Kratos Zeus SRMs Are Specifically Designed for Affordable, Rapid, Full-Rate Production, to Enable National Security Customers to Fly More Often, Faster and Farther, Using Fewer Stages, at a Substantially Reduced CostSAN DIEGO, Dec. 23, 2025 (GLOBE NEWSWIRE) -- Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS), a leader in defense, national security and global markets, announced today that it has issued a letter of intent to L3Harris Technologies (LHX: NYSE) for an order of 40 Zeus 1 and 20 Zeus 2 hyp ...

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) is one of the best aerospace and defense stocks to buy according to Wall Street analysts. On December 11, analysts at Truist Securities reiterated a Buy rating and a $125 price target. Kratos Defense & Security Solutions, Inc. (KTOS) Expands in Canada in Pursuit of PT6A and PT6T Engine Overhaul Opportunities Everett Historical / shutterstock.com The positive stance follows the company’s opening of a new 10,000-square-foot facility in Vancouver, Bri ...

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) is one of the best aerospace and defense stocks to buy according to Wall Street analysts. On December 11, analysts at Truist Securities reiterated a Buy rating and a $125 price target. Kratos Defense & Security Solutions, Inc. (KTOS) Expands in Canada in Pursuit of PT6A and PT6T Engine Overhaul Opportunities Everett Historical / shutterstock.com The positive stance follows the company’s opening of a new 10,000-square-foot facility in Vancouver, Bri ...

Key Points KeyBanc analyst Michael Leshock initiated coverage on Kratos stock with a buy rating today. Leshock sees Kratos as a strong investment based on its exposure to high-growth Pentagon projects. 10 stocks we like better than Kratos Defense & Security Solutions › Military drones manufacturer Kratos Defense & Security Solutions (NASDAQ: KTOS) stock gained 4.5% through 1:30 p.m. ET Friday. You can thank KeyBanc analyst Michael Leshock for that. This morning, Leshock initiated coverage on Kratos ...

Several space and defense technology companies’ stocks moved sharply higher after KeyBanc Capital Markets initiated coverage across the group, as investors reacted to bullish long-term growth commentary and newly established price forecasts tied to defense modernization and the expanding commercial space economy.KeyBanc analyst Michael Leshock said Space & Defense Technology could emerge as one of the strongest growth segments within Aerospace & Defense over the next decade.He pointed to elevated geopolitic ...

Core Insights - Mr. Mavroudis is a professional portfolio manager with a focus on risk management and in-depth financial market analysis [1] - He has successfully navigated major crises, including the COVID-19 pandemic and the PSI [1] - Mr. Mavroudis is the CEO of FAST FINANCE Investment Services, a registered Greek company [1] Professional Background - Mr. Mavroudis holds multiple degrees, including an MSc in Financial and Banking Management, an LLM in Law, and a BSc in Economics, graduating as valedictorian [1] - He is certified in various financial disciplines, including portfolio management and derivatives [1] - He engages with the investment community through writing, teaching, and media appearances [1]

Core Insights - Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) is recognized as one of the best aerospace stocks to buy according to analysts [1] - The company has opened a new 10,000 square foot facility in British Columbia dedicated to the overhaul of PT6A and PT6T engines, which are widely used in aviation [1][2] - Analyst Mike Crawford from B. Riley Securities upgraded KTOS from Hold to Buy with a price target of $105, citing a better risk/reward profile due to proprietary IP and strengths in C5ISR, hypersonics, and autonomy systems [3] Company Overview - Kratos Defense & Security Solutions, Inc. develops advanced technology, products, and systems for defense, national security, and commercial markets [4] - The company operates two main segments: Government Solutions and Unmanned Systems [4] Facility Expansion - The new facility is specifically designed for the maintenance, repair, and overhaul of PT6A and PT6T engines, allowing the company to expand capabilities and improve services for its Canadian operations [2]

