Mercury Systems (NASDAQ:MRCY) Hits New 1-Year High - Still a Buy?

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 share price hit a new 52-week high during trading on Tuesday . The company traded as high as $74.20 and last traded at $74.35, with a volume of 42491 shares changing hands. The stock had previously closed at $72.81.

Wall Street Analyst Weigh In

MRCY has been the subject of a number of research analyst reports. Wall Street Zen upgraded Mercury Systems from a "hold" rating to a "buy" rating in a report on Saturday. Royal Bank Of Canada raised their target price on Mercury Systems from $50.00 to $55.00 and gave the company a "sector perform" rating in a report on Thursday, July 3rd. Robert W. Baird lifted their price objective on Mercury Systems from $58.00 to $70.00 and gave the company an "outperform" rating in a research note on Tuesday, August 12th. The Goldman Sachs Group lifted their price objective on Mercury Systems from $35.00 to $39.00 and gave the company a "sell" rating in a research note on Wednesday, August 13th. Finally, Zacks Research upgraded Mercury Systems from a "strong sell" rating to a "strong-buy" rating in a research note on Thursday, August 21st. Three 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 stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $60.71.

Mercury Systems Stock Up 1.4%

The firm has a 50 day simple moving average of $60.26 and a two-hundred day simple moving average of $52.15. The company has a market capitalization of $4.43 billion, a PE ratio of -112.19, a P/E/G ratio of 3.01 and a beta of 0.77. The company has a current ratio of 3.52, a quick ratio of 2.41 and a debt-to-equity ratio of 0.40.

Mercury Systems (NASDAQ:MRCY - Get Free Report) last announced its earnings results on Monday, August 11th. The technology company reported $0.47 earnings per share for the quarter, beating the consensus estimate of $0.21 by $0.26. Mercury Systems had a positive return on equity of 0.58% and a negative net margin of 4.16%.The company had revenue of $273.11 million for the quarter, compared to the consensus estimate of $244.56 million. During the same period last year, the business posted $0.23 EPS. The company's revenue was up 9.9% on a year-over-year basis. Research analysts expect that Mercury Systems Inc will post -0.08 EPS for the current year.

Insider Buying and Selling

In other Mercury Systems news, EVP Stuart Kupinsky sold 1,220 shares of Mercury Systems stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $64.46, for a total value of $78,641.20. Following the transaction, the executive vice president directly owned 70,297 shares in the company, valued at approximately $4,531,344.62. This trade represents a 1.71% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP David E. Farnsworth sold 7,572 shares of Mercury Systems stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $64.46, for a total value of $488,091.12. Following the completion of the transaction, the executive vice president owned 161,326 shares in the company, valued at $10,399,073.96. This trade represents a 4.48% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 848,913 shares of company stock worth $55,524,330. 1.40% of the stock is currently owned by insiders.

Institutional Trading of Mercury Systems

A number of institutional investors have recently modified their holdings of the business. State Street Corp boosted its stake in shares of Mercury Systems by 8.7% in the second quarter. State Street Corp now owns 3,246,573 shares of the technology company's stock valued at $174,860,000 after buying an additional 259,388 shares in the last quarter. Conestoga Capital Advisors LLC boosted its stake in shares of Mercury Systems by 13.3% in the second quarter. Conestoga Capital Advisors LLC now owns 2,558,935 shares of the technology company's stock valued at $137,824,000 after buying an additional 300,749 shares in the last quarter. Bamco Inc. NY boosted its stake in shares of Mercury Systems by 3.2% in the second quarter. Bamco Inc. NY now owns 1,234,801 shares of the technology company's stock valued at $66,506,000 after buying an additional 38,755 shares in the last quarter. Loomis Sayles & Co. L P boosted its stake in shares of Mercury Systems by 321.7% in the second quarter. Loomis Sayles & Co. L P now owns 992,610 shares of the technology company's stock valued at $53,462,000 after buying an additional 757,216 shares in the last quarter. Finally, Goldman Sachs Group Inc. boosted its position in Mercury Systems by 51.6% during the first quarter. Goldman Sachs Group Inc. now owns 855,441 shares of the technology company's stock worth $36,861,000 after purchasing an additional 290,989 shares in the last quarter. 95.99% of the stock is currently 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.

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