Mercury Systems Q1 EPS Estimate Increased by Zacks Research

Key Points

• Zacks Research raised Mercury Systems’ Q1 2027 EPS estimate to $0.12 from $0.09 and increased its fiscal 2027 forecast to $0.83, while projecting EPS of $1.23 in fiscal 2028 and $1.46 in fiscal 2029. Zacks maintained a “Hold” rating.
• Mercury Systems’ latest quarter produced EPS of $0.37, slightly below the $0.38 consensus, but revenue of $289.78 million exceeded estimates and rose 6.1% year over year.
• The stock opened at $80.76, well below its 12-month high of $128.45, while insiders sold roughly $41.8 million of shares over the past 90 days. Analysts’ overall consensus remains “Hold,” with an average price target of $110.10.

Mercury Systems Inc (NASDAQ:MRCY - Free Report) - Research analysts at Zacks Research increased their Q1 2027 earnings per share (EPS) estimates for Mercury Systems in a research report issued on Monday, September 7th. Zacks Research analyst Team now expects that the technology company will post earnings per share of $0.12 for the quarter, up from their prior forecast of $0.09. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Mercury Systems' current full-year earnings is $0.89 per share. Zacks Research also issued estimates for Mercury Systems' Q2 2027 earnings at $0.15 EPS, Q3 2027 earnings at $0.22 EPS, Q4 2027 earnings at $0.33 EPS, FY2027 earnings at $0.83 EPS, Q2 2028 earnings at $0.27 EPS, Q3 2028 earnings at $0.32 EPS, Q4 2028 earnings at $0.40 EPS, FY2028 earnings at $1.23 EPS and FY2029 earnings at $1.46 EPS.

Mercury Systems (NASDAQ:MRCY - Get Free Report) last released its earnings results on Tuesday, August 18th. The technology company reported $0.37 earnings per share for the quarter, missing the consensus estimate of $0.38 by ($0.01). The business had revenue of $289.78 million for the quarter, compared to the consensus estimate of $266.09 million. Mercury Systems had a positive return on equity of 1.29% and a negative net margin of 3.02%.The firm's revenue for the quarter was up 6.1% compared to the same quarter last year. During the same quarter last year, the business posted $0.47 earnings per share.

MRCY has been the subject of several other reports. Jefferies Financial Group reissued a "hold" rating and issued a $115.00 price objective on shares of Mercury Systems in a research report on Friday, July 10th. Wall Street Zen downgraded shares of Mercury Systems from a "buy" rating to a "hold" rating in a research note on Saturday, July 18th. JPMorgan Chase & Co. boosted their price target on Mercury Systems from $99.00 to $101.00 and gave the company a "neutral" rating in a report on Monday, July 13th. Piper Sandler reissued an "overweight" rating and issued a $131.00 price objective (up from $126.00) on shares of Mercury Systems in a research note on Wednesday, August 19th. Finally, Robert W. Baird raised their price objective on Mercury Systems from $120.00 to $130.00 and gave the stock an "outperform" rating in a report on Wednesday, August 19th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $110.10.

Mercury Systems Trading Down 3.2%

MRCY stock opened at $80.76 on Thursday. Mercury Systems has a 12 month low of $65.04 and a 12 month high of $128.45. The firm's 50-day moving average is $100.39 and its 200 day moving average is $95.00. The company has a market capitalization of $4.86 billion, a PE ratio of -161.52 and a beta of 0.98. The company has a debt-to-equity ratio of 0.29, a current ratio of 2.96 and a quick ratio of 1.85.

Insider Buying and Selling at Mercury Systems

In other news, EVP David Farnsworth sold 6,612 shares of the company's stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $97.67, for a total value of $645,794.04. Following the completion of the sale, the executive vice president owned 117,967 shares of the company's stock, valued at approximately $11,521,836.89. This represents a 5.31% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Steven Ratner sold 4,000 shares of the company's stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $84.51, for a total transaction of $338,040.00. Following the completion of the sale, the executive vice president directly owned 19,275 shares of the company's stock, valued at $1,628,930.25. The trade was a 17.19% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 450,186 shares of company stock worth $41,770,650. 1.40% of the stock is owned by company insiders.

Institutional Trading of Mercury Systems

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Public Employees Retirement System of Ohio purchased a new position in Mercury Systems in the second quarter valued at about $43,000. Barrow Hanley Mewhinney & Strauss LLC purchased a new stake in shares of Mercury Systems during the second quarter valued at about $52,000. IFP Advisors Inc lifted its position in shares of Mercury Systems by 250.8% during the second quarter. IFP Advisors Inc now owns 463 shares of the technology company's stock valued at $57,000 after buying an additional 331 shares during the last quarter. Leonteq Securities AG bought a new stake in shares of Mercury Systems in the 4th quarter valued at about $35,000. Finally, Hollencrest Capital Management bought a new stake in shares of Mercury Systems in the 4th quarter valued at about $37,000. Institutional investors own 95.99% of the company's stock.

Mercury Systems News Summary

Here are the key news stories impacting Mercury Systems this week:

• Positive Sentiment: Zacks Research raised its EPS estimates for fiscal 2027, including Q1 2027 to $0.12 from $0.09, Q2 to $0.15 from $0.11, Q3 to $0.22 from $0.20 and full-year 2027 to $0.83 from $0.67. The firm also increased its Q4 2027 estimate to $0.33 from $0.29, suggesting improved expectations for the company’s earnings trajectory. Mercury Systems analyst estimates
• Neutral Sentiment: Zacks maintained a “Hold” rating. Its current-year EPS consensus remains $0.89, while its projections call for $1.23 in fiscal 2028 and $1.46 in fiscal 2029, indicating anticipated longer-term earnings growth but no immediate change in the firm’s cautious stance.
• Neutral Sentiment: Institutional ownership remains high at approximately 96%, with several funds adding shares during the second quarter. However, these holdings reflect earlier transactions and are unlikely to be a major immediate catalyst.
• Negative Sentiment: Zacks reduced several fiscal 2028 forecasts: Q2 EPS to $0.27 from $0.28, Q3 to $0.32 from $0.33, Q4 to $0.40 from $0.42 and full-year EPS to $1.23 from $1.25. These cuts partially offset the improved fiscal 2027 outlook and signal some pressure on longer-term earnings expectations.
• Negative Sentiment: Executive Vice President Steven Ratner sold 4,000 shares for approximately $338,040, reducing his direct ownership by 17.19%. The sale follows several additional insider disposals in August and may reinforce concerns about insider confidence, although insider sales can also reflect personal financial planning. Steven Ratner sells Mercury Systems shares

About Mercury Systems

Mercury Systems, Inc NASDAQ: MRCY is a technology company that designs, manufactures and markets secure processing subsystems for aerospace and defense applications. The company's products are built to address the stringent security, safety and reliability requirements of mission-critical programs, with a focus on radar, electronic warfare, intelligence and other sensor and processing functions. Mercury's offerings encompass rugged embedded computing modules, high-performance radio frequency (RF) and microwave components, digital signal processing subsystems and secure networking solutions.

Since its origins in advanced signal processing, Mercury Systems has expanded its capabilities through a combination of internal development and targeted acquisitions.

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