Insider Selling: Mercury Systems (NASDAQ:MRCY) EVP Sells $147,882.75 in Stock

Mercury Systems Inc (NASDAQ:MRCY) EVP David Farnsworth sold 1,345 shares of the firm’s stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $109.95, for a total value of $147,882.75. Following the completion of the sale, the executive vice president directly owned 140,081 shares in the company, valued at $15,401,905.95. This trade represents a 0.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Mercury Systems Price Performance

NASDAQ MRCY traded down $3.75 during trading on Wednesday, hitting $101.25. 1,723,371 shares of the company’s stock were exchanged, compared to its average volume of 669,717. The stock’s 50 day moving average price is $108.73 and its two-hundred day moving average price is $94.85. Mercury Systems Inc has a fifty-two week low of $62.78 and a fifty-two week high of $128.45. The company has a current ratio of 3.19, a quick ratio of 2.15 and a debt-to-equity ratio of 0.40. The company has a market cap of $6.08 billion, a PE ratio of -421.88 and a beta of 0.95.

Mercury Systems (NASDAQ:MRCY) last announced its quarterly earnings results on Tuesday, August 18th. The technology company reported $0.37 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.38 by ($0.01). The company had revenue of $289.78 million for the quarter, compared to the consensus estimate of $266.09 million. Mercury Systems had a negative net margin of 1.46% and a positive return on equity of 2.22%. The company’s revenue for the quarter was up 6.1% compared to the same quarter last year. During the same period last year, the firm posted $0.47 earnings per share. Research analysts expect that Mercury Systems Inc will post 0.33 EPS for the current year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Maryland State Retirement & Pension System raised its holdings in shares of Mercury Systems by 1.8% in the 4th quarter. Maryland State Retirement & Pension System now owns 7,714 shares of the technology company’s stock worth $563,000 after purchasing an additional 134 shares during the period. GAMMA Investing LLC grew its holdings in Mercury Systems by 8.5% during the second quarter. GAMMA Investing LLC now owns 1,984 shares of the technology company’s stock valued at $243,000 after purchasing an additional 155 shares during the period. Oregon Public Employees Retirement Fund increased its position in Mercury Systems by 1.6% in the fourth quarter. Oregon Public Employees Retirement Fund now owns 12,058 shares of the technology company’s stock worth $880,000 after buying an additional 187 shares during the last quarter. Arizona State Retirement System raised its stake in shares of Mercury Systems by 1.3% in the fourth quarter. Arizona State Retirement System now owns 15,211 shares of the technology company’s stock valued at $1,111,000 after buying an additional 195 shares during the period. Finally, Focus Partners Wealth raised its stake in shares of Mercury Systems by 3.0% in the third quarter. Focus Partners Wealth now owns 6,929 shares of the technology company’s stock valued at $536,000 after buying an additional 199 shares during the period. 95.99% of the stock is owned by institutional investors and hedge funds.

Mercury Systems News Summary

Here are the key news stories impacting Mercury Systems this week:

• Positive Sentiment: Record fourth-quarter bookings rose 93.1% year over year to approximately $660 million, producing a 2.28 book-to-bill ratio. Backlog exceeded $1.9 billion, up 38.4% year over year, improving visibility as production ramps. Mercury Systems Reports Fourth Quarter and Fiscal 2026 Results
• Positive Sentiment: Fourth-quarter revenue increased 6.1% to roughly $290 million, exceeding analyst expectations near $266 million. Management’s fiscal 2027 targets point to low-double-digit revenue growth and potentially stronger performance ahead. Mercury Systems Q4 Earnings in Line, Revenues Top on Bookings
• Positive Sentiment: Several analysts raised their outlooks after the results. RBC increased its price target to $120 with an “outperform” rating, while Baird raised its target to $130 and Piper Sandler lifted its “overweight” target to $131. These Analysts Raise Their Forecasts on Mercury Systems After Q4 Results
• Neutral Sentiment: The broader market backdrop was mixed, with investors also monitoring geopolitical developments and technology stocks, potentially adding volatility to MRCY’s post-earnings reaction. Stock Market Futures Mixed
• Negative Sentiment: Adjusted EPS was $0.37, slightly below the $0.38 consensus and down from $0.47 a year earlier. GAAP EPS fell to approximately $0.01 from $0.27, while adjusted EBITDA declined to $49 million from $51 million. Lower profitability overshadowed the demand signals. Mercury Systems Drops as Q4 EPS Miss Overshadows Record Bookings
• Negative Sentiment: Fourth-quarter free cash flow eased to $29 million from $34 million, and full-year operating and free cash flow were below fiscal 2025 levels. Reported insider activity also showed sales and no open-market purchases in the past six months, adding a cautious signal.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on MRCY. Deutsche Bank Aktiengesellschaft cut Mercury Systems to a “hold” rating in a research note on Wednesday, August 12th. Royal Bank Of Canada increased their target price on Mercury Systems from $105.00 to $120.00 and gave the company an “outperform” rating in a research report on Wednesday. Robert W. Baird boosted their price target on Mercury Systems from $120.00 to $130.00 and gave the stock an “outperform” rating in a report on Wednesday. The Goldman Sachs Group upped their price objective on Mercury Systems from $60.00 to $68.00 and gave the company a “sell” rating in a research note on Monday, May 11th. Finally, Canaccord Genuity Group raised their price objective on shares of Mercury Systems from $102.00 to $106.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Two research analysts have rated the stock with a Strong Buy rating, four have given a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $106.80.

About Mercury Systems

Mercury Systems, Inc (NASDAQ: MRCY) is a technology company that designs, manufactures and markets secure processing subsystems for aerospace and defense applications. The company’s products are built to address the stringent security, safety and reliability requirements of mission-critical programs, with a focus on radar, electronic warfare, intelligence and other sensor and processing functions. Mercury’s offerings encompass rugged embedded computing modules, high-performance radio frequency (RF) and microwave components, digital signal processing subsystems and secure networking solutions.

Since its origins in advanced signal processing, Mercury Systems has expanded its capabilities through a combination of internal development and targeted acquisitions.