Kratos Defense & Security Solutions, Inc. (KTOS) fair value analysis
Nasdaq · Updated 2026-10-19
KTOS price how computed
Forward Fair Value verdict
UndervaluedKTOS is trading at a 10–25% discount to estimated fair value.
Based on TickrTrends' weekly Forward Fair Value model.
- Last price
- $40.42
- Sector
- Industrials
- 12-month range
- $39.33–$130.72
- Market cap
- $7.59B
- From 52-week high
- -69.1%
- Shares outstanding
- 188M
- Rank in Industrials by discount to fair value
- #33 of 106
Last price is our stored weekly price from 2026-10-16, older than the 2026-10-19 run that built this page; the chart runs through 2026-10-16.
Kratos Defense & Security Solutions, Inc. is a defense contractor that designs, develops, and manufactures aerospace and defense systems, including unmanned aerial vehicles, satellite communications systems, and related technologies. The company operates primarily in the United States, serving government and commercial customers.
KTOS currently ranks #33 of 106 Industrials stocks by discount to fair value. It has screened as Undervalued for 5 consecutive weekly runs.
Fundamentals (4 quarters) how computed
- Market cap
- $7.59B
- P/E (trailing)
- 64x
- Revenue (TTM)
- $1.52B
- Net margin
- 2.0%
- EPS (TTM)
- $0.63
- Gross margin
- 21.8%
- Debt / equity
- 0.06
- Revenue growth (3-yr avg)
- 22.4%
- Shares outstanding
- 188M
Derived indicators how computed
- Quality grade
- D
- Margin trend
- Contracting
- 52-week position
- The bottom quarter of its range
Technicals how computed
- RSI (14-day)
- 32 · neutral
- 50-day average
- $49.53
- 200-day average
- $67.20
- Moving-average state
- 50-day below 200-day (death cross state); price below both averages
Earnings how computed
- Last 8 quarters vs consensus
- 8 beat, 0 missed
- Quarter by quarter
- 2026-06 ▲ beat (+150.0%)
2026-03 ▲ beat (+23.1%)
2025-12 ▲ beat (+9.1%)
2025-09 ▲ beat (+16.7%)
2025-06 ▲ beat (+40.0%)
2025-03 ▲ beat (+33.3%)
2024-12 ▲ beat (+27.8%)
2024-09 ▲ beat (+37.5%)
Analyst consensus how computed
This is not TickrTrends' verdict.
- Analyst ratings
- 19 buy · 2 hold · 0 sell (21 analysts)
- Consensus lean
- Buy-leaning
- Consensus price target
- $98.3
- Target vs last price
- +143.2%
What our data shows for KTOS
- Our model validated 13 trailing price-to-earnings windows for KTOS, built from quarterly earnings records.
- Shares are trading in the lower third of their 12-month price range of $39.33–$130.72.
- The 14-day relative strength index sits at a neutral 32.
The exact numbers are one step away
- The precise Forward Fair Value dollar figure for KTOS
- Exact discount / premium to today's price
- The normalized historical P/E behind the estimate, and how many quarters support it
- Forward EPS input and fiscal-year basis
- Screeners and rankings across the full S&P 500 and Nasdaq universes
Forward Fair Value applies a conservatively normalized historical price-to-earnings multiple to the consensus earnings estimate for the next full fiscal year; how TickrTrends computes it.
Recent KTOS news
TickrTrends' derived news-sentiment signal for KTOS is currently leaning positive, computed from recent coverage.
