Kratos Defense & Security SOLUTIONS, Inc. (KTOS) intrinsic value & 10-year financials
Kratos Defense & Security SOLUTIONS, Inc. (KTOS) has a Graham intrinsic value of $1.59 per share. At $40.42 on Oct 17, 2026, the stock trades 2442% above that value. Over the last 10 fiscal years revenue grew 10.6% a year to $1.3B, with an average return on invested capital of 0.9%.
- Graham intrinsic value
- $1.59
- Share price (Oct 17, 2026)
- $40.42
- Price vs Graham value
- 2442% above
- Market cap
- $6.7B
- Revenue (FY2025)
- $1.3B
- Revenue growth (10-yr CAGR)
- 10.6%
- ROIC (10-yr avg)
- 0.9%
- Free cash flow (FY2025)
- -$137.4M
KTOS 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2025 | $1.3B | $22.0M | $0.13 | -$137.4M | 1.9% | 1.2% |
| FY2024 | $1.1B | $16.3M | $0.11 | -$8.5M | 2.6% | 1.4% |
| FY2023 | $1.0B | -$8.9M | -$0.07 | $12.8M | 3.0% | -0.7% |
| FY2022 | $898.3M | -$36.9M | -$0.29 | -$71.1M | -0.3% | -0.2% |
| FY2021 | $811.5M | -$2.0M | -$0.02 | -$11.2M | 3.4% | 1.5% |
| FY2020 | $747.7M | $79.6M | $0.67 | $8.8M | 3.9% | 3.5% |
| FY2019 | $717.5M | $12.5M | $0.11 | — | 5.3% | 3.9% |
| FY2018 | $618.0M | -$3.5M | -$0.03 | — | 4.9% | 2.3% |
| FY2017 | $603.3M | -$42.7M | -$0.48 | — | -1.0% | -0.7% |
| FY2016 | $541.9M | -$60.5M | -$0.99 | — | -3.4% | -2.9% |
Source: annual 10-K filings on SEC EDGAR. Figures in USD.
Executive summary
KRATOS DEFENSE & SECURITY SOLUTIONS, INC. is a consistent compounder, expanding top-line revenue at 10.6% annually over the past decade.
KRATOS DEFENSE & SECURITY SOLUTIONS, INC. has historically struggled to out-earn its cost of capital, averaging just 0.9% ROIC.
KRATOS DEFENSE & SECURITY SOLUTIONS, INC. has not shown aggressive share repurchases (>10% retirement) or a major balance-sheet leverage increase (>50% net debt growth) over the 10-year window.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, KRATOS DEFENSE & SECURITY SOLUTIONS, INC. is modeled at 2.8% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $1.59 per share.