olivLaw · US equity research
Kratos Defense & Security Solutions, Inc. KTOS
Guided Missiles & Space Vehicles & Parts · SIC 3760 · Vertical: Guided Missiles & Space Vehicles & Parts (SIC 3760)
Kratos is a defense and national security technology company that develops unmanned systems, missiles, jet engines and microwave electronics, largely funded by its own investments. Its relevance grows as global weapons recapitalization continues, and in the second quarter of 2026 revenue reached 458.8 million USD.
At the close of 04 Nov 2026, Kratos Defense & Security Solutions, Inc. (KTOS) stock was 35.96 USD (−12.27% on the day), with market capitalisation 6.8 bn USD, P/E 206.8 on diluted EPS of 0.17 USD over the last 12 months, beta 1.43, 52-week range 35.96–130.72 USD. Latest reported quarter (Q2 2026): revenue of 458.8 m USD (+30.5% YoY), net income of 4.4 m USD (+51.7% YoY), diluted EPS 0.02 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 33.3
- weak (30–45)
- Bollinger (20, 2)
- 36.96 – 43.57
- below the lower band · %B -0.15 · band width 16.4%
- SMA 50 / 200
- 44.24 / 62.84
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -1.34 / -1.48
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −14.4% | −1.1% | −13.3 pp | — |
| 3 months | −35.0% | −0.5% | −34.6 pp | — |
| 6 months | −41.5% | +4.4% | −45.9 pp | — |
| Year to date | −52.6% | +12.3% | −64.9 pp | — |
| 1 year | −60.1% | +13.5% | −73.7 pp | +13.5% |
| 3 years | +108.5% | +76.4% | +32.1 pp | +117.2% |
| 5 years | +60.8% | +63.7% | −2.9 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 28 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 275.9 m | 283.1 m | 302.6 m | 351.5 m | 347.6 m | 345.1 m | 371.0 m | 458.8 m |
| Cost of revenue | 206.7 m | 213.3 m | 229.0 m | 277.7 m | 270.5 m | 261.7 m | 281.4 m | 358.7 m |
| Gross profit | 69.2 m | 69.8 m | 73.6 m | 73.8 m | 77.1 m | 83.4 m | 89.6 m | 100.1 m |
| Research & development | 9.9 m | 10.6 m | 10.0 m | 10.2 m | 10.0 m | 9.8 m | 10.7 m | 13.6 m |
| SG&A | 52.6 m | 55.7 m | 57.0 m | 59.9 m | 59.8 m | 63.5 m | 72.3 m | 87.3 m |
| Operating income | 6.5 m | 3.0 m | 6.6 m | 3.7 m | 7.1 m | 8.2 m | 4.7 m | -1.6 m |
| Depreciation & amortisation | 10.3 m | 10.3 m | 10.4 m | 11.8 m | 11.9 m | 13.0 m | 16.8 m | 22.1 m |
| Pre-tax income | 5.8 m | 4.0 m | 5.4 m | 4.6 m | 11.9 m | 12.1 m | 9.8 m | 7.0 m |
| Income tax | 2.6 m | 100.0 k | 900.0 k | 1.7 m | 3.2 m | 6.2 m | -2.1 m | 2.6 m |
| Net income | 3.2 m | 3.9 m | 4.5 m | 2.9 m | 8.7 m | 5.9 m | 11.9 m | 4.4 m |
| Diluted EPS | 0.02 | 0.02 ≈ | 0.03 | 0.02 | 0.05 | 0.03 ≈ | 0.07 | 0.02 |
| Operating cash flow | 6.1 m ≈ | 45.6 m | -29.2 m | -11.7 m ≈ | -13.3 m ≈ | 12.1 m | -27.4 m | -11.0 m ≈ |
| Capex | 15.3 m ≈ | 13.6 m | 22.6 m | 20.5 m ≈ | 28.0 m ≈ | 24.2 m | 19.9 m | 17.2 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 40 percentile of its own 20-quarter history (min 36.7, median 250.4, max 781.5; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 618.0 m | 717.5 m | 747.7 m | 811.5 m | 898.3 m | 1.0 bn | 1.1 bn | 1.3 bn |
