69.14 USD
+1.83 (+2.73%)
69.35 USD
+0.21 (+0.3%)
We assign a fundamental rating of 4 out of 10 to KTOS. KTOS was compared to 71 industry peers in the Aerospace & Defense industry. While KTOS seems to be doing ok healthwise, there are quite some concerns on its profitability. KTOS is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
KTOS had positive earnings in the past year.
KTOS had a negative operating cash flow in the past year.
In multiple years KTOS reported negative net income over the last 5 years.
KTOS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.83%, KTOS is in line with its industry, outperforming 46.48% of the companies in the same industry.
With a Return On Equity value of 1.01%, KTOS perfoms like the industry average, outperforming 46.48% of the companies in the same industry.
KTOS has a Return On Invested Capital (0.90%) which is comparable to the rest of the industry.
KTOS had an Average Return On Invested Capital over the past 3 years of 1.26%. This is significantly below the industry average of 8.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.83% | ||
| ROE | 1.01% | ||
| ROIC | 0.9% |
ROA(3y)-0.7%
ROA(5y)0.58%
ROE(3y)-1.22%
ROE(5y)0.95%
ROIC(3y)1.26%
ROIC(5y)1.46%
1.3 Margins
Looking at the Profit Margin, with a value of 1.56%, KTOS is in line with its industry, outperforming 49.30% of the companies in the same industry.
In the last couple of years the Profit Margin of KTOS has declined.
KTOS has a Operating Margin (1.89%) which is in line with its industry peers.
KTOS's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 22.91%, KTOS is in line with its industry, outperforming 45.07% of the companies in the same industry.
In the last couple of years the Gross Margin of KTOS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.89% | ||
| PM (TTM) | 1.56% | ||
| GM | 22.91% |
OM growth 3Y-7.51%
OM growth 5Y-12.8%
PM growth 3YN/A
PM growth 5Y-3.81%
GM growth 3Y-3.05%
GM growth 5Y-0.93%
2. Health
2.1 Basic Checks
KTOS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, KTOS has more shares outstanding
Compared to 5 years ago, KTOS has more shares outstanding
KTOS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 16.09 indicates that KTOS is not in any danger for bankruptcy at the moment.
The Altman-Z score of KTOS (16.09) is better than 95.77% of its industry peers.
A Debt/Equity ratio of 0.09 indicates that KTOS is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.09, KTOS is doing good in the industry, outperforming 78.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 16.09 |
ROIC/WACC0.09
WACC9.64%
2.3 Liquidity
A Current Ratio of 4.30 indicates that KTOS has no problem at all paying its short term obligations.
KTOS has a better Current ratio (4.30) than 84.51% of its industry peers.
KTOS has a Quick Ratio of 3.68. This indicates that KTOS is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of KTOS (3.68) is better than 88.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.3 | ||
| Quick Ratio | 3.68 |
3. Growth
3.1 Past
KTOS shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.17%.
KTOS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.58% yearly.
The Revenue has grown by 14.00% in the past year. This is quite good.
Measured over the past years, KTOS shows a quite strong growth in Revenue. The Revenue has been growing by 9.63% on average per year.
EPS 1Y (TTM)4.17%
EPS 3Y15.26%
EPS 5Y7.58%
EPS Q2Q%27.27%
Revenue 1Y (TTM)14%
Revenue growth 3Y11.88%
Revenue growth 5Y9.63%
Sales Q2Q%25.99%
3.2 Future
Based on estimates for the next years, KTOS will show a very strong growth in Earnings Per Share. The EPS will grow by 28.76% on average per year.
Based on estimates for the next years, KTOS will show a quite strong growth in Revenue. The Revenue will grow by 14.97% on average per year.
EPS Next Y9.06%
EPS Next 2Y25.55%
EPS Next 3Y28.05%
EPS Next 5Y28.76%
Revenue Next Year14.86%
Revenue Next 2Y16.88%
Revenue Next 3Y17.08%
Revenue Next 5Y14.97%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
KTOS is valuated quite expensively with a Price/Earnings ratio of 138.28.
KTOS's Price/Earnings ratio is in line with the industry average.
KTOS's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.45.
The Price/Forward Earnings ratio is 89.52, which means the current valuation is very expensive for KTOS.
60.56% of the companies in the same industry are cheaper than KTOS, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of KTOS to the average of the S&P500 Index (34.46), we can say KTOS is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 138.28 | ||
| Fwd PE | 89.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KTOS is valued a bit more expensive than 64.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 159.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KTOS does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as KTOS's earnings are expected to grow with 28.05% in the coming years.
