Mercury Systems’ (MRCY) Overweight Rating Reiterated at Piper Sandler

Piper Sandler restated their overweight rating on shares of Mercury Systems (NASDAQ:MRCY) in a research note issued to investors on Wednesday, MarketBeat reports. The firm currently has a $131.00 price target on the technology company’s stock, up from their prior price target of $126.00.

MRCY has been the topic of a number of other reports. Weiss Ratings reiterated a “sell (d-)” rating on shares of Mercury Systems in a research report on Friday, July 17th. Zacks Research cut Mercury Systems from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, August 4th. Wall Street Zen downgraded Mercury Systems from a “buy” rating to a “hold” rating in a research note on Saturday, July 18th. Jefferies Financial Group reiterated a “hold” rating and issued a $115.00 price objective on shares of Mercury Systems in a research report on Friday, July 10th. Finally, Deutsche Bank Aktiengesellschaft cut shares of Mercury Systems to a “hold” rating in a research note on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, four have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, Mercury Systems has an average rating of “Hold” and a consensus target price of $110.10.

Mercury Systems Price Performance

MRCY stock opened at $91.36 on Wednesday. The firm has a 50 day moving average of $107.54 and a 200-day moving average of $94.85. Mercury Systems has a 12-month low of $65.04 and a 12-month high of $128.45. The company has a current ratio of 2.96, a quick ratio of 2.15 and a debt-to-equity ratio of 0.29. The company has a market cap of $5.49 billion, a price-to-earnings ratio of -182.72 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 EPS for the quarter, missing the consensus estimate of $0.38 by ($0.01). Mercury Systems had a positive return on equity of 1.29% and a negative net margin of 3.02%.The firm had revenue of $289.78 million for the quarter, compared to analysts’ expectations of $266.09 million. During the same period last year, the firm earned $0.47 EPS. Mercury Systems’s revenue was up 6.1% compared to the same quarter last year. As a group, equities analysts expect that Mercury Systems will post 0.77 EPS for the current fiscal year.

Insider Activity

In other news, CAO Douglas Munro sold 548 shares of the business’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $100.31, for a total value of $54,969.88. Following the completion of the transaction, the chief accounting officer directly owned 13,091 shares of the company’s stock, valued at $1,313,158.21. The trade was a 4.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO William L. Ballhaus sold 22,010 shares of the company’s stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $97.67, for a total value of $2,149,716.70. Following the completion of the sale, the chief executive officer owned 228,197 shares in the company, valued at $22,288,000.99. This represents a 8.80% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 120,705 shares of company stock worth $12,485,420 in the last quarter. 1.40% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the company. Public Employees Retirement System of Ohio purchased a new position in Mercury Systems in the 2nd quarter valued at about $43,000. Barrow Hanley Mewhinney & Strauss LLC purchased a new stake in shares of Mercury Systems during the second quarter worth about $52,000. Leonteq Securities AG purchased a new stake in shares of Mercury Systems during the fourth quarter worth about $35,000. Hollencrest Capital Management acquired a new position in shares of Mercury Systems in the fourth quarter valued at approximately $37,000. Finally, Osaic Holdings Inc. raised its position in shares of Mercury Systems by 53.2% in the second quarter. Osaic Holdings Inc. now owns 599 shares of the technology company’s stock valued at $32,000 after buying an additional 208 shares during the last quarter. Institutional investors and hedge funds own 95.99% of the company’s stock.

Trending Headlines about Mercury Systems

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

• Positive Sentiment: Mercury Systems reported record fourth-quarter bookings of approximately $660 million, up 93.1% year over year, with a 2.28 book-to-bill ratio. Backlog surpassed $1.9 billion, a 38.4% increase, providing stronger revenue visibility as production ramps. Mercury Systems Reports Fourth Quarter and Fiscal 2026 Results
• Positive Sentiment: Revenue increased 6.1% year over year to approximately $290 million, exceeding the roughly $266 million analyst estimate. RBC raised its target to $120, Piper Sandler lifted its target to $131 while maintaining an Overweight rating, and Baird also forecast substantial upside. Robert W. Baird Forecasts Strong Price Appreciation
• Neutral Sentiment: CEO William Ballhaus and several executives sold shares in transactions from August 17–20. The sales totaled several million dollars, but SEC filings said they were intended to cover tax withholding on vested equity awards. That reduces their value as a bearish signal, although no insider purchases were reported. Mercury Systems SEC Insider Trading Filing
• Negative Sentiment: Adjusted EPS was $0.37, narrowly missing the $0.38 consensus and falling from $0.47 a year earlier. GAAP EPS was $0.01, while adjusted EBITDA declined to $49 million from $51 million and free cash flow fell to $29 million from $34 million. The earnings shortfall appears to have outweighed the strong bookings and revenue figures. Mercury Systems Drops as EPS Miss Overshadows Record Bookings
• Negative Sentiment: Investors are also evaluating Mercury’s exposure to semiconductor-price volatility. Because many contracts are fixed-price, higher component costs could pressure margins before the company can adjust pricing or supply arrangements. Mercury Systems Fixed-Price Contract Risk

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.