| Revenue YoY | −17.8% | +16.1% | +4.2% | +8.5% | +10.7% | +15.5% | +9.6% | +18.5% |
| Net income | -3.5 m | 12.5 m | 79.6 m | -2.0 m | -36.9 m | -8.9 m | 16.3 m | 22.0 m |
| Net income YoY | unavailable | unavailable | +536.8% | −102.5% | unavailable | unavailable | unavailable | +35.0% |
| Diluted EPS | -0.03 | 0.11 | 0.67 | -0.02 | -0.29 | -0.07 | 0.11 | 0.13 |
| Diluted EPS YoY | unavailable | unavailable | +509.1% | −103.0% | unavailable | unavailable | unavailable | +18.2% |
| net % | -0.6% | 1.7% | 10.6% | -0.2% | -4.1% | -0.9% | 1.4% | 1.6% |
| Free cash flow | unavailable | unavailable | unavailable | unavailable | -71.1 m | 12.8 m | -8.5 m | -137.4 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 28 Dec 2025
- Cash
- 560.6 m USD
- Financial debt
- 0 USD
- Net debt
- -560.6 m USD
- Equity
- 2.0 bn USD
- Total assets
- 2.5 bn USD
- Debt / equity
- 0.00x
- Current ratio
- 4.06x
- ROE
- 1.3%
- ROA
- 1.0%
- FCF margin
- -10.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 747.7 m | 811.5 m | 898.3 m | 1.0 bn | 1.1 bn | 1.3 bn | SEC (XBRL)· 23 Feb 2026verified |
| Cost of revenue | 544.5 m | 586.4 m | 672.3 m | 768.5 m | 849.1 m | 1.0 bn | SEC (XBRL)· 23 Feb 2026verified |
| Gross profit | 203.2 m | 225.1 m | 226.0 m | 268.6 m | 287.2 m | 307.9 m | SEC (XBRL)· 23 Feb 2026verified |
| Research & development | 27.0 m | 35.2 m | 38.6 m | 38.4 m | 40.3 m | 40.0 m | SEC (XBRL)· 23 Feb 2026verified |
| SG&A | 144.5 m | 160.2 m | 182.8 m | 198.7 m | 217.2 m | 240.2 m | SEC (XBRL)· 23 Feb 2026verified |
| Operating income | 29.3 m | 27.9 m | -2.9 m | 31.1 m | 29.0 m | 25.6 m | SEC (XBRL)· 23 Feb 2026verified |
| Depreciation & amortisation | 24.6 m | 25.7 m | 30.5 m | 33.2 m | 40.3 m | 47.1 m | SEC (XBRL)· 23 Feb 2026verified |
| EBITDA | 53.9 m ≈ | 53.6 m ≈ | 27.6 m ≈ | 64.3 m ≈ | 69.3 m ≈ | 72.7 m ≈ | SEC (XBRL)· 23 Feb 2026derived |
| Interest expense | 23.6 m | 23.7 m | 18.3 m | 21.7 m | 15.2 m | 9.6 m | SEC (XBRL)· 23 Feb 2026verified |
| Pre-tax income | 6.8 m | 4.4 m | -33.0 m | 11.1 m | 26.5 m | 34.0 m | SEC (XBRL)· 23 Feb 2026verified |
| Income tax | -73.5 m | 3.9 m | 200.0 k | 8.7 m | 10.2 m | 12.0 m | SEC (XBRL)· 23 Feb 2026verified |
| Net income | 79.6 m | -2.0 m | -36.9 m | -8.9 m | 16.3 m | 22.0 m | SEC (XBRL)· 23 Feb 2026verified |
| Diluted EPS | 0.67 | -0.02 | -0.29 | -0.07 | 0.11 | 0.13 | SEC (XBRL)· 23 Feb 2026verified |
| Weighted average diluted shares | 118.7 m | 128.0 m | 126.7 m | 130.4 m | 150.9 m | 165.2 m | SEC (XBRL)· 23 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 380.8 m | 349.4 m | 81.3 m | 72.8 m | 329.3 m | 560.6 m | SEC (XBRL)· 23 Feb 2026verified |
| Receivables | 95.3 m | 93.9 m | 105.7 m | 128.8 m | 117.5 m | 165.0 m | SEC (XBRL)· 23 Feb 2026verified |
| Current assets | 764.8 m | 758.1 m | 582.6 m | 594.2 m | 872.1 m | 1.3 bn | SEC (XBRL)· 23 Feb 2026verified |
| Goodwill | 483.9 m | 493.9 m | 558.2 m | 569.1 m | 568.9 m | 595.7 m | SEC (XBRL)· 23 Feb 2026verified |
