Kratos Defense & Security Solutions, Inc.

NasdaqGS:KTOS Stock Report

Market Cap: US$18.6b

Kratos Defense & Security Solutions Valuation

Is KTOS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of KTOS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: Insufficient data to calculate KTOS's future cash flow value for valuation analysis.

Significantly Below Future Cash Flow Value: Insufficient data to calculate KTOS's future cash flow value for valuation analysis.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for KTOS?

Key metric: As KTOS is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for KTOS. This is calculated by dividing KTOS's market cap by their current revenue.
What is KTOS's PS Ratio?
PS Ratio14.5x
SalesUS$1.28b
Market CapUS$18.64b

Price to Sales Ratio vs Peers

How does KTOS's PS Ratio compare to its peers?

The above table shows the PS ratio for KTOS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average5.3x
WWD Woodward
5.5x7.97%US$19.6b
BWXT BWX Technologies
6.2x10.41%US$19.0b
CRS Carpenter Technology
5.8x6.49%US$16.7b
ATI ATI
3.7x7.09%US$16.8b
KTOS Kratos Defense & Security Solutions
14.5x15.51%US$18.6b

Price-To-Sales vs Peers: KTOS is expensive based on its Price-To-Sales Ratio (14.5x) compared to the peer average (5.3x).

Historical Price to Sales Ratio

Historical Price to Sales Ratio compares a stock's price to its sales over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Sales Ratio vs Industry

How does KTOS's PS Ratio compare vs other companies in the US Aerospace & Defense Industry?

11 CompaniesPrice / SalesEstimated GrowthMarket Cap
SPR Spirit AeroSystems Holdings
0.7x17.89%US$4.64b
VSTO Vista Outdoor
1x2.42%US$2.61b
VVX V2X
0.5x4.75%US$2.20b
CVU CPI Aerostructures
0.8xn/aUS$55.91m
KTOS 14.5xIndustry Avg. 3.8xNo. of Companies11PS048121620+
11 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: KTOS is expensive based on its Price-To-Sales Ratio (14.5x) compared to the US Aerospace & Defense industry average (3.8x).

Price to Sales Ratio vs Fair Ratio

What is KTOS's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

KTOS PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio14.5x
Fair PS Ratio3.1x

Price-To-Sales vs Fair Ratio: KTOS is expensive based on its Price-To-Sales Ratio (14.5x) compared to the estimated Fair Price-To-Sales Ratio (3.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst KTOS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$110.39
US$115.53
+4.65%
17.54%US$150.00US$83.00n/a19
Jan ’27US$75.91
US$99.94
+31.66%
13.02%US$125.00US$80.00n/a17
Dec ’26US$73.21
US$100.56
+37.36%
13.09%US$125.00US$80.00n/a16
Nov ’26US$90.60
US$93.07
+2.73%
20.88%US$125.00US$60.00n/a14
Oct ’26US$92.96
US$76.71
-17.48%
14.60%US$105.00US$60.00n/a14
Sep ’26US$65.84
US$70.47
+7.03%
8.94%US$80.00US$60.00n/a15
Aug ’26US$56.71
US$57.46
+1.33%
19.78%US$78.00US$37.00n/a13
Jul ’26US$43.07
US$44.33
+2.93%
12.43%US$52.00US$37.00n/a12
Jun ’26US$36.89
US$37.09
+0.54%
13.28%US$41.00US$23.00n/a11
May ’26US$34.93
US$34.82
-0.32%
14.38%US$40.00US$22.00n/a11
Apr ’26US$29.30
US$34.00
+16.04%
14.68%US$40.00US$22.00n/a11
Mar ’26US$26.39
US$33.00
+25.05%
16.75%US$40.00US$22.00n/a11
Feb ’26US$33.37
US$31.36
-6.01%
17.90%US$40.00US$22.00n/a11
Jan ’26US$26.38
US$28.36
+7.52%
14.04%US$35.00US$20.00US$75.9111
Dec ’25US$27.09
US$27.18
+0.34%
13.93%US$35.00US$20.00US$73.2111
Nov ’25US$22.87
US$26.27
+14.88%
12.89%US$35.00US$20.00US$90.6011
Oct ’25US$24.82
US$25.45
+2.56%
14.92%US$35.00US$19.00US$92.9611
Sep ’25US$22.94
US$23.64
+3.04%
9.59%US$27.00US$19.00US$65.8411
Aug ’25US$22.03
US$23.82
+8.12%
9.27%US$27.00US$19.00US$56.7111
Jul ’25US$19.74
US$23.64
+19.74%
9.59%US$27.00US$19.00US$43.0711
Jun ’25US$21.74
US$23.55
+8.30%
9.64%US$27.00US$19.00US$36.8911
May ’25US$18.19
US$22.40
+23.14%
11.50%US$27.00US$18.00US$34.9310
Apr ’25US$18.36
US$21.80
+18.74%
10.42%US$25.00US$17.00US$29.3010
Mar ’25US$18.03
US$21.80
+20.91%
10.42%US$25.00US$17.00US$26.3910
Feb ’25US$17.24
US$20.60
+19.49%
12.32%US$25.00US$15.00US$33.3710
Jan ’25US$20.29
US$20.10
-0.94%
10.30%US$23.00US$15.00US$26.3810
US$115.53
Fair Value
4.4% undervalued intrinsic discount
19
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/01/25 00:02
End of Day Share Price 2026/01/23 00:00
Earnings2025/09/28
Annual Earnings2024/12/29

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Kratos Defense & Security Solutions, Inc. is covered by 25 analysts. 18 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Peter ArmentBaird
Christopher RiegerBerenberg
Matthew AkersBNP Paribas