Loading stock…

Kratos Defense & Security Solutions, Inc. (KTOS) Stock Verdict & Ratings | Investment Bastion

Stock Verdict·Updated 1d ago

Kratos Defense & Security Solutions, Inc.

KTOSMarket cap $7.87BPrice $41.9

Country🇺🇸United States

SectorIndustrials

IndustryAerospace & Defense

Builds low-cost drones, jet engines, and satellite tech for the Pentagon, betting that expendable, mass-producible hardware beats expensive legacy systems. Its target drones train fighter pilots and now double as tactical decoys in real combat, making cheap warfare a genuine growth market.

In Bastion Portfolios?

52W Return-50%Global Market +16%?

01Key Ratings

How does this stock score across Bastion factors?

Growth

Historical Revenue

Rev CAGR (3y)+14%8

Revenue Forecast

Rev CAGR (1y)+33%9

Rev CAGR (3y)+26%9

Rev CAGR (5y)+22%9

Earnings Forecast

EPS Growth Y+1+489%10

EPS Growth Y+2+32%9

EPS Growth Y+3+28%8

Quality

Margins

EBIT Margin2%2

Net Income Margin2%2

Free Cash Flow Margin-8%2

Debt

Net Debt/EBITDA-12.010

Efficiency

ROE1%2

ROA1%3

Earnings Stability66

GEAR+WEAK21

Overall rating across all five factors

Value

Price Multiples

P/E Ratio (Forward)501

P/E Ratio (Forward 3y)311

P/BV2.36

EV Multiples

EV/EBITDA Fwd391

EV/EBIT Fwd3641

Yield

Free Cash Flow Yield-1.6%2

Dividend Yieldna–

Momentum

Short term

1 month return-13%2

3 month return-17%2

YTD return-45%1

Mid term

Price vs 52wHigh31%1

1 year return-60%1

Long term

3 year return+177%9

5 year return+89%7

Risk Shield

Price Risk

Beta1.91

Volatility71%1

Free Cash Flow

Free Cash Flow Margin-8%2

Free Cash Flow Yield-1.6%2

Quality

ROCE1%2

Earnings Stability66

Net Debt/EBITDA-12.010

02Growth

Is it actually growing, and how fast?

KTOSKratos Defense & Security Solutions

Revenue FY25$1.3B

GROWTH RATING↗

VERY STRONG92 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+14%8

Revenue, next 1Y+33%9

Revenue, next 3Y, CAGR+26%9

Revenue, next 5Y, CAGR+22%9

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+489%10

EPS growth, FY27E+32%9

EPS growth, FY28E+28%8

GROWTH ASSESSMENT

STRENGTHS

It out-grows 92% of companies worldwide.

Revenue grew 14%/yr over the last 3 years, ahead of 70% of companies worldwide.8/10

Revenue is set to grow 26%/yr over the next 3 years, ahead of most of the market.9/10

Revenue grew 14%/yr over the last 3 years and is set to grow 26%/yr from here.

The runway holds up: revenue is set to grow 22%/yr over five years.9/10

Earnings are set to grow faster than sales (EPS about 32%/yr vs revenue 26%/yr), so margins should widen.

WATCH

None flagged.

WEAKNESSES

None flagged.

BOTTOM LINE

Hyper Compounder

A top-tier grower that's speeding up.

03Price Momentum

Is the market behind it right now?

MOMENTUM RATING↗

WEAK17 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-13%2

3-month return-17%2

YTD return-45%1

MID & LONG-TERM▾SCORE

% of 52-week high31%1

1-year return-60%1

3-year return+177%9

5-year return+89%7

MOMENTUM ASSESSMENT

STRENGTHS

Magnificent long-term results. Long-term holders have seen +177% over three years and +89% over five, ahead of 70% of the market.

WATCH

None flagged.

WEAKNESSES

It's down 60% over the past year, now 69% below its 52-week high. That is lagging the market.

The stock is underperforming over the past month (-13%), over three months (-17%) and so far this year (-45%).

BOTTOM LINE

Outperformer in a Drawdown

A proven multi-year compounder now in a meaningful pullback well below its 52-week high. This is the classic fork: either a buy-the-dip in an intact uptrend, or the early stage of a trend change. Wait for the short-term slide to stabilise before adding. The one thing to watch: the one-year trend is weak.

04Value

Are you paying a fair price for it?

Stop guessing on Kratos. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community

Loading charts…

02Growth

Is it actually growing, and how fast?

KTOSKratos Defense & Security Solutions

Revenue FY25$1.3B

GROWTH RATING↗

VERY STRONG92 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+14%8

Revenue, next 1Y+33%9

Revenue, next 3Y, CAGR+26%9

Revenue, next 5Y, CAGR+22%9

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+489%10

EPS growth, FY27E+32%9

EPS growth, FY28E+28%8

GROWTH ASSESSMENT

STRENGTHS

It out-grows 92% of companies worldwide.

Revenue grew 14%/yr over the last 3 years, ahead of 70% of companies worldwide.8/10

Revenue is set to grow 26%/yr over the next 3 years, ahead of most of the market.9/10

Revenue grew 14%/yr over the last 3 years and is set to grow 26%/yr from here.

The runway holds up: revenue is set to grow 22%/yr over five years.9/10

Earnings are set to grow faster than sales (EPS about 32%/yr vs revenue 26%/yr), so margins should widen.

WATCH

None flagged.

WEAKNESSES

None flagged.

BOTTOM LINE

Hyper Compounder

A top-tier grower that's speeding up.

03Price Momentum

Is the market behind it right now?

MOMENTUM RATING↗

WEAK17 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-13%2

3-month return-17%2

YTD return-45%1

MID & LONG-TERM▾SCORE

% of 52-week high31%1

1-year return-60%1

3-year return+177%9

5-year return+89%7

MOMENTUM ASSESSMENT

STRENGTHS

Magnificent long-term results. Long-term holders have seen +177% over three years and +89% over five, ahead of 70% of the market.

WATCH

None flagged.

WEAKNESSES

It's down 60% over the past year, now 69% below its 52-week high. That is lagging the market.

The stock is underperforming over the past month (-13%), over three months (-17%) and so far this year (-45%).

BOTTOM LINE

Outperformer in a Drawdown

04Value

Are you paying a fair price for it?

Stop guessing on Kratos. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community