Wall Street Zen Upgrades Mercury Systems (NASDAQ:MRCY) to "Buy"

Key Points

• Wall Street Zen upgraded Mercury Systems from “hold” to “buy,” adding to a mixed but generally positive analyst backdrop. The stock now carries a consensus rating of “Moderate Buy” with a $91.00 target price.
• Mercury Systems reported better-than-expected quarterly results, earning $0.27 per share versus the $0.06 estimate and generating $235.76 million in revenue, up 11.5% year over year.
• Insider selling has continued, including recent stock sales by an executive vice president and a director. In the last 90 days, insiders sold 21,875 shares worth about $2.0 million.

Mercury Systems (NASDAQ:MRCY - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a report issued on Saturday.

A number of other brokerages also recently issued reports on MRCY. Weiss Ratings reiterated a "sell (d-)" rating on shares of Mercury Systems in a research note on Tuesday, April 21st. The Goldman Sachs Group raised their target price on shares of Mercury Systems from $60.00 to $68.00 and gave the stock a "sell" rating in a research note on Monday, May 11th. Jefferies Financial Group restated a "hold" rating and set a $105.00 target price on shares of Mercury Systems in a research note on Monday, June 1st. Canaccord Genuity Group lifted their price target on shares of Mercury Systems from $102.00 to $106.00 and gave the company a "buy" rating in a report on Thursday, May 7th. Finally, Truist Financial upgraded shares of Mercury Systems to a "strong-buy" rating in a research report on Friday, May 1st. Two analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $91.00.

Mercury Systems Stock Performance

NASDAQ:MRCY opened at $126.21 on Friday. The company has a debt-to-equity ratio of 0.40, a current ratio of 3.19 and a quick ratio of 2.15. The firm has a market capitalization of $7.58 billion, a price-to-earnings ratio of -525.88 and a beta of 0.93. Mercury Systems has a one year low of $49.86 and a one year high of $127.83. The business has a fifty day moving average price of $102.49 and a 200-day moving average price of $90.42.

Mercury Systems (NASDAQ:MRCY - Get Free Report) last released its earnings results on Tuesday, May 5th. The technology company reported $0.27 earnings per share for the quarter, beating the consensus estimate of $0.06 by $0.21. Mercury Systems had a positive return on equity of 2.22% and a negative net margin of 1.46%.The company had revenue of $235.76 million for the quarter, compared to the consensus estimate of $208.56 million. During the same period in the previous year, the business earned $0.06 earnings per share. Mercury Systems's quarterly revenue was up 11.5% compared to the same quarter last year. Sell-side analysts forecast that Mercury Systems will post 0.31 EPS for the current year.

Insider Activity at Mercury Systems

In other Mercury Systems news, EVP David E. Farnsworth sold 3,625 shares of the business's stock in a transaction on Thursday, April 16th. The shares were sold at an average price of $84.87, for a total value of $307,653.75. Following the sale, the executive vice president owned 157,701 shares in the company, valued at $13,384,083.87. The trade was a 2.25% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Orlando D. Carvalho sold 7,000 shares of the firm's stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $89.36, for a total value of $625,520.00. Following the transaction, the director owned 52,448 shares of the company's stock, valued at approximately $4,686,753.28. The trade was a 11.77% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 21,875 shares of company stock valued at $2,040,874. 1.40% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Mercury Systems

Several large investors have recently bought and sold shares of the business. Signaturefd LLC grew its stake in shares of Mercury Systems by 15.4% in the 4th quarter. Signaturefd LLC now owns 804 shares of the technology company's stock worth $59,000 after buying an additional 107 shares in the last quarter. Maryland State Retirement & Pension System grew its position in Mercury Systems by 1.8% in the fourth quarter. Maryland State Retirement & Pension System now owns 7,714 shares of the technology company's stock worth $563,000 after acquiring an additional 134 shares in the last quarter. GAMMA Investing LLC increased its stake in Mercury Systems by 11.3% during the fourth quarter. GAMMA Investing LLC now owns 1,781 shares of the technology company's stock worth $130,000 after acquiring an additional 181 shares during the last quarter. Oregon Public Employees Retirement Fund raised its position in Mercury Systems by 1.6% during the fourth quarter. Oregon Public Employees Retirement Fund now owns 12,058 shares of the technology company's stock valued at $880,000 after purchasing an additional 187 shares during the period. Finally, Arizona State Retirement System lifted its stake in shares of Mercury Systems by 1.3% in the 4th quarter. Arizona State Retirement System now owns 15,211 shares of the technology company's stock valued at $1,111,000 after purchasing an additional 195 shares during the last quarter. Institutional investors own 95.99% of the company's stock.

Mercury Systems Company Profile

Mercury Systems, Inc NASDAQ: MRCY is a technology company that designs, manufactures and markets secure processing subsystems for aerospace and defense applications. The company's products are built to address the stringent security, safety and reliability requirements of mission-critical programs, with a focus on radar, electronic warfare, intelligence and other sensor and processing functions. Mercury's offerings encompass rugged embedded computing modules, high-performance radio frequency (RF) and microwave components, digital signal processing subsystems and secure networking solutions.

Since its origins in advanced signal processing, Mercury Systems has expanded its capabilities through a combination of internal development and targeted acquisitions.

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.