Kratos Defense Rises on THAICOM 10 Contract With Recent Earnings in Focus

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) shares traded higher Monday after the company secured a contract to supply next-generation satellite ground infrastructure for THAICOM 10.

The move also follows Kratos’ recent third-quarter results, which beat earnings and revenue estimates, along with a record backlog and higher 2026 revenue guidance.

THAICOM 10 Contract Expands Kratos’ Space Systems Work

Gulf Space Technology, formerly Thaicom, awarded Kratos a contract to deliver the first Q/V/Ka-band gateway antenna systems for its upcoming THAICOM 10 software-defined high-throughput satellite.

Kratos said the gateway will support THAICOM 10’s ability to dynamically adjust capacity, coverage and services, while Q/V/Ka-band operations can deliver roughly two to three times more bandwidth than Ka-band systems.

The contract covers antennas, RF equipment, fiber-optic transport, timing systems and related site infrastructure.

Kratos will also integrate its Monitoring & Control system with the Satellite Operations Center it is developing for Gulf Space Technology, creating a unified space-to-ground platform.

Backlog And Earnings Remain Key Investor Focus

Kratos’ latest quarterly results add financial context to Monday’s contract-driven move.

The company reported third-quarter 2026 results last week, with adjusted EPS of 24 cents topping the 20-cent estimate and revenue of $471.80 million edging past the $471.16 million estimate.

Revenue rose 35.7% year over year, while bookings reached $1.04 billion and backlog hit a record $2.6 billion.

Kratos also raised its 2026 revenue outlook to $1.78 billion to $1.81 billion from $1.75 billion to $1.81 billion and guided fourth-quarter revenue to $480 million to $510 million.

For 2027, the company outlined an initial revenue outlook of $2.1 billion to $2.2 billion and adjusted EBITDA of $230 million to $240 million.

Analysts Reset Targets

Kratos carries a Buy consensus rating with an average price forecast of $80.89.

Most recently, Guggenheim maintained a Buy rating on Nov. 9 and lowered its price target to $67 from $74.

BTIG maintained a Buy rating on Nov. 6 and lowered its price target to $65 from $104. KeyBanc maintained an Overweight rating on Nov. 2, while cutting its price target to $75 from $130.

The next estimated earnings report is scheduled for Feb. 22, 2027, with EPS estimated at 25 cents and revenue at $490.64 million.

KTOS Technical Setup Remains Weak

Kratos remains in a bearish technical setup, trading about 3% below its 20-day simple moving average (SMA), about 12% below its 50-day SMA and about 38% below its 200-day SMA.

The relative strength index (RSI) stands at about 42, in neutral territory. MACD remains below its signal line, signaling continued bearish momentum.

Key support sits at $36.50, while resistance is near $44.00. A hold above support could help stabilize the stock, while a break below may expose further downside.

KTOS Price Action: Kratos Defense & Security shares were up 8.12% at $37.95 at the time of publication on Monday, according to Benzinga Pro data.

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