| Intangibles (excl. goodwill) | 43.0 m | 43.2 m | 55.2 m | 62.4 m | 53.8 m | 53.9 m | SEC (XBRL)· 23 Feb 2026verified |
| Total assets | 1.6 bn | 1.6 bn | 1.6 bn | 1.6 bn | 2.0 bn | 2.5 bn | SEC (XBRL)· 23 Feb 2026verified |
| Accounts payable | 55.4 m | 50.4 m | 57.3 m | 63.1 m | 82.0 m | 69.6 m | SEC (XBRL)· 23 Feb 2026verified |
| Long-term debt | 301.0 m | 296.7 m | 250.2 m | 219.3 m | 174.6 m | 0 | SEC (XBRL)· 23 Feb 2026verified |
| Current liabilities | 197.6 m | 221.1 m | 234.2 m | 292.5 m | 296.7 m | 311.0 m | SEC (XBRL)· 23 Feb 2026verified |
| Total liabilities | 622.7 m | 629.2 m | 604.0 m | 634.0 m | 597.7 m | 470.9 m | SEC (XBRL)· 23 Feb 2026verified |
| Equity | 925.3 m | 945.1 m | 936.3 m | 976.0 m | 1.4 bn | 2.0 bn | SEC (XBRL)· 23 Feb 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | — | — | -25.7 m | 65.2 m | 49.7 m | -42.1 m | SEC (XBRL)· 23 Feb 2026verified |
| Capex | 35.9 m | 46.5 m | 45.4 m | 52.4 m | 58.2 m | 95.3 m | SEC (XBRL)· 23 Feb 2026verified |
| Free cash flow | — | — | -71.1 m ≈ | 12.8 m ≈ | -8.5 m ≈ | -137.4 m ≈ | SEC (XBRL)· 23 Feb 2026derived |
| Investing cash flow | -87.3 m | -52.1 m | -177.4 m | -43.8 m | -69.7 m | -88.3 m | SEC (XBRL)· 23 Feb 2026verified |
| Financing cash flow | 247.7 m | -9.3 m | -63.3 m | -30.7 m | 277.6 m | 360.7 m | SEC (XBRL)· 23 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
- score weight coverage: 50.0% of at least 60%
- valuation methods computed: 0 of at least 1
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 6.8 bn USD
Key indicators
Coverage and freshness
Score by group
50% · Insufficient data
Estimated value range
unavailable — no valuation method could be computed
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
- DCF (discounted cash flow)unavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: P/Eunavailable · not enough peers
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
no valuation method could be computed
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Insufficient data
Minimum-evidence gate: score weight coverage: 50.0% of at least 60%; valuation methods computed: 0 of at least 1
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 2.0% | 83 (vs peers) | 13% |
| FCF conversion · Quality | -417.2% | 0 (on a fixed band) | 13% |
| Revenue CAGR 3Y · Growth | 14.5% | 100 (on a fixed band) | 17% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 1.9x | 6 (on a fixed band) | 13% |
| Current ratio · Balance sheet | 5.5x | 100 (on a fixed band) | 8% |
| P/E (TTM) · Valuation | 206.8x | 0 (on a fixed band) | 21% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | -1.9% | 0 (on a fixed band) | 17% |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet44/100 · 2/3 factors with a value
- Growth· partial100/100 · 1/2 factors with a value
- Quality42/100 · 2/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation0/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
KRATOS DEFENSE & SECURITY SOLUTIONS, INC. (KTOS). Latest full fiscal year: 2025; data up to 2026-06-28.
