Mercury Systems (NASDAQ:MRCY) Sets New 12-Month High - Here's Why

Key Points

• Mercury Systems' share price reached a new 52-week high at $74.35, indicating strong market performance and trading activity, with 42,491 shares exchanged.
• Analysts show a mostly positive outlook, with upgrades from firms like Wall Street Zen and Zacks Research, leading to a consensus rating of "Moderate Buy" and an average target price of $60.71.
• The company's recent earnings report highlighted a significant EPS of $0.47, surpassing estimates and reflecting a 9.9% year-over-year revenue growth of $273.11 million.

Mercury Systems Inc (NASDAQ:MRCY - Get Free Report)'s stock price hit a new 52-week high on Tuesday . The company traded as high as $74.20 and last traded at $74.35, with a volume of 42491 shares. The stock had previously closed at $72.81.

Analysts Set New Price Targets

A number of brokerages recently weighed in on MRCY. Truist Financial boosted their price target on shares of Mercury Systems from $60.00 to $71.00 and gave the stock a "buy" rating in a report on Tuesday, August 12th. Wall Street Zen raised shares of Mercury Systems from a "hold" rating to a "buy" rating in a report on Saturday, September 13th. Royal Bank Of Canada boosted their price target on shares of Mercury Systems from $50.00 to $55.00 and gave the stock a "sector perform" rating in a report on Thursday, July 3rd. Zacks Research raised shares of Mercury Systems from a "strong sell" rating to a "strong-buy" rating in a report on Thursday, August 21st. Finally, Robert W. Baird upped their price target on Mercury Systems from $58.00 to $70.00 and gave the company an "outperform" rating in a research report on Tuesday, August 12th. Three investment analysts have rated the stock with a Strong Buy rating, two have given a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Mercury Systems presently has a consensus rating of "Moderate Buy" and an average target price of $60.71.

Mercury Systems Stock Performance

The stock has a market cap of $4.55 billion, a PE ratio of -114.80, a price-to-earnings-growth ratio of 3.21 and a beta of 0.77. The company has a debt-to-equity ratio of 0.40, a current ratio of 3.52 and a quick ratio of 2.41. The business has a 50 day moving average price of $62.16 and a two-hundred day moving average price of $52.91.

Mercury Systems (NASDAQ:MRCY - Get Free Report) last released its quarterly earnings data on Monday, August 11th. The technology company reported $0.47 earnings per share for the quarter, beating analysts' consensus estimates of $0.21 by $0.26. The firm had revenue of $273.11 million during the quarter, compared to analyst estimates of $244.56 million. Mercury Systems had a positive return on equity of 0.58% and a negative net margin of 4.16%.The business's quarterly revenue was up 9.9% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.23 earnings per share. As a group, equities research analysts forecast that Mercury Systems Inc will post -0.08 EPS for the current fiscal year.

Insider Activity

In other news, EVP Stuart Kupinsky sold 1,220 shares of the firm's stock in a transaction on Tuesday, August 19th. The stock was sold at an average price of $64.46, for a total transaction of $78,641.20. Following the completion of the transaction, the executive vice president directly owned 70,297 shares in the company, valued at $4,531,344.62. This trade represents a 1.71% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Jana Partners Management, Lp sold 797,000 shares of Mercury Systems stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $65.42, for a total value of $52,139,740.00. Following the completion of the sale, the director owned 5,964,313 shares of the company's stock, valued at $390,185,356.46. The trade was a 11.79% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 848,980 shares of company stock valued at $55,529,247. 1.40% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Captrust Financial Advisors purchased a new position in shares of Mercury Systems during the 4th quarter valued at about $212,000. Focus Partners Wealth purchased a new position in shares of Mercury Systems during the 4th quarter valued at about $278,000. Quantinno Capital Management LP lifted its position in shares of Mercury Systems by 156.5% during the 4th quarter. Quantinno Capital Management LP now owns 28,462 shares of the technology company's stock valued at $1,195,000 after buying an additional 17,366 shares in the last quarter. ProShare Advisors LLC lifted its position in shares of Mercury Systems by 37.8% during the 4th quarter. ProShare Advisors LLC now owns 15,647 shares of the technology company's stock valued at $657,000 after buying an additional 4,294 shares in the last quarter. Finally, Rafferty Asset Management LLC lifted its position in shares of Mercury Systems by 5.1% during the 4th quarter. Rafferty Asset Management LLC now owns 12,977 shares of the technology company's stock valued at $545,000 after buying an additional 632 shares in the last quarter. 95.99% of the stock is owned by hedge funds and other institutional investors.

About Mercury Systems

Mercury Systems, Inc, a technology company, manufactures and sells components, products, modules, and subsystems for aerospace and defense industries in the United States, Europe, and the Asia Pacific. Its products and solutions are deployed in approximately 300 programs with 25 defense contractors and commercial aviation customers.