Kratos Defense & Security Solutions IncFind Ratings Reports
KRATOS DEFENSE & SECURITY's gross profit margin for the first quarter of its fiscal year 2017 has increased when compared to the same period a year ago. Sales and net income have grown, and although the growth in revenues has outpaced the average competitor within the industry, the net income growth has not. KRATOS DEFENSE & SECURITY has strong liquidity. Currently, the Quick Ratio is 1.54 which shows the ability to cover short-term cash needs. The company's liquidity has increased from the same period last year, indicating improving cash flow.
At the same time, stockholders' equity ("net worth") has greatly increased by 49.72% from the same quarter last year. The key liquidity measurements indicate that the company is unlikely to face financial difficulties in the near future.
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|Income Statement||Q1 FY17||Q1 FY16|
|Net Sales ($mil)||167.8||153.0|
|Net Income ($mil)||-10.0||-22.2|
|Balance Sheet||Q1 FY17||Q1 FY16|
|Cash & Equiv. ($mil)||73.9||20.8|
|Total Assets ($mil)||961.6||884.4|
|Total Debt ($mil)||369.3||444.4|
|Profitability||Q1 FY17||Q1 FY16|
|Gross Profit Margin||28.25||25.03|
|Return on Assets||-5.02||1.57|
|Return on Equity||-13.68||-17.42|
|Debt||Q1 FY17||Q1 FY16|
|Share Data||Q1 FY17||Q1 FY16|
|Shares outstanding (mil)||86.44||59.58|
|Div / share||0.0||0.0|
|Book value / share||4.07||3.94|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||1254250.0||1617839.0|
HOLD. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. To use another comparison, its price-to-book ratio of 2.79 indicates valuation on par with the S&P 500 average of 3.09 and a significant discount versus the industry average of 266.67. The current price-to-sales ratio is well below the S&P 500 average and is also below the industry average, indicating a discount. After reviewing these and other key valuation criteria, KRATOS DEFENSE & SECURITY proves to trade at a discount to investment alternatives within the industry.
|KTOS NM||Peers 22.73||KTOS NM||Peers 17.02|
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.
KTOS's P/E is negative making this valuation measure meaningless.
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
KTOS's P/CF is negative making the measure meaningless.
|KTOS 34.39||Peers 21.57||KTOS NA||Peers 9.46|
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.
KTOS is trading at a significant premium to its peers.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
Ratio not available.
|KTOS 2.79||Peers 266.67||KTOS -10.14||Peers 23.52|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
KTOS is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, KTOS is expected to significantly trail its peers on the basis of its earnings growth rate.
|KTOS 1.44||Peers 1.75||KTOS 4.67||Peers 5.30|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
KTOS is trading at a discount to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
KTOS trails its peers on the basis of sales growth