Mercury Systems (NASDAQ:MRCY) Hits New 52-Week High - Here's Why

Key Points

• Mercury Systems shares hit a new 52-week high of $85.33, closing at $84.00 with a trading volume of 571,926 shares.
• Equities research analysts have upgraded their ratings for Mercury Systems, with notable changes including a boost from Raymond James Financial to a "strong-buy" rating and an increased price target of $80.00.
• The company reported quarterly earnings of $0.47 per share, surpassing estimates, with revenues of $273.11 million, a 9.9% increase compared to the previous year.

Mercury Systems Inc (NASDAQ:MRCY - Get Free Report) shares reached a new 52-week high during trading on Tuesday . The company traded as high as $85.33 and last traded at $84.00, with a volume of 571926 shares changing hands. The stock had previously closed at $83.50.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on MRCY shares. Raymond James Financial upgraded Mercury Systems from an "outperform" rating to a "strong-buy" rating and lifted their price objective for the stock from $55.00 to $80.00 in a research report on Tuesday, August 12th. Canaccord Genuity Group initiated coverage on Mercury Systems in a research note on Thursday, October 2nd. They issued a "buy" rating and a $88.00 price target for the company. Robert W. Baird boosted their price objective on shares of Mercury Systems from $58.00 to $70.00 and gave the company an "outperform" rating in a research report on Tuesday, August 12th. The Goldman Sachs Group upped their price objective on shares of Mercury Systems from $35.00 to $39.00 and gave the stock a "sell" rating in a report on Wednesday, August 13th. Finally, Zacks Research lowered shares of Mercury Systems from a "strong-buy" rating to a "hold" rating in a research note on Friday, September 19th. Two equities research analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, Mercury Systems currently has a consensus rating of "Moderate Buy" and an average target price of $70.67.

Mercury Systems Trading Up 0.6%

The stock's fifty day moving average price is $67.92 and its 200 day moving average price is $55.60. The stock has a market cap of $5.04 billion, a P/E ratio of -127.27, a PEG ratio of 3.47 and a beta of 0.82. 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 issued its quarterly earnings results on Monday, August 11th. The technology company reported $0.47 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.21 by $0.26. Mercury Systems had a negative net margin of 4.16% and a positive return on equity of 0.58%. The company had revenue of $273.11 million during the quarter, compared to analyst estimates of $244.56 million. During the same period last year, the business earned $0.23 EPS. Mercury Systems's quarterly revenue was up 9.9% compared to the same quarter last year. Equities research analysts expect that Mercury Systems Inc will post -0.08 earnings per share for the current year.

Insider Activity at Mercury Systems

In other Mercury Systems news, Director Jana Partners Management, Lp sold 797,000 shares of the business's stock in a transaction on 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 sale, the director directly owned 5,964,313 shares of the company's stock, valued at approximately $390,185,356.46. The trade was a 11.79% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Stuart Kupinsky sold 1,220 shares of the firm's stock in a transaction on Tuesday, August 19th. The shares were sold at an average price of $64.46, for a total value of $78,641.20. Following the transaction, the executive vice president owned 70,297 shares of the company's stock, valued at $4,531,344.62. The trade was a 1.71% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 848,980 shares of company stock worth $55,529,247 over the last quarter. 1.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Principal Financial Group Inc. increased its holdings in shares of Mercury Systems by 11.8% in the 1st quarter. Principal Financial Group Inc. now owns 274,954 shares of the technology company's stock worth $11,848,000 after purchasing an additional 29,074 shares in the last quarter. Wealth Enhancement Advisory Services LLC purchased a new stake in shares of Mercury Systems during the fourth quarter valued at $241,000. Calamos Advisors LLC purchased a new stake in shares of Mercury Systems during the first quarter valued at $848,000. GAMMA Investing LLC increased its holdings in Mercury Systems by 6,776.2% in the 1st quarter. GAMMA Investing LLC now owns 45,589 shares of the technology company's stock worth $1,964,000 after buying an additional 44,926 shares in the last quarter. Finally, Lisanti Capital Growth LLC purchased a new position in Mercury Systems in the 1st quarter worth about $2,562,000. Institutional investors own 95.99% of the company's stock.

Mercury Systems Company Profile

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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