Figures computed from the financial statements: revenue 1.3 bn USD in 2025; YoY growth 18.5%; net margin 2.0%; ROE 1.1%.
Valuation cannot be computed from the available data.
Insufficient data for a verdict (score weight coverage: 50.0% of at least 60%; valuation methods computed: 0 of at least 1).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 2.0%
- Revenue CAGR 3Y: 14.5%
- Current ratio: 5.5x
What contradicts it
- FCF conversion: -417.2%
- Interest coverage: 1.9x
- P/E (TTM): 206.8x
- FCF yield: -1.9%
Not assessed (insufficient data or a ratio without meaning): ROIC, EPS CAGR 3Y, Net debt / EBITDA, EV/EBITDA, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Guided Missiles & Space Vehicles & Parts (SIC 3760) · same industry (4-digit SIC) · compared with 6 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| LMTLockheed Martin Corporation | 137.5 bn | 21.1 | 80.2% | 8.2% | +5.6% | +30% / +33% |
| RKLBRocket Lab Corp | 31.3 bn | — | -7.9% | -21.5% | +38.0% | +24% / +1,096% |
| KTOSKratos Defense & Security Solutions, Inc. | 6.8 bn | 206.8 | 1.1% | 2.0% | +18.5% | −60% / +108% |
| FLYFirefly Aerospace Inc. | 2.9 bn | — | -238.4% | -126.6% | +163.0% | −3% / unavailable |
| RDWRedwire Corporation | 1.9 bn | — | -19.2% | -57.3% | +10.3% | +40% / +202% |
| MNTSMomentus Inc. | 40.9 m | — | -68.3% | -927.7% | −47.5% | −85% / −100% |
| VOYGVoyager Technologies, Inc. | — | — | -38.7% | -79.0% | +15.4% | +3% / unavailable |
1- and 3-year price returns: for KTOS from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 22.13 Total return -38% · Per year -38% | 38.95 Total return 8% · Per year 8% | 58.44 Total return 63% · Per year 63% |
| 3 years | 25.99 Total return -28% · Per year -10% | 51.02 Total return 42% · Per year 12% | 83.39 Total return 132% · Per year 32% |
| 5 years | 30.52 Total return -15% · Per year -3% | 66.84 Total return 86% · Per year 13% | 118.98 Total return 231% · Per year 27% |
- Exit P/E± 12.76
- Net margin± 8.93
- Annual revenue growth± 6.69
- Annual dilution± 0.75
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Kratos is a defense and national security technology company that develops unmanned systems, missiles, jet engines and microwave electronics, largely funded by its own investments. Its relevance grows as global weapons recapitalization continues, and in the second quarter of 2026 revenue reached 458.8 million USD 123.
SWOT
Strengths
- The company holds proprietary technology and designed-in positions on existing military platforms, which reinforce its market position 1.
- A record backlog and a book-to-bill above one point to solid demand and some visibility on future revenue 23.
- Its strategy of being first to market with affordable, mass-producible products sets it apart from traditional integrators 1.
Weaknesses
- Heavy reliance on U.S. government contracts makes the company sensitive to budget changes and funding delays 1.
- Large investments in working capital and new facilities weighed on cash flow in the second quarter of 2026 3.
- Labor costs and shortages of qualified staff can compress margins, especially on fixed-price contracts 13.
