Mercury Systems (NASDAQ:MRCY) Hits New 52-Week High on Analyst Upgrade

Shares of Mercury Systems Inc (NASDAQ:MRCY) reached a new 52-week high during mid-day trading on Tuesday after Zacks Research upgraded the stock from a hold rating to a strong-buy rating. The company traded as high as $128.45 and last traded at $123.07, with a volume of 426445 shares. The stock had previously closed at $126.21.

MRCY has been the subject of several other reports. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Mercury Systems in a research report on Tuesday, April 21st. Truist Financial raised Mercury Systems to a “strong-buy” rating in a research report on Friday, May 1st. Jefferies Financial Group restated a “hold” rating and issued a $105.00 target price on shares of Mercury Systems in a research note on Monday, June 1st. Canaccord Genuity Group upped their price target on Mercury Systems from $102.00 to $106.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Finally, The Goldman Sachs Group raised their price target on shares of Mercury Systems from $60.00 to $68.00 and gave the stock a “sell” rating in a research note on Monday, May 11th. Three research analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating, two have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $91.00.

Insider Buying and Selling

In other Mercury Systems news, Director Orlando D. Carvalho sold 7,000 shares of the business’s stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $89.36, for a total transaction of $625,520.00. Following the transaction, the director owned 52,448 shares of the company’s stock, valued at $4,686,753.28. The trade was a 11.77% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP David E. Farnsworth sold 3,625 shares of the company’s stock in a transaction that occurred on Thursday, April 16th. The stock was sold at an average price of $84.87, for a total value of $307,653.75. Following the sale, the executive vice president owned 157,701 shares in the company, valued at approximately $13,384,083.87. This represents a 2.25% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 21,875 shares of company stock valued at $2,040,874 in the last ninety days. 1.40% of the stock is owned by company insiders.

Key Stories Impacting Mercury Systems

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

• Positive Sentiment: Zacks Research upgraded Mercury Systems (MRCY) from Hold to Strong-Buy, signaling improved analyst confidence in the stock.
• Positive Sentiment: The firm raised several forward EPS estimates, including Q2 2028, Q3 2028 and Q4 2028, which suggests expectations for stronger profitability later on.
• Positive Sentiment: Recent quarterly results were solid, with Mercury Systems reporting earnings and revenue above Wall Street expectations, supporting the bullish thesis.
• Neutral Sentiment: Some estimates were trimmed for FY2026 and parts of FY2027, indicating that near-term earnings growth may be less robust than previously expected.
• Neutral Sentiment: The stock has also recently reached a new 12-month high, so investor optimism is already elevated. Mercury Systems Hits New 12-Month High – Should You Buy?

Institutional Trading of Mercury Systems

Large investors have recently added to or reduced their stakes in the company. Nordea Investment Management AB bought a new stake in shares of Mercury Systems in the 4th quarter valued at about $4,954,000. Penn Capital Management Company LLC bought a new position in Mercury Systems during the third quarter worth about $14,292,000. One Capital Management LLC increased its position in Mercury Systems by 43.6% during the fourth quarter. One Capital Management LLC now owns 29,300 shares of the technology company’s stock worth $2,139,000 after buying an additional 8,893 shares during the last quarter. Bessemer Group Inc. increased its position in Mercury Systems by 45.6% during the fourth quarter. Bessemer Group Inc. now owns 399,496 shares of the technology company’s stock worth $29,168,000 after buying an additional 125,194 shares during the last quarter. Finally, Portolan Capital Management LLC bought a new stake in Mercury Systems in the third quarter valued at approximately $3,472,000. Institutional investors and hedge funds own 95.99% of the company’s stock.

Mercury Systems Stock Down 3.0%

The stock has a market cap of $6.75 billion, a P/E ratio of -468.38 and a beta of 0.93. The firm has a 50 day simple moving average of $104.84 and a 200-day simple moving average of $91.53. The company has a quick ratio of 2.15, a current ratio of 3.19 and a debt-to-equity ratio of 0.40.

Mercury Systems (NASDAQ:MRCY) last issued its earnings results on Tuesday, May 5th. The technology company reported $0.27 EPS for the quarter, topping the consensus estimate of $0.06 by $0.21. Mercury Systems had a positive return on equity of 2.22% and a negative net margin of 1.46%.The company had revenue of $235.76 million during the quarter, compared to the consensus estimate of $208.56 million. During the same period in the previous year, the company posted $0.06 EPS. The firm’s revenue for the quarter was up 11.5% compared to the same quarter last year. On average, equities research analysts forecast that Mercury Systems Inc will post 0.3 earnings per share for the current fiscal year.

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.