Mercury Systems Inc (NASDAQ:MRCY) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Mercury Systems has a “Moderate Buy” consensus rating from 13 analysts, with five buys, two strong buys, four holds and two sells. The average 12-month price target is $112.80.
• Shares opened at $82.94 and were trading below their moving averages, while the company’s latest quarterly revenue rose 6.1% year over year to $289.78 million. Earnings per share of $0.37 narrowly missed the $0.38 consensus estimate.
• Insiders sold 451,186 shares worth approximately $41.9 million during the last quarter, while institutional investors own 95.99% of the company. BlackRock was among the institutions establishing a new position.

Mercury Systems Inc (NASDAQ:MRCY - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the thirteen ratings firms that are presently covering the firm, Marketbeat reports. Two analysts have rated the stock with a sell recommendation, four have given a hold recommendation, five have assigned a buy recommendation and two have assigned a strong buy recommendation to the company. The average twelve-month price target among brokers that have issued a report on the stock in the last year is $112.80.

MRCY has been the topic of several recent analyst reports. Weiss Ratings downgraded shares of Mercury Systems from a "sell (d)" rating to a "sell (d-)" rating in a research note on Monday, September 28th. Truist Financial boosted their price objective on shares of Mercury Systems from $109.00 to $120.00 and gave the company a "buy" rating in a research report on Thursday, August 20th. Wall Street Zen lowered shares of Mercury Systems from a "buy" rating to a "hold" rating in a research report on Saturday, July 18th. Canaccord Genuity Group lifted their price target on shares of Mercury Systems from $106.00 to $128.00 and gave the company a "buy" rating in a research note on Thursday, August 20th. Finally, Deutsche Bank Aktiengesellschaft lowered Mercury Systems to a "hold" rating in a report on Wednesday, August 12th.

Mercury Systems Trading Down 2.3%

Shares of NASDAQ MRCY opened at $82.94 on Tuesday. Mercury Systems has a fifty-two week low of $65.04 and a fifty-two week high of $128.45. The company has a debt-to-equity ratio of 0.29, a quick ratio of 1.85 and a current ratio of 2.96. The company has a market cap of $5.05 billion, a price-to-earnings ratio of -165.88 and a beta of 0.97. The business's 50 day moving average price is $91.95 and its 200-day moving average price is $94.63.

Mercury Systems (NASDAQ:MRCY - Get Free Report) last posted its quarterly earnings data on Tuesday, August 18th. The technology company reported $0.37 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.38 by ($0.01). Mercury Systems had a negative net margin of 3.02% and a positive return on equity of 1.29%. The business had revenue of $289.78 million for the quarter, compared to analysts' expectations of $266.09 million. During the same quarter in the previous year, the firm earned $0.47 EPS. Mercury Systems's revenue was up 6.1% compared to the same quarter last year. On average, sell-side analysts expect that Mercury Systems will post 0.91 earnings per share for the current year.

Insider Transactions at Mercury Systems

In other Mercury Systems news, EVP Steven Ratner sold 4,000 shares of the company's stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $84.51, for a total value of $338,040.00. Following the completion of the sale, the executive vice president directly owned 19,275 shares in the company, valued at approximately $1,628,930.25. This represents a 17.19% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO William Ballhaus sold 49,090 shares of the stock in a transaction on Wednesday, August 26th. The stock was sold at an average price of $89.10, for a total value of $4,373,919.00. Following the transaction, the chief executive officer directly owned 361,822 shares in the company, valued at $32,238,340.20. The trade was a 11.95% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 451,186 shares of company stock valued at $41,857,170. Company insiders own 0.99% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. BlackRock Inc. bought a new position in shares of Mercury Systems in the 2nd quarter worth $1,146,342,000. Deutsche Bank AG bought a new stake in Mercury Systems during the second quarter valued at about $17,454,000. Rice Hall James & Associates LLC bought a new stake in Mercury Systems during the second quarter valued at about $4,866,000. American Capital Management Inc. purchased a new position in Mercury Systems in the second quarter valued at about $59,460,000. Finally, Louisiana State Employees Retirement System purchased a new position in Mercury Systems in the first quarter valued at about $1,706,000. 95.99% of the stock is currently owned by institutional investors.

About Mercury Systems

Mercury Systems, Inc is a technology company that develops and manufactures mission-critical solutions for the aerospace and defense industries. Its products are designed to help customers process, secure and manage data in demanding environments, including aircraft, unmanned systems, radar platforms and other defense applications.

The company's portfolio includes embedded computing systems, high-performance processors, ruggedized servers, trusted computing products, radio-frequency and microwave components, sensor-processing technologies, avionics solutions and mission displays.

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