Opportunities
- Rising defense budgets and recapitalization programs could open new contracts for missiles, drones and engines 12.
- Expanding jet engine and drone production could add revenue if the ramp-up proceeds as planned 3.
- Margin expansion as production scales could improve profitability over the medium term 3.
Risks
- Dependence on the U.S. Governmenthigh
Most revenue comes from government contracts, so budget cuts or delays could directly affect results 1.
- Competitive pressurehigh
Competitors with greater resources or lower costs could reduce Kratos' market share and margins 1.
- Costs and supply chainmedium
Inflation and supply disruptions could raise production costs, especially on fixed-price contracts 13.
- Capital needs and cash flowmedium
Large investments in facilities and inventory could require additional financing if revenue lags 13.
- Security and compliancelow
Cybersecurity and certification requirements may limit bidding or lead to penalties 1.
Investment thesis
What would need to be true (bull case)
- If organic growth from the second quarter holds and backlog converts to revenue, the company could meet its revised 2026 guidance 3.
- Global defense recapitalization and added funding could support demand for Kratos products over several years 12.
- If engine and drone production grows as planned, economies of scale could improve margins 3.
What would break the thesis
- If defense budgets are delayed or cut, new contracts could slow and revenue could fall short of expectations 12.
- Large investments and high working capital could keep cash flow under pressure for longer 3.
- Competition from new entrants and large integrators could reduce prices and margins, especially if labor costs stay high 1.
What to watch
- Guidance for third and fourth quarter 2026 revenueQ3 2026
- Delivery of the forecast organic growth for fiscal 20262026
- Evolution of backlog and book-to-bill ratioQ3 2026
- Progress of jet engine and Valkyrie drone production ramp-up2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Kratos presents itself as a technology, hardware, products, system and software company that aims to develop solutions quickly for clients in defense, national security and commercial markets 1. Its main areas include virtualized ground systems for satellites, jet-powered drones, hypersonic systems and rockets, propulsion for drones and missiles, C5ISR and microwave electronics, and training systems 1. The company says it makes large internally funded investments, for example in solid rocket motor facilities, jet engine and drone production, and that investments tied to its Prometheus venture with Rafael and its Oklahoma turbofan plant should ramp up in 2026 12.
The company reports in two segments: Kratos Government Solutions, which combines microwave, space and cyber, training, C5ISR, turbine technologies and rocket support, and Unmanned Systems, which covers aerial, ground and seaborne unmanned platforms 1. Its primary customers are national security agencies, especially the U.S. Department of War, and Kratos stresses that it aims to be first to market with affordable, mass-producible solutions 1. It can act as prime contractor or partner with large integrators when the required investment exceeds what it is comfortable making 1.
In the second quarter of 2026, the Government Solutions segment reported revenue of 379.7 million USD and Unmanned Systems of 79.1 million USD 3. The company also reported negative operating cash flow of 11.0 million USD in the same quarter, reflecting working capital needs tied to receivables and inventory 3.
Segments
Unmanned Systems (KUS)
The segment reported revenue of 79.1 million USD in the second quarter of 2026, with 8.1% organic growth, mainly driven by Valkyrie activity 3. Operating income was 1.2 million USD, against an operating loss of 0.3 million USD a year earlier 3. The company forecasts about 10% organic growth for this segment in 2026 following recent contract awards, including Valkyrie 3.
Market context
The defense market is supported by a global recapitalization of weapon systems driven by tensions with Russia, China, North Korea and Iran 12. For fiscal 2026, Congress approved 838.7 billion USD for defense, and with extra OBBBA funds and Department of Energy national security funding, total national security spending approaches 1 trillion USD 1. Budget pressures and delays in appropriations remain a source of uncertainty in this market 1.
Demand for affordable, mass-produced systems such as small cruise missiles and drones appears to be rising, and Kratos reported a record backlog of 2.084 billion USD on June 28, 2026 23. Its trailing twelve-month book-to-bill of 1.3 to 1 suggests demand is running ahead of current revenue 3. If budget allocations materialize, the company could convert this portfolio into revenue in the coming years 3.
