Mercury Systems (NASDAQ:MRCY) Sets New 52-Week High - Time to Buy?

Key Points

• Mercury Systems' stock reached a new 52-week high of $78.75, closing at $77.63 with a trading volume of 2,702 shares.
• Multiple analysts have adjusted their ratings and price targets for Mercury Systems, with Goldman Sachs setting a target of $39 and Raymond James raising their target to $80 while upgrading to a "strong buy."
• The company reported quarterly earnings of $0.47 per share, significantly surpassing analyst expectations of $0.21, with a revenue of $273.11 million against an estimate of $244.56 million.

Mercury Systems Inc (NASDAQ:MRCY - Get Free Report)'s share price reached a new 52-week high on Wednesday . The company traded as high as $78.75 and last traded at $77.63, with a volume of 2702 shares trading hands. The stock had previously closed at $77.40.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on MRCY shares. The Goldman Sachs Group increased their target price on shares of Mercury Systems from $35.00 to $39.00 and gave the company a "sell" rating in a research report on Wednesday, August 13th. Raymond James Financial raised shares of Mercury Systems from an "outperform" rating to a "strong-buy" rating and raised their price objective for the stock from $55.00 to $80.00 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. Zacks Research cut shares of Mercury Systems from a "strong-buy" rating to a "hold" rating in a research note on Friday, September 19th. Finally, Royal Bank Of Canada upgraded shares of Mercury Systems from a "sector perform" rating to an "outperform" rating in a research note on Wednesday. Two investment analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, Mercury Systems presently has an average rating of "Moderate Buy" and a consensus price target of $65.71.

Mercury Systems Stock Performance

The company has a 50-day simple moving average of $65.52 and a two-hundred day simple moving average of $54.51. The company has a debt-to-equity ratio of 0.40, a quick ratio of 2.41 and a current ratio of 3.52. The firm has a market capitalization of $4.80 billion, a P/E ratio of -120.11, a PEG ratio of 3.13 and a beta of 0.77.

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

Insiders Place Their Bets

In other Mercury Systems news, EVP Stuart Kupinsky sold 1,220 shares of the company's stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $64.46, for a total transaction of $78,641.20. Following the completion of the sale, the executive vice president directly owned 70,297 shares of the company's stock, valued at approximately $4,531,344.62. This represents a 1.71% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO William L. Ballhaus sold 13,050 shares of the company's stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $64.46, for a total transaction of $841,203.00. Following the sale, the chief executive officer directly owned 374,976 shares of the company's stock, valued at approximately $24,170,952.96. This represents a 3.36% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 848,980 shares of company stock valued at $55,529,247. 1.40% of the stock is owned by company insiders.

Institutional Trading of Mercury Systems

A number of hedge funds and other institutional investors have recently modified their holdings of MRCY. Osaic Holdings Inc. increased its stake in shares of Mercury Systems by 53.2% in the second quarter. Osaic Holdings Inc. now owns 599 shares of the technology company's stock worth $32,000 after purchasing an additional 208 shares in the last quarter. Quaker Wealth Management LLC grew its stake in Mercury Systems by 200.0% during the second quarter. Quaker Wealth Management LLC now owns 644 shares of the technology company's stock valued at $35,000 after acquiring an additional 1,288 shares in the last quarter. Federated Hermes Inc. purchased a new position in shares of Mercury Systems in the 2nd quarter worth $43,000. GAMMA Investing LLC grew its stake in shares of Mercury Systems by 59.6% in the 1st quarter. GAMMA Investing LLC now owns 1,058 shares of the technology company's stock worth $46,000 after buying an additional 395 shares in the last quarter. Finally, EverSource Wealth Advisors LLC grew its stake in shares of Mercury Systems by 33.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 929 shares of the technology company's stock worth $50,000 after buying an additional 234 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.

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