Investors Buy High Volume of Kratos Defense & Security Solutions Call Options (NASDAQ:KTOS)

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) was the recipient of some unusual options trading on Thursday. Stock traders purchased 10,959 call options on the company. This is an increase of approximately 51% compared to the average volume of 7,280 call options.

Kratos Defense & Security Solutions Stock Up 9.3%

KTOS opened at $113.70 on Friday. The firm has a market cap of $19.20 billion, a price-to-earnings ratio of 874.68 and a beta of 1.09. The company has a debt-to-equity ratio of 0.04, a quick ratio of 3.68 and a current ratio of 4.30. The firm’s 50-day simple moving average is $78.14 and its 200-day simple moving average is $72.68. Kratos Defense & Security Solutions has a twelve month low of $23.90 and a twelve month high of $115.45.

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

Insider Buying and Selling

In related news, Director Scott I. Anderson sold 15,401 shares of the business’s stock in a transaction on Monday, December 15th. The shares were sold at an average price of $74.51, for a total transaction of $1,147,528.51. Following the transaction, the director owned 66,334 shares of the company’s stock, valued at approximately $4,942,546.34. The trade was a 18.84% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director William A. Hoglund sold 75,000 shares of the stock in a transaction dated Monday, December 1st. The shares were sold at an average price of $74.35, for a total transaction of $5,576,250.00. Following the completion of the sale, the director owned 147,193 shares of the company’s stock, valued at approximately $10,943,799.55. The trade was a 33.75% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 885,511 shares of company stock worth $70,988,315. 2.37% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Kratos Defense & Security Solutions

Several institutional investors have recently bought and sold shares of KTOS. Appleton Partners Inc. MA boosted its stake in Kratos Defense & Security Solutions by 8.3% in the fourth quarter. Appleton Partners Inc. MA now owns 148,287 shares of the aerospace company’s stock worth $11,256,000 after purchasing an additional 11,424 shares in the last quarter. SG Americas Securities LLC raised its holdings in shares of Kratos Defense & Security Solutions by 152.4% in the fourth quarter. SG Americas Securities LLC now owns 91,486 shares of the aerospace company’s stock valued at $6,945,000 after buying an additional 55,241 shares during the last quarter. Assenagon Asset Management S.A. acquired a new position in Kratos Defense & Security Solutions during the 4th quarter worth about $3,806,000. Parisi Gray Wealth Management grew its holdings in Kratos Defense & Security Solutions by 36.7% during the 4th quarter. Parisi Gray Wealth Management now owns 4,324 shares of the aerospace company’s stock worth $328,000 after acquiring an additional 1,162 shares during the last quarter. Finally, Aventura Private Wealth LLC bought a new stake in Kratos Defense & Security Solutions during the 4th quarter worth about $121,000. Institutional investors own 75.92% of the company’s stock.

Analysts Set New Price Targets

KTOS has been the topic of several recent research reports. B. Riley lifted their price objective on Kratos Defense & Security Solutions from $105.00 to $128.00 and gave the stock a “buy” rating in a report on Friday. Truist Financial set a $135.00 target price on Kratos Defense & Security Solutions in a research note on Friday. KeyCorp assumed coverage on shares of Kratos Defense & Security Solutions in a research note on Thursday, December 18th. They set an “overweight” rating and a $90.00 price target on the stock. BNP Paribas set a $80.00 price target on shares of Kratos Defense & Security Solutions in a report on Tuesday, November 18th. Finally, JMP Securities raised their price objective on shares of Kratos Defense & Security Solutions from $70.00 to $105.00 and gave the stock a “market outperform” rating in a report on Thursday, October 2nd. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $84.47.

Kratos Defense & Security Solutions News Roundup

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

• Positive Sentiment: Northrop Grumman selected Kratos’ Valkyrie UAS to support the Marine Corps’ Collaborative Combat Aircraft program — a strategic, high‑visibility contract that showcases Kratos’ unmanned systems capability and could drive multi‑year revenue. Northrop Grumman to Rapidly Develop Marine Corps CCA with Kratos’ Valkyrie UAS
• Positive Sentiment: Kratos publicly backed President Trump’s emphasis on reinvestment in defense (over buybacks), aligning the company with potential policy tailwinds and larger defense budgets. Kratos Applauds Focus on Reinvestment to Strengthen Defense Readiness
• Positive Sentiment: Analyst momentum and buy ratings (including a recent Jones Research buy and $150 target cited in coverage) plus institutional buying have amplified bullish investor sentiment. Kratos Defense & Security Solutions Stock (KTOS) Opinions on Recent Price Surge and Analyst Rating
• Positive Sentiment: Unusually large options activity: elevated call buying indicates speculative bullish positioning that can amplify intraday moves. (No single article link available for the trade alert.)
• Neutral Sentiment: Zacks notes KTOS has jumped ~35% in a month on contract wins and unmanned system demand but warns weaker ROIC and sector risks complicate optimal entry timing. Kratos Defense Stock Rises 35.3% in a Month: Here’s How to Play
• Neutral Sentiment: Coverage pieces (Seeking Alpha / Yahoo) highlight strong revenue growth guidance but reiterate that Kratos remains unprofitable with cash burn and margin pressure — important when weighing valuation. Trump’s ‘Dream Military’ Is A Game Changer For Kratos: My Volatility Playbook
• Negative Sentiment: Heavy insider selling: disclosure and data show numerous executive sales over recent months (CEO and other senior officers have sold significant positions), which can concern investors about timing and dilution. Kratos Defense & Security Solutions Stock (KTOS) Opinions on Recent Price Surge and Analyst Rating
• Negative Sentiment: Recent SEC/filing reports show specific large insider sales (e.g., CEO sale in the millions), reinforcing near‑term selling pressure risk. Insider Selling: Kratos Defense & Security Solutions (NASDAQ:KTOS) CEO Sells $17,306,585.72 in Stock

Kratos Defense & Security Solutions Company Profile

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.