Intel stock spikes after report of possible US government stake
Investing.com - Noble Capital raised its price target on Kratos Defense & Security (NASDAQ:KTOS) to $60.00 from $44.00 on Monday, while maintaining an Outperform rating on the stock.
The research firm cited abundant growth opportunities for the defense contractor as a key factor behind the increased target, noting that Kratos shares have appreciated 96% year-to-date compared to the S&P 500’s 6.4% gain during the same period.
Noble Capital highlighted that Kratos’ recent capital raise provides additional optionality as the company positions itself to pursue growth opportunities in both defense and commercial sectors.
The firm specifically mentioned Secretary Hegseth’s directive as providing "additional fuel" for the company’s growth prospects, though specific details about this directive were not elaborated upon.
Noble Capital expressed continued positive sentiment regarding Kratos’ growth potential across both its defense and commercial business segments.
In other recent news, Kratos Defense & Security has seen several significant developments. Analysts have been active, with Goldman Sachs upgrading the company’s stock from Neutral to Buy, citing strategic investments in critical warfare technology and setting a price target of $52. Stifel also raised its price target to $54, following Kratos’s $500 million equity raise, which is expected to provide flexibility for future investments. Benchmark has adjusted its price target to $50, highlighting Kratos’s strong position due to the recently signed FY26 defense budget, which adds over $1 billion to its programs.
The company’s joint venture with Rafael Advanced Defense Systems, Prometheus, is anticipated to become a significant earnings contributor, boosted by the effectiveness of Rafael’s Iron Dome system. Furthermore, a Fox News report mentioned that Defense Secretary Pete Hegseth has ordered an increase in drone production, benefiting companies in the sector, including Kratos. These recent developments suggest a focus on expanding capabilities in drones and other advanced technologies. Analysts have pointed out that the defense supply chain areas where Kratos is investing are critical to future warfare.
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