(MRCY) Mercury Systems - Ratings and Ratios
Electronic Warfare Chips, Radar Test Modules, UAV Payloads, Defense Boards
MRCY EPS (Earnings per Share)
MRCY Revenue
Description: MRCY Mercury Systems
Mercury Systems Inc (NASDAQ:MRCY) is a technology company specializing in manufacturing and selling components, products, modules, and subsystems for defense and aerospace applications. The companys products are deployed in approximately 300 programs with 25 major defense contractors and commercial aviation customers, indicating a strong market presence.
Key performance indicators (KPIs) suggest that the company has a significant market share in the Aerospace & Defