KTOS

Kratos Defense & Security Solutions (KTOS) has successfully tested its TDI-J85 turbojet engine across multiple launch configurations, demonstrating its capability for unmanned aircraft, cruise missiles, and decoy systems. The company plans to produce over 3,000 engines in 2027 and achieve annual capacity exceeding 10,000 by 2029. KTOS shares are trading at a discount with a forward 12-month Price/Sales of 3.55X compared to the industry average of 6.84X.

Kratos Defense & Security Solutions announced multiple contracts totaling over $100 million in October 2026 to develop space intelligence, RF processing, and cyber mission applications. The company is leveraging its existing RF technology, KnownSpace Network, and cybersecurity expertise to address emerging space and cyber operational requirements. With $315 million invested in its Space, Satellite and Cyber business since 2019, Kratos is positioned to reuse existing technologies across multiple missions while trading at a discount to industry peers.

Kratos Defense & Security Solutions announced multiple contract awards totaling over $100 million to develop prototype mission applications and cyber capabilities for space intelligence in support of joint operations. The work will leverage Kratos' KnownSpace Network, a global RF collection infrastructure with over 190 strategically placed sensors worldwide, along with software products and expertise in RF signal processing, cybersecurity, and software development.