Kratos Defense & Security Solutions Inc. (NASDAQ:KTOS) shares are in the spotlight Wednesday, with a $33.6 million contract for NASA’s SR-1 Freedom nuclear-powered spacecraft and third-quarter earnings on deck.
- Kratos stock is trading at elevated levels. What should traders watch with KTOS?
Kratos Wins $33.6M Contract to Build Power Conversion System for NASA’s SR-1 Freedom
Kratos announced a $33.6 million contract to design, build and deliver the power conversion system for NASA’s Space Reactor-1 Freedom, as a subcontractor to Sierra Lobo under NASA’s SpaceDOC III contract. SR-1 Freedom, targeted for launch in 2028, would be the first nuclear fission reactor-powered interplanetary spacecraft. It’s designed to travel to Mars using nuclear electric propulsion and deliver a science payload called SkyFall. Kratos will provide a compact, space-qualified closed Brayton cycle system, which converts the heat from the onboard reactor into the electricity that powers the spacecraft’s thrusters and systems. NASA has said the mission aims to launch the first U.S. space reactor since 1965, and it could lead to follow-on concepts such as Lunar Reactor-1.
“Being selected to power SR-1 Freedom is a generational honor for Kratos,” said Stacey Rock, president of Kratos’ Turbine Technologies Division.
Kratos to Report Third-Quarter Results on Nov. 5
Kratos will report third-quarter results after the market closes on Nov. 5. Analysts estimate earnings per share of 21 cents on revenue of $470.11 million. In the second quarter, Kratos reported adjusted earnings per share of 21 cents, beating the consensus estimate of 14 cents, and revenue of $458.8 million, up 30.5% from a year earlier, beating the consensus estimate of $410.38 million. For the third quarter, it guided to revenue of $460 million to $480 million and adjusted EBITDA of $40 million to $45 million. It raised its full-year 2026 revenue guidance to $1.750 billion to $1.810 billion.
Kratos Shares Trade Flat
KTOS Price Action: At the time of publication, Kratos shares are trading 0.45% higher at $41.50, according to data from Benzinga Pro.
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