PEG (NY)15.26
PEG (5Y)18.24
EPS Next 2Y25.55%
EPS Next 3Y28.05%
5. Dividend
5.1 Amount
No dividends for KTOS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
69.14
+1.83 (+2.73%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners102.94%
Inst Owner Change-8.94%
Ins Owners1.56%
Ins Owner Change-8.74%
Market Cap11.67B
Revenue(TTM)1.28B
Net Income(TTM)20.00M
Analysts83.64
Price Target95.85 (38.63%)
Short Float %5.84%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.02%
Min EPS beat(2)10.18%
Max EPS beat(2)15.86%
EPS beat(4)4
Avg EPS beat(4)19.67%
Min EPS beat(4)10.18%
Max EPS beat(4)26.87%
EPS beat(8)8
Avg EPS beat(8)39.86%
EPS beat(12)12
Avg EPS beat(12)35.51%
EPS beat(16)16
Avg EPS beat(16)42.04%
Revenue beat(2)2
Avg Revenue beat(2)9.21%
Min Revenue beat(2)5.74%
Max Revenue beat(2)12.68%
Revenue beat(4)3
Avg Revenue beat(4)4.11%
Min Revenue beat(4)-3.26%
Max Revenue beat(4)12.68%
Revenue beat(8)6
Avg Revenue beat(8)4.32%
Revenue beat(12)10
Avg Revenue beat(12)4.27%
Revenue beat(16)11
Avg Revenue beat(16)3.21%
PT rev (1m)28.15%
PT rev (3m)64.14%
EPS NQ rev (1m)-1.2%
EPS NQ rev (3m)6.47%
EPS NY rev (1m)0.6%
EPS NY rev (3m)2.9%
Revenue NQ rev (1m)-0.95%
Revenue NQ rev (3m)-2.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 138.28 | ||
| Fwd PE | 89.52 | ||
| P/S | 9.08 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 5.89 | ||
| P/tB | 8.78 | ||
| EV/EBITDA | 159.75 |
EPS(TTM)0.5
EY0.72%
EPS(NY)0.77
Fwd EY1.12%
FCF(TTM)-0.55
FCFYN/A
OCF(TTM)-0.05
OCFYN/A
SpS7.61
BVpS11.74
TBVpS7.88
PEG (NY)15.26
PEG (5Y)18.24
Graham Number11.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.83% | ||
| ROE | 1.01% | ||
| ROCE | 1.14% | ||
| ROIC | 0.9% | ||
| ROICexc | 1.22% | ||
| ROICexgc | 2.09% | ||
| OM | 1.89% | ||
| PM (TTM) | 1.56% | ||
| GM | 22.91% | ||
| FCFM | N/A |
ROA(3y)-0.7%
ROA(5y)0.58%
ROE(3y)-1.22%
ROE(5y)0.95%
ROIC(3y)1.26%
ROIC(5y)1.46%
ROICexc(3y)1.43%
ROICexc(5y)1.83%
ROICexgc(3y)2.78%
ROICexgc(5y)3.74%
ROCE(3y)1.59%
ROCE(5y)1.85%
ROICexgc growth 3Y-8.73%
ROICexgc growth 5Y-17.52%
ROICexc growth 3Y-5.2%
ROICexc growth 5Y-12.92%
OM growth 3Y-7.51%
OM growth 5Y-12.8%
PM growth 3YN/A
PM growth 5Y-3.81%
GM growth 3Y-3.05%
GM growth 5Y-0.93%
F-Score4
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.5 | ||
| Cap/Depr | 190.77% | ||
| Cap/Sales | 6.59% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.3 | ||
| Quick Ratio | 3.68 | ||
| Altman-Z | 16.09 |
F-Score4
WACC9.64%
ROIC/WACC0.09
Cap/Depr(3y)150.37%
Cap/Depr(5y)155.59%
Cap/Sales(3y)5.08%
Cap/Sales(5y)5.15%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.17%
EPS 3Y15.26%
EPS 5Y7.58%
EPS Q2Q%27.27%
EPS Next Y9.06%
EPS Next 2Y25.55%
EPS Next 3Y28.05%
EPS Next 5Y28.76%
Revenue 1Y (TTM)14%
Revenue growth 3Y11.88%
Revenue growth 5Y9.63%
Sales Q2Q%25.99%
Revenue Next Year14.86%
Revenue Next 2Y16.88%
Revenue Next 3Y17.08%
Revenue Next 5Y14.97%
EBIT growth 1Y-36.55%
EBIT growth 3Y3.47%
EBIT growth 5Y-4.4%
EBIT Next Year280.75%
EBIT Next 3Y88.96%
EBIT Next 5Y55.27%
FCF growth 1Y-139.23%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-282.98%
OCF growth 3Y17.29%
OCF growth 5Y10.62%
KRATOS DEFENSE & SECURITY / KTOS FAQ
Can you provide the ChartMill fundamental rating for KRATOS DEFENSE & SECURITY?
ChartMill assigns a fundamental rating of 4 / 10 to KTOS.
Can you provide the valuation status for KRATOS DEFENSE & SECURITY?
ChartMill assigns a valuation rating of 1 / 10 to KRATOS DEFENSE & SECURITY (KTOS). This can be considered as Overvalued.
What is the profitability of KTOS stock?
KRATOS DEFENSE & SECURITY (KTOS) has a profitability rating of 3 / 10.
How financially healthy is KRATOS DEFENSE & SECURITY?
The financial health rating of KRATOS DEFENSE & SECURITY (KTOS) is 6 / 10.