KTOS
Kratos Defense & Security Solutions, Inc.

Kratos Defense & Security Solutions, Inc.KTOS

Industrials · Aerospace & Defense
46.97USD
-3.33%
Sep 23, 2026
KTOS overview ready
Leading Manufacturer of Jet-Powered Attritable Unmanned Aircraft and Counter-UAS Systems
Kratos is a direct defense-technology manufacturer with unusually concentrated exposure to jet-powered attritable unmanned aircraft, drone propulsion, counter-UAS-related electronics and systems, plus supporting C5ISR, microwave, rocket, hypersonic, and space-ground capabilities.
Direct narrative exposure
Exposed to the Defense Rearmament and Industrial Base narrative through Unmanned Systems and Counter-Drone — pure play.
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of distribution pressure.
The tactical setup reads distribution pressure, but the weekly structure is broken.
Demanding valuation
The price embeds expectations that run ahead of the cash the business currently produces.
Fundamentals under pressure
Free cash flow yield is weak.
Primary risk
Dependence on government defense contracts.
Market Sep 22Price action Sep 22Research Jul 29

Conviction Level

NarrativeHeat8.3ThemeHeat8.4PriceAction1.4Valuation0.3CompanyPosition9.3
Price
Loading price history…

Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of distribution pressure.
The tactical setup reads distribution pressure, but the weekly structure is broken.
EntryDamaged / breakdown

The technical structure itself is broken across timeframes — the weakest entry profile.

Key Financials

Market Cap
$8.9B
Avg Volume (60D)
3.7M
60 sessions
Revenue Growth YoY
+25.5%
Trailing twelve months
Gross Margin
+23.0%
Operating Margin
+1.6%
Trailing twelve months
Free Cash Flow Yield
-1.3%
Distance from 200DMA
-33.1%
Next Earnings
2026-11-03
P/E
279.2x
EV / EBITDA
88.2x
EV / Sales
5.0x
Market metrics as of Sep 22, 2026

Fundamentals & Valuation

Both valuation perspectives agree this company is expensive.
Kratos Defense & Security Solutions, Inc. has an Expensive valuation stance because the price embeds expectations that run ahead of the cash the business currently produces.

Company Research

Thesis
Kratos is a direct defense-technology manufacturer with unusually concentrated exposure to jet-powered attritable unmanned aircraft, drone propulsion, counter-UAS-related electronics and systems, plus supporting C5ISR, microwave, rocket, hypersonic, and space-ground capabilities.
Opportunity
High opportunity
Defense procurement for attritable unmanned systems, autonomous collaborative aircraft, tactical drones, and layered counter-UAS protection as drone threats proliferate and militaries seek scalable domestic production.
Key risk
Dependence on government defense contracts.

Narrative & Theme

Defense Rearmament and Industrial Base
Part of Unmanned Systems and Counter-Drone, with strong fit.
Its current business includes jet-powered unmanned aerial systems such as the Valkyrie family, propulsion and mission-system-related capabilities, and electronics/C5ISR products used across counter-UAS and national-security systems.
Narrative HeatHeating up8.3 / 10
Theme HeatHeating up8.4 / 10

Business & Markets

Industrials · Aerospace & Defense
What they do

Kratos Defense & Security Solutions develops and supplies technology, hardware, systems, and software primarily for defense, national security, and commercial customers globally, operating through government solutions and unmanned systems segments.

How it earns

Revenue is generated primarily through project-based contracts and sales of defense-related products and systems.

Products & services
Virtualized ground systems for satellites and space vehicles
Jet powered unmanned aerial drone systems
Hypersonic vehicles
Propulsion and munitions-related systems
Customers & end markets
Defense and national security agencies
Commercial aerospace and space sectors
Market position

Niche player specializing in affordable unmanned systems and propulsion within constrained defense market segments.

Demand drivers
Medium cyclicality

Business is tied to defense spending cycles and government contract awards which can fluctuate.