- KTOS Maintained by Citizens -- Price Target Lowered to $70 (gurufocus.com, 2026-10-19)
TickrTrends take: Citizens maintained its position on KTOS while reducing the price target to $70, which occurs within a TickrTrends context indicating the stock trades at an undervalued level relative to fundamentals in the Industrials sector. Valuation-focused readers should monitor whether the lowered price target reflects evolving company fundamentals or represents analyst recalibration in light of recent market movements. The maintenance of analyst coverage combined with the undervalued designation suggests the stock may warrant continued attention from value-oriented investors tracking the industrials space. - Kratos Defense Launches $35M Helios and AN/SPY-1 Facilities in Indiana (KTOS) (gurufocus.com, 2026-10-14)
TickrTrends take: Kratos Defense's 35 million dollar investment in Indiana facilities for Helios and AN/SPY-1 production represents significant capital deployment into manufacturing infrastructure within the defense industrial base. Given TickrTrends' undervalued assessment, investors should monitor whether this expansion translates into revenue growth and margin improvement that justifies the current valuation discount relative to peers in the Industrials sector. The timing and execution of this facility rollout will be key indicators of management's ability to convert strategic investments into shareholder value. - KTOS Maintained by Goldman Sachs -- Price Target Lowered to $77.00 (gurufocus.com, 2026-10-12)
TickrTrends take: Goldman Sachs lowered its price target for KTOS to $77, which represents the bank's current view of fair value for the aerospace and defense company. TickrTrends currently derives an Undervalued verdict for KTOS, suggesting market pricing may not fully reflect the company's fundamental worth relative to sector peers in Industrials. Valuation-focused readers should monitor whether the Goldman target aligns with or diverges from KTOS's intrinsic value metrics and how the market responds to the maintained rating alongside the reduced price objective.
More KTOS news
- Kratos Highlights Recent Successful Flight Tests of the J85 Engine Across Multiple Configurations, Including Lugged Launch, Palletized, and Surface-to-Surface Applications (manilatimes.net, 2026-10-12)
- Kratos Advances 5G NR NTN Ground System Development with Multi-Vendor Connectivity Success (manilatimes.net, 2026-10-08)
What people are saying
Follow the KTOS conversation: Stocktwits · Reddit · X
TickrTrends weekly updates
- 2026-10-19 — KTOS trades in the Industrials sector and is currently assessed as undervalued. The company's sector discount rank improved this week, moving from position 44 to position 38, indicating a relatively stronger valuation position compared to other companies in its sector. This improvement reflects how KTOS's valuation metrics have shifted relative to peer companies in the Industrials sector.
- 2026-10-12 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-11 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-10 — KTOS moved from an oversold RSI zone into a neutral zone this week, indicating a shift in momentum dynamics for the Industrials sector stock. The company's current valuation verdict remains Undervalued as of this week's assessment.
- 2026-10-05 — KTOS, an Industrials sector company, has improved its relative valuation position this week. The company's sector discount rank moved from #57 to #46, indicating a stronger valuation standing within its industry peer group. The valuation verdict shifted from Fairly valued to Undervalued, reflecting a more attractive pricing assessment based on TickrTrends' derived indicators.
- 2026-09-28 — KTOS moved higher in sector valuation rankings this week, improving its discount rank from 63 to 57 within the Industrials sector. The stock maintains a fairly valued assessment according to TickrTrends' derived indicators.
- 2026-09-21 — No material change this week: the verdict, bands and grades all held steady.
- 2026-09-17 — No material change this week: the verdict, bands and grades all held steady.
Frequently asked questions
Is KTOS stock undervalued?
Based on TickrTrends' Forward Fair Value model (updated 2026-10-19), KTOS is trading at a 10–25% discount to estimated fair value and screens as undervalued. The exact fair value and discount are available to subscribers.
What is KTOS's TickrTrends verdict?
KTOS's current verdict is Undervalued, refreshed with every weekly Forward Fair Value run.
How does KTOS compare to other Industrials stocks?
KTOS ranks #33 of 106 Industrials stocks in TickrTrends' coverage by discount to fair value.
Is KTOS overbought or oversold?
KTOS's 14-day RSI is in neutral territory - neither overbought nor oversold.
Does KTOS usually beat earnings estimates?
Over its last 8 reported quarters KTOS beat the consensus estimate 8 times and missed 0 times, by TickrTrends' comparison of reported and estimated EPS.
What do analysts say about KTOS?
Of 21 analysts covering KTOS, 19 rate it a buy, 2 a hold and 0 a sell - buy-leaning, with a consensus price target of $98.3 (+143.2% versus TickrTrends' last price). This is the analyst consensus, not TickrTrends' Forward Fair Value verdict.
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