Bank of New York Mellon Corp Boosts Stock Holdings in Kratos Defense & Security Solutions, Inc. $KTOS

Key Points

• Bank of New York Mellon increased its stake in Kratos Defense & Security Solutions by 12.2% in the first quarter, ending with 1.52 million shares valued at about $106.9 million.
• Kratos reported better-than-expected quarterly results, posting EPS of $0.16 versus $0.13 expected and revenue of $371 million versus $345 million expected, with revenue up 22.6% year over year.
• Despite strong institutional interest and earnings momentum, the stock has pulled back sharply, trading near its 52-week low at $45.94 versus a high of $134.00, while analysts currently rate it a Moderate Buy with an average target of $101.29.

Bank of New York Mellon Corp grew its stake in shares of Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS - Free Report) by 12.2% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 1,515,997 shares of the aerospace company's stock after buying an additional 164,607 shares during the quarter. Bank of New York Mellon Corp owned 0.81% of Kratos Defense & Security Solutions worth $106,893,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently modified their holdings of the stock. Geneos Wealth Management Inc. boosted its holdings in Kratos Defense & Security Solutions by 333.3% during the 1st quarter. Geneos Wealth Management Inc. now owns 650 shares of the aerospace company's stock valued at $46,000 after acquiring an additional 500 shares during the period. Harel Insurance Investments & Financial Services Ltd. increased its stake in Kratos Defense & Security Solutions by 53.7% in the 1st quarter. Harel Insurance Investments & Financial Services Ltd. now owns 34,942 shares of the aerospace company's stock worth $2,464,000 after purchasing an additional 12,212 shares during the period. Sanctuary Advisors LLC lifted its position in Kratos Defense & Security Solutions by 48.0% in the first quarter. Sanctuary Advisors LLC now owns 27,096 shares of the aerospace company's stock valued at $1,911,000 after purchasing an additional 8,787 shares during the last quarter. Sigma Planning Corp lifted its position in Kratos Defense & Security Solutions by 19.5% in the first quarter. Sigma Planning Corp now owns 8,442 shares of the aerospace company's stock valued at $595,000 after purchasing an additional 1,380 shares during the last quarter. Finally, State of Michigan Retirement System boosted its stake in shares of Kratos Defense & Security Solutions by 11.3% during the first quarter. State of Michigan Retirement System now owns 44,400 shares of the aerospace company's stock valued at $3,131,000 after purchasing an additional 4,500 shares during the period. Institutional investors own 75.92% of the company's stock.

Kratos Defense & Security Solutions Price Performance

KTOS opened at $45.94 on Tuesday. The company has a debt-to-equity ratio of 0.04, a quick ratio of 5.08 and a current ratio of 5.63. The stock has a market capitalization of $8.61 billion, a PE ratio of 270.24 and a beta of 1.07. The stock's 50 day moving average price is $54.04 and its 200-day moving average price is $75.53. Kratos Defense & Security Solutions, Inc. has a 52-week low of $45.58 and a 52-week high of $134.00.

Kratos Defense & Security Solutions (NASDAQ:KTOS - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The aerospace company reported $0.16 EPS for the quarter, topping analysts' consensus estimates of $0.13 by $0.03. The company had revenue of $371.00 million during the quarter, compared to analyst estimates of $345.00 million. Kratos Defense & Security Solutions had a return on equity of 2.82% and a net margin of 2.08%.The firm's revenue was up 22.6% on a year-over-year basis. During the same quarter last year, the firm posted $0.12 earnings per share. On average, equities research analysts predict that Kratos Defense & Security Solutions, Inc. will post 0.48 EPS for the current year.

Insider Transactions at Kratos Defense & Security Solutions

In related news, insider Stacey G. Rock sold 4,675 shares of the business's stock in a transaction dated Tuesday, June 30th. The shares were sold at an average price of $50.00, for a total transaction of $233,750.00. Following the transaction, the insider owned 9,600 shares in the company, valued at $480,000. The trade was a 32.75% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Steven S. Fendley sold 7,000 shares of the firm's stock in a transaction dated Monday, June 29th. The stock was sold at an average price of $48.37, for a total transaction of $338,590.00. Following the completion of the sale, the insider owned 302,126 shares of the company's stock, valued at $14,613,834.62. This trade represents a 2.26% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 148,036 shares of company stock worth $8,455,857. 1.50% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on KTOS shares. Piper Sandler decreased their target price on shares of Kratos Defense & Security Solutions from $99.00 to $75.00 and set a "neutral" rating on the stock in a research note on Thursday, May 7th. Citizens Jmp dropped their price target on shares of Kratos Defense & Security Solutions from $125.00 to $105.00 and set a "market outperform" rating for the company in a research report on Friday, May 8th. JPMorgan Chase & Co. raised shares of Kratos Defense & Security Solutions from a "neutral" rating to an "overweight" rating and cut their price target for the stock from $99.00 to $82.00 in a report on Friday, June 12th. The Goldman Sachs Group decreased their price objective on shares of Kratos Defense & Security Solutions from $100.00 to $89.00 and set a "buy" rating on the stock in a research report on Tuesday, July 14th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and set a $80.00 price objective on shares of Kratos Defense & Security Solutions in a research note on Wednesday, July 8th. Three investment analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $101.29.

Kratos Defense & Security Solutions 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.

Want to see what other hedge funds are holding KTOS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.