The foundation of the global defense industry is cracking. For generations, the business of war was defined by monolithic, multi-billion-dollar projects, aircraft carriers, stealth bombers, and fighter jets that took decades to design and build.
Kratos Defense stock soars 150% in a year as drone demand, new defense contracts and Airbus collaboration boost growth outlook despite cost pressures.
Kratos Defense & Security Solutions (KTOS) is upgraded to buy, with a fair value of $85 per share and 20% upside potential. KTOS's hypersonic segment is set to double revenues in 2026 and drive sustained growth, targeting $5 billion in total revenue by 2030. The company boasts a record $1.6 billion backlog, $13.7 billion pipeline, and over $1.5 billion cash post-share issuance to fund expansion.
KTOS scales its propulsion systems business, targeting rising demand for compact, cost-efficient engines in drones, missiles and next-generation defense platforms.
Shares of Kratos Defense & Security Solutions Inc (NASDAQ:KTOS) are 1.2% higher to trade at $78.45 this afternoon, attempting to snap a five-day losing streak as Middle East tensions cause whiplash for the broader market.
Kratos (KTOS) reported earnings 30 days ago. What's next for the stock?
Kratos Defense and Elbit Systems ride on rising demand for unmanned tech, contracts, and defense upgrades as global tensions fuel next-gen military investments.
Alliancebernstein L.P. grew its position in Kratos Defense and Security Solutions, Inc. (NASDAQ: KTOS) by 1,389.0% during the third quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 2,707,776 shares of the aerospace company's stock after buying an additional 2,525,921 shares during the period. Alliancebernstein L.P. owned
Kratos Defense and Security Solutions (NASDAQ: KTOS - Get Free Report) and Astronics (NASDAQ: ATRO - Get Free Report) are both aerospace companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, valuation, earnings, profitability and risk. Profitability This table compares Kratos Defense
Kratos Defense & Security Solutions, Inc. is positioned for substantial growth as U.S. defense spending accelerates, particularly in munitions and next-generation war systems. I rate KTOS stock a Buy with a $121 price target (76.44x eFY27 EV/aEBITDA) with the expectation of operations catching up to the market capitalization. KTOS's backlog reached $1.573B with a 1.10x book-to-bill ratio; hypersonic and Valkyrie programs, plus long-term contracts, underpin robust multi-year growth.
Kratos Defense shares surge 31.4% in six months as new counter-UAS and aerial target contracts boost backlog, while rising unmanned systems demand supports growth.
KTOS expands its unmanned systems portfolio with jet-powered target drones and Valkyrie aircraft, aiming to capture growing demand for autonomous defense tech.