stock in a transaction dated Monday, January 5th. The shares were sold at an average price of $90.00, for a total value of $747,090.00. Following the completion of the transaction, the chief executive officer owned 878,816 shares in the company, valued at approximately $79,093,440. This represents a 0.94% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link.

Kratos Defense & Security Solutions Stock Performance

KTOS stock opened at $104.04 on Friday. The company has a market cap of $17.57 billion, a P/E ratio of 800.37 and a beta of 1.09. The business’s fifty day moving average is $77.68 and its 200-day moving average is $72.20. The company has a quick ratio of 3.68, a current ratio of 4.30 and a debt-to-equity ratio of 0.04. Kratos Defense & Security Solutions, Inc. has a twelve month low of $23.90 and a twelve month high of $112.57.

Kratos Defense & Security Solutions (NASDAQ:KTOS) last released its quarterly earnings data on Tuesday, November 4th. The aerospace company reported $0.14 earnings per share for the quarter, topping the consensus estimate of $0.12 by $0.02. Kratos Defense & Security Solutions had a net margin of 1.56% and a return on equity of 3.14%. The business had revenue of $347.60 million for the quarter, compared to analyst estimates of $323.01 million. During the same quarter last year, the firm earned $0.11 EPS. Kratos Defense & Security Solutions’s quarterly revenue was up 26.0% compared to the same quarter last year. Equities research analysts forecast that Kratos Defense & Security Solutions, Inc. will post 0.31 EPS for the current year.

Institutional Investors Weigh In On Kratos Defense & Security Solutions

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Alliancebernstein L.P. increased its position in shares of Kratos Defense & Security Solutions by 1,389.0% during the third quarter. Alliancebernstein L.P. now owns 2,707,776 shares of the aerospace company’s stock valued at $247,409,000 after buying an additional 2,525,921 shares during the period. Rovida Advisors Inc. bought a new stake in Kratos Defense & Security Solutions in the second quarter valued at approximately $82,315,000. Voya Investment Management LLC grew its holdings in Kratos Defense & Security Solutions by 129.2% in the 1st quarter. Voya Investment Management LLC now owns 2,163,223 shares of the aerospace company’s stock worth $64,226,000 after acquiring an additional 1,219,585 shares during the last quarter. Franklin Resources Inc. raised its position in Kratos Defense & Security Solutions by 29.6% during the 2nd quarter. Franklin Resources Inc. now owns 5,086,494 shares of the aerospace company’s stock valued at $236,268,000 after purchasing an additional 1,162,577 shares during the last quarter. Finally, Westfield Capital Management Co. LP purchased a new stake in shares of Kratos Defense & Security Solutions in the 3rd quarter worth about $91,901,000. Institutional investors own 75.92% of the company’s stock.

Analyst Ratings Changes

A number of research analysts recently weighed in on KTOS shares. Jones Trading started coverage on Kratos Defense & Security Solutions in a report on Monday. They set a “buy” rating on the stock. JMP Securities lifted their price target on Kratos Defense & Security Solutions from $70.00 to $105.00 and gave the company a “market outperform” rating in a research note on Thursday, October 2nd. BNP Paribas Exane began coverage on shares of Kratos Defense & Security Solutions in a research report on Tuesday, November 18th. They set a “neutral” rating and a $80.00 target price for the company. B. Riley downgraded Kratos Defense & Security Solutions from a “buy” rating to a “neutral” rating and lifted their target price for the stock from $72.00 to $105.00 in a report on Wednesday, October 8th. Finally, Stifel Nicolaus boosted their target price on Kratos Defense & Security Solutions from $70.00 to $112.00 and gave the company a “buy” rating in a research report on Wednesday, October 15th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $82.53.

Key Stories Impacting Kratos Defense & Security Solutions

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

• Positive Sentiment: White House defense focus and Kratos’ endorsement — Kratos publicly praised President Trump’s policy prioritizing reinvestment in defense capabilities over buybacks, which dovetails with proposed big defense spending that would benefit contractors with drone and unmanned systems exposure. Article Link
• Positive Sentiment: High‑profile program pairing — Northrop Grumman was awarded the Marine Corps’ MUX CCA work and will integrate Kratos’ Valkyrie UAS, boosting Kratos’ program visibility and potential upside from collaborative combat aircraft work. Article Link
• Positive Sentiment: Analyst coverage and price‑target momentum — Jones Trading initiated coverage with a buy, and other firms have raised targets recently (Canaccord, BTIG, Stifel), giving investors fresh sell‑side support. This underpins valuation upside expectations. Coverage Summary
• Positive Sentiment: Unusually large call buying — Market data shows a big jump in call option purchases (≈10,959 contracts), indicating speculative/institutional bullish positioning that can amplify intraday moves.
• Positive Sentiment: Social‑media and contract buzz — AI/aggregated social commentary highlights analyst upgrades, rumored ~$30M contract wins and increased attention on Kratos’ drone capabilities, raising investor interest. Quiver Summary
• Neutral Sentiment: Press and market write‑ups provide context — Coverage (MSN, Yahoo, MarketBeat) explains why KTOS is moving (policy, programs, upgrades) but some pieces are retrospective rather than new catalysts. MSN Article
• Negative Sentiment: Insider selling — CEO Eric DeMarco disclosed a large sale (~191,699 shares on Jan 6) and the CFO sold shares recently; large insider disposals can be perceived negatively by some investors. SEC filings: CEO SEC Filing and CFO SEC Filing
• Negative Sentiment: Profitability and cash‑burn concerns — Analysts and commentators note Kratos is growing revenue rapidly but remains unprofitable with margin pressure from fixed‑price contracts and heavy capex, a structural risk for long‑term valuation. Seeking Alpha

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.