Aerospace and defense company Kratos (NASDAQ: KTOS) will be announcing earnings results this Tuesday afternoon. Here’s what to expect.
Kratos beat analysts’ revenue expectations by 15% last quarter, reporting revenues of $351.5 million, up 17.1% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ organic revenue estimates and a solid beat of analysts’ EBITDA estimates.
Is Kratos a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Kratos’s revenue to grow 16.5% year on year to $321.5 million, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.12 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Kratos has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Kratos’s peers in the defense contractors segment, some have already reported their Q3 results, giving us a hint as to what we can expect. RTX delivered year-on-year revenue growth of 11.9%, beating analysts’ expectations by 5.4%, and General Dynamics reported revenues up 10.6%, topping estimates by 3.1%. RTX traded up 10.8% following the results while General Dynamics was also up 3.5%.
Read our full analysis of RTX’s results here and General Dynamics’s results here.
Investors in the defense contractors segment have had steady hands going into earnings, with share prices flat over the last month. Kratos is down 9.2% during the same time and is heading into earnings with an average analyst price target of $93.07 (compared to the current share price of $91).
The biggest winners—Microsoft, Alphabet, Coca-Cola, Monster Beverage—were all riding powerful megatrends before Wall Street caught on. We’ve just identified an under-the-radar profitable growth stock positioned at the center of the AI boom. Get it FREE here before the crowd discovers it. GO HERE NOW.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