Core Insights - Kratos Defense & Security Solutions, Inc. (KTOS) is positioned to benefit from the growing demand for affordable rocket systems and solid rocket motors (SRMs) in the hypersonic weapons and testing market [1] Group 1: Product Offerings - The Zeus SRMs from Kratos Defense are designed for low-cost, high-performance propulsion, suitable for hypersonic tests, missile targets, and other defense missions [2] - The Zeus family allows for more frequent, longer, and cheaper test flights, providing a competitive advantage in the hypersonic development sector [3] - The Oriole Rocket Motor System is a versatile propulsion system for suborbital launch vehicles, featuring a redundant digital ignition system and optional thrust-vector control [4] Group 2: Market Position and Performance - Kratos Defense's affordable rocket technology enables quick and cost-effective delivery of high-performance systems, enhancing its position in the defense launch market [5] - Major defense companies, including L3Harris Technologies and Northrop Grumman, are expanding their production capacities to meet the rising demand for rocket motors and SRMs [6][7] - KTOS shares have increased by 95.8% over the past six months, significantly outperforming the industry growth of 7.8% [9][13] Group 3: Financial Estimates - The Zacks Consensus Estimate indicates a year-over-year EPS growth of 4.08% for 2025 and 38.95% for 2026 [8] - Current estimates for KTOS's EPS are 0.14 for the current quarter and 0.51 for the current year, with a projected increase to 0.71 for the next year [10] Group 4: Valuation - KTOS is trading at a forward 12-month price-to-sales (P/S) ratio of 8.22X, which is below the industry average of 9.87X, indicating a potential valuation opportunity [11]

Core Insights - Kratos Defense & Security Solutions, Inc. has opened a new 10,000 square foot facility for PT6A and PT6T engine overhaul in Vancouver, British Columbia, marking a significant milestone in the company's growth and support for the engine market [1][2] - The new facility enhances operational efficiency and collaboration, providing the necessary infrastructure to meet industry demands, reflecting Kratos' commitment to innovative solutions [1][2] - This expansion strengthens Kratos' operations in Bristow, Oklahoma, improving service delivery for Canadian operators and positioning the company to better support its partners with increased responsiveness and reliability [2][3] Company Overview - Kratos Defense & Security Solutions is a technology and products company focused on defense, national security, and commercial markets, known for its innovative and cost-effective solutions [6] - The company emphasizes affordability as a technology and aims to utilize proven approaches to reduce costs and risks, enabling rapid market entry with effective solutions [6] - Kratos' primary business areas include virtualized ground systems, unmanned aerial drone systems, propulsion systems, and advanced vehicles, among others [6]

Core Thesis - Kratos Defense & Security Solutions, Inc. is transitioning from a high-concept defense innovator to a revenue-generating company, with a current share price of $76.10 and trailing and forward P/E ratios of 585.38 and 158.73 respectively [1][2] Financial Performance - In Q3 2025, total revenue increased by 26% year-over-year to $347.6 million, driven by a 36% surge in the unmanned systems segment due to Valkyrie drone production and delivery [3] - The company reported adjusted EPS of $0.14, surpassing expectations, and a GAAP net profit of $8.7 million, indicating a shift into profitability [3] Strategic Vision and Execution - The performance aligns with CEO Eric DeMarco's vision of low-cost, AI-enabled expendable combat aircraft, moving from conceptualization to actual production [4] - Free cash flow remains negative at $41 million, primarily due to $28 million in strategic capital expenditures for new factories, supporting a record backlog of $1.48 billion and a bid pipeline of $13.5 billion [4] Segment Analysis - The Government Solutions (KGS) segment is a stable cash generator, benefiting from Defense Rocket Support Systems, hypersonic test targets, and satellite control systems [5] - Long-term guidance forecasts 15–20% revenue growth for 2026 and 18–23% for 2027, supported by domestic demand and new international opportunities following MTCR export rule adjustments [5] Valuation Insights - Valuation analysis indicates a FY26 forward P/S of 6.38x and a DCF-derived intrinsic value of $70–$85 per share, suggesting the stock is reasonably priced relative to its growth potential [6] - The company is strategically positioned at the intersection of autonomous drones, hypersonic systems, and space communications, offering substantial upside if it successfully navigates these growth vectors [6]