KTOS vs. MRCY

Last updated Apr 2, 2026

Compare and contrast key facts about Kratos Defense & Security Solutions, Inc. (KTOS) and Mercury Systems, Inc. (MRCY).

Performance

KTOS vs. MRCY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Kratos Defense & Security Solutions, Inc. (KTOS) and Mercury Systems, Inc. (MRCY). The values are adjusted to include any dividend payments, if applicable.

KTOS vs. MRCY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
KTOS Kratos Defense & Security Solutions, Inc.	-10.82%	187.76%	30.01%	96.61%	-46.80%	-29.27%	52.30%	27.82%	33.05%	43.11%
MRCY Mercury Systems, Inc.	2.38%	73.83%	14.85%	-18.26%	-18.74%	-37.47%	27.42%	46.14%	-7.91%	69.92%

Fundamentals

Market Cap KTOS : $11.73B MRCY : $4.44B
EPS KTOS : $0.13 MRCY : -$1.12
PS Ratio KTOS : 8.44 MRCY : 5.02
PB Ratio KTOS : 5.87 MRCY : 3.04
Total Revenue (TTM) KTOS : $1.35B MRCY : $880.80M
Gross Profit (TTM) KTOS : $256.10M MRCY : $237.75M
EBITDA (TTM) KTOS : $70.20M MRCY : $9.75M

Returns By Period

In the year-to-date period, KTOS achieves a -10.82% return, which is significantly lower than MRCY's 2.38% return. Over the past 10 years, KTOS has outperformed MRCY with an annualized return of 29.66%, while MRCY has yielded a comparatively lower 13.56% annualized return.

KTOS

• 1D: -3.99%
• 1M: -25.37%
• YTD: -10.82%
• 6M: -27.17%
• 1Y: 131.06%
• 3Y*: 71.25%
• 5Y*: 19.07%
• 10Y*: 29.66%

MRCY

• 1D: 2.52%
• 1M: -17.87%
• YTD: 2.38%
• 6M: -7.92%
• 1Y: 71.88%
• 3Y*: 13.50%
• 5Y*: 0.64%
• 10Y*: 13.56%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Return for Risk

KTOS vs. MRCY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

KTOS

KTOS Risk / Return Rank: 84
KTOS Sharpe Ratio Rank: 89
KTOS Sortino Ratio Rank: 85
KTOS Omega Ratio Rank: 81
KTOS Calmar Ratio Rank: 82
KTOS Martin Ratio Rank: 82

MRCY

MRCY Risk / Return Rank: 79
MRCY Sharpe Ratio Rank: 80
MRCY Sortino Ratio Rank: 76
MRCY Omega Ratio Rank: 79
MRCY Calmar Ratio Rank: 79
MRCY Martin Ratio Rank: 81

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

KTOS vs. MRCY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Kratos Defense & Security Solutions, Inc. (KTOS) and Mercury Systems, Inc. (MRCY). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	KTOS	MRCY	Difference
Sharpe ratio Return per unit of total volatility	1.95	1.34	+0.61
Sortino ratio Return per unit of downside risk	2.42	1.93	+0.49
Omega ratio Gain probability vs. loss probability	1.30	1.28	+0.02
Calmar ratio Return relative to maximum drawdown	2.56	2.28	+0.27
Martin ratio Return relative to average drawdown	6.85	6.72	+0.14
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

KTOS vs. MRCY - Sharpe Ratio Comparison

The current KTOS Sharpe Ratio is 1.95, which is higher than the MRCY Sharpe Ratio of 1.34. The chart below compares the historical Sharpe Ratios of KTOS and MRCY, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	KTOS	MRCY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.95	1.34	+0.61
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.38	0.01	+0.36
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.59	0.31	+0.28
Sharpe Ratio (All Time) Calculated using the full available price history	-0.13	0.18	-0.31

Correlation

The correlation between KTOS and MRCY is 0.32, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

KTOS vs. MRCY - Dividend Comparison

Neither KTOS nor MRCY has paid dividends to shareholders.

Tickers have no history of dividend payments

Drawdowns

KTOS vs. MRCY - Drawdown Comparison

The maximum KTOS drawdown since its inception was -99.81%, roughly equal to the maximum MRCY drawdown of -95.95%. Use the drawdown chart below to compare losses from any high point for KTOS and MRCY.

Drawdown Indicators

	KTOS	MRCY	Difference
Max Drawdown Largest peak-to-trough decline	-99.81%	-95.95%	-3.86%
Max Drawdown (1Y) Largest decline over 1 year	-50.06%	-32.19%	-17.87%
Max Drawdown (5Y) Largest decline over 5 years	-69.39%	-66.91%	-2.48%
Max Drawdown (10Y) Largest decline over 10 years	-72.74%	-71.73%	-1.01%
Current Drawdown Current decline from peak	-95.71%	-27.44%	-68.27%
Average Drawdown Average peak-to-trough decline	-95.94%	-54.03%	-41.91%
Ulcer Index Depth and duration of drawdowns from previous peaks	18.68%	10.94%	+7.74%

Volatility

KTOS vs. MRCY - Volatility Comparison

Kratos Defense & Security Solutions, Inc. (KTOS) has a higher volatility of 22.29% compared to Mercury Systems, Inc. (MRCY) at 15.84%. This indicates that KTOS's price experiences larger fluctuations and is considered to be riskier than MRCY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	KTOS	MRCY	Difference
Volatility (1M) Calculated over the trailing 1-month period	22.29%	15.84%	+6.45%
Volatility (6M) Calculated over the trailing 6-month period	55.39%	41.42%	+13.97%
Volatility (1Y) Calculated over the trailing 1-year period	67.59%	53.80%	+13.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	50.57%	45.92%	+4.65%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	50.24%	43.48%	+6.76%

Financials

KTOS vs. MRCY - Profitability Comparison

The chart below illustrates the profitability comparison between Kratos Defense & Security Solutions, Inc. and Mercury Systems, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

KTOS - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Kratos Defense & Security Solutions, Inc. reported a gross profit of 31.60M and revenue of 345.10M. Therefore, the gross margin over that period was 9.2%.

MRCY - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Mercury Systems, Inc. reported a gross profit of 60.63M and revenue of 232.87M. Therefore, the gross margin over that period was 26.0%.

KTOS - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Kratos Defense & Security Solutions, Inc. reported an operating income of 8.20M and revenue of 345.10M, resulting in an operating margin of 2.4%.

MRCY - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Mercury Systems, Inc. reported an operating income of -10.82M and revenue of 232.87M, resulting in an operating margin of -4.7%.

KTOS - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Kratos Defense & Security Solutions, Inc. reported a net income of 5.90M and revenue of 345.10M, resulting in a net margin of 1.7%.

MRCY - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Mercury Systems, Inc. reported a net income of -15.10M and revenue of 232.87M, resulting in a net margin of -6.5%.