Mercury Systems (NASDAQ:MRCY) Lowered to “Hold” at Zacks Investment Research

Zacks Investment Research downgraded shares of Mercury Systems (NASDAQ:MRCY) from a buy rating to a hold rating in a research note released on Friday, Zacks.com reports.

According to Zacks, “Mercury Systems, Inc. is a commercial provider of secure sensor and mission processing subsystems for defense and intelligence programs. The Company’s products and solutions are deployed in more than 300 programs with over 25 different defense prime contractors. “

A number of other research firms also recently issued reports on MRCY. Alembic Global Advisors raised shares of Mercury Systems from a neutral rating to an overweight rating in a research note on Wednesday, May 1st. Canaccord Genuity reissued a buy rating and issued a $76.00 price target (up from $64.00) on shares of Mercury Systems in a research note on Friday, April 26th. Finally, BidaskClub raised shares of Mercury Systems from a buy rating to a strong-buy rating in a research note on Friday, March 22nd. One analyst has rated the stock with a hold rating, five have issued a buy rating and one has issued a strong buy rating to the company’s stock. The company has an average rating of Buy and an average price target of $70.75.

MRCY stock opened at $68.68 on Friday. Mercury Systems has a 1 year low of $36.97 and a 1 year high of $79.83. The company has a market capitalization of $3.80 billion, a P/E ratio of 60.78, a P/E/G ratio of 3.97 and a beta of 1.16. The business has a 50-day moving average of $70.14. The company has a current ratio of 4.53, a quick ratio of 3.13 and a debt-to-equity ratio of 0.34.

Mercury Systems (NASDAQ:MRCY) last released its quarterly earnings results on Tuesday, April 30th. The technology company reported $0.42 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.38 by $0.04. Mercury Systems had a net margin of 6.99% and a return on equity of 9.24%. The company had revenue of $174.60 million during the quarter, compared to the consensus estimate of $165.61 million. During the same period in the prior year, the firm earned $0.30 earnings per share. Mercury Systems’s revenue was up 50.1% on a year-over-year basis. As a group, equities research analysts anticipate that Mercury Systems will post 1.52 earnings per share for the current year.

In other Mercury Systems news, insider Mark Aslett sold 10,000 shares of the firm’s stock in a transaction that occurred on Tuesday, June 4th. The shares were sold at an average price of $65.90, for a total transaction of $659,000.00. Following the completion of the transaction, the insider now owns 337,440 shares of the company’s stock, valued at $22,237,296. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders have sold 40,000 shares of company stock valued at $2,764,500 in the last ninety days. Insiders own 2.80% of the company’s stock.

Hedge funds and other institutional investors have recently made changes to their positions in the business. Flagship Harbor Advisors LLC bought a new position in shares of Mercury Systems during the first quarter valued at approximately $44,000. Advisors Preferred LLC bought a new position in shares of Mercury Systems during the first quarter valued at approximately $106,000. NumerixS Investment Technologies Inc bought a new position in shares of Mercury Systems during the first quarter valued at approximately $128,000. Bank of Montreal Can grew its holdings in shares of Mercury Systems by 27.8% during the fourth quarter. Bank of Montreal Can now owns 3,181 shares of the technology company’s stock valued at $150,000 after buying an additional 691 shares during the last quarter. Finally, Stephens Inc. AR grew its holdings in shares of Mercury Systems by 26.6% during the fourth quarter. Stephens Inc. AR now owns 3,388 shares of the technology company’s stock valued at $160,000 after buying an additional 711 shares during the last quarter. 84.31% of the stock is owned by institutional investors and hedge funds.

About Mercury Systems

Mercury Systems, Inc provides sensor and safety critical mission processing subsystems for various critical defense and intelligence programs in the United States. Its products and solutions are deployed in approximately 300 programs with 25 defense contractors. The company's principal programs include Aegis, Patriot, Surface Electronic Warfare Improvement Program, Gorgon Stare, Predator, F-35, Reaper, F-16 SABR, E2D Hawkeye, Paveway, Filthy Buzzard, PGK, ProVision, P1, and AIDEWS.

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