Kratos Positioned for Growth With Revenue Backlog in Place, Oppenheimer Says

11:43 AM EDT, 10/22/2026 (MT Newswires) -- Kratos Defense & Security Solutions (KTOS)is positioned to benefit from demand for affordable combat systems, with much of its expected growth already supported by existing orders, Oppenheimer said Thursday in report initiating coverage with an outperform rating. Oppenheimer expects 2026 EPS of $0.22 on revenue of $1.78 billion and 2027 EPS of $0.39 on revenue of $2.24 billion. Backlog totaled nearly $2.08 billion on June 28, equivalent to about 93% of Oppenheimer's 2027 revenue estimate, while a $15 billion bid pipeline remains outside backlog, according to the report. The company combines its own products with components supplied for other manufacturers' defense programs, creating multiple sources of recurring revenue, Oppenheimer said. Oppenheimer has a $50 price target on Kratos stock. Price: 38.36, Change: -0.38, Percent Change: -0.98