These Analysts Raise Their Forecasts On Kratos After Upbeat Q4 Results

Benzinga
02/25

Kratos Defense & Security Solutions Inc (NASDAQ:KTOS) on Monday reported upbeat financial results for the fourth quarter but issued first-quarter sales guidance below estimates.

Revenue came in at $345.1 million, versus estimates of $327.79 million. Adjusted EPS came in at 18 cents, versus estimates of 16 cents.

"Kratos is positioned to achieve our previously communicated 2026 and 2027 financial targets, and similar to 2025, for 2026 we expect our business to accelerate throughout the year, with increasing Revenue volume and Adjusted EBITDA margins, as several new programs, contracts and initiatives begin, ramp and expand," said Eric DeMarco, president and CEO of Kratos.

Kratos expects first-quarter revenue to be in the range of $335 million to $345 million versus Benzinga Pro estimates of $347.64 million. The company expects full-year 2026 revenue to be in the range of approximately $1.60 billion to $1.68 billion versus estimates of $1.60 billion. Kratos said it continues to expect 2027 revenue growth of 18% to 23% in its base case outlook.

Kratos Defense shares fell 6.2% to trade at $88.49 on Tuesday.

These analysts made changes to their price targets on Kratos Defense following earnings announcement.

  • BTIG analyst Andre Madrid maintained Kratos with a Buy and raised the price target from $95 to $115.
  • Canaccord Genuity analyst Austin Moeller maintained the stock with a Buy and raised the price target from $120 to $125.

Considering buying KTOS stock? Here’s what analysts think:

Photo via Shutterstock

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