Trends
- Global defense recapitalizationtailwind
The United States and its allies are rebuilding their defense industrial bases, which could support long-term demand for Kratos products 12.
- Additional defense fundingtailwind
The OBBBA and the 2026 appropriations package added funds that could accelerate new contracts if spent on schedule 1.
- Government shutdowns and delaysheadwind
Shutdowns and delayed approvals can postpone contracts, and the company notes these delays affect revenue and cash flow 1.
- Labor costs and supply chainmixed
Shortages of skilled staff and supply chain disruptions raise costs and can pressure margins, especially on fixed-price contracts 13.
Competitive position
Kratos faces competition from large traditional integrators with greater financial and engineering resources, as well as commercial contractors and defense technology start-ups 1. Alternative contracting methods such as OTA agreements have eased entry for new players and can increase pricing pressure 1. Some competitors receive government support or easier access to technology, which can strengthen their position 1.
Kratos competes on speed of development, low cost and internally funded investment, and partners with large integrators when its probability of winning rises 1. The company believes long-standing customer relationships and designed-in positions on platforms give it an advantage 1. If traditional integrators manage to cut costs, Kratos' speed advantage could become harder to sustain 1.
- Lockheed MartinLMT
Large U.S. defense integrator with extensive missile and space capabilities, cited as part of the traditional integrator group Kratos competes with or partners with 1.
- RTX CorporationRTX
Large defense company active in missiles and sensor systems, placed in the traditional integrator category in Kratos' sources 1.
- Northrop GrummanNOC
Defense and space systems integrator, relevant for comparison in the space and strategic systems areas Kratos highlights 1.
- Defense technology start-ups
Commercial and start-up firms using agile acquisition models and accepting higher risk, named as emerging competitors in Kratos' sources 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
- Kratos combat drone completes first Euro flight, advances turbojet engine productionDefense News (US, EN) · 15 Oct 2026 · EN
- Could Kratos Defense & Security Solutions (KTOS) Stock Outperform GE Aerospace (GE) as Next-Generation Defense Spending Accelerates?Yahoo Finance — News · 28 Aug 2026 · EN
- Christopher Judge, actorul care îl interpretează pe Kratos în celebra serie God of War, vine la Bucharest Gaming WeekSpotMedia.ro · 28 Aug 2026 · RO
- Actorul care îl interpretează pe Kratos din seria de jocuri video God of War vine la Bucharest Gaming WeekStartupCafe.ro · 28 Aug 2026 · RO
- Police Dismantle Kratos Phishing Kit Built to Steal Microsoft 365 Sessions and Bypass MFAThe Hacker News · 22 Jul 2026 · RO
- Police dismantle Kratos phishing platform, arrest developerBleepingComputer · 21 Jul 2026 · RO
- Kratos phishing-as-a-service kit loses its battle with international law enforcementThe Register · 21 Jul 2026 · RO
- God Of War TV series is recasting KratosThe Verge · 17 Jul 2026 · EN
SEC filings
- Quarterly report04 Aug 2026
- Current report04 Aug 2026Results of operations · Financial statements and exhibits
- Current report15 May 2026Shareholder vote · Financial statements and exhibits
- Quarterly report06 May 2026
- Current report06 May 2026Results of operations · Financial statements and exhibits
- Proxy statement02 Apr 2026
- Current report25 Mar 2026Departure or appointment of officers
- Current report06 Mar 2026Acquisition or disposition of assets · Financial statements and exhibits
- Current report02 Mar 2026Material agreement · Other events · Financial statements and exhibits
- Annual report23 Feb 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-28 · SEC / Kratos Defense & Security Solutions, Inc. · 23 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-28 · SEC / Kratos Defense & Security Solutions, Inc. · 04 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Kratos Defense & Security Solutions, Inc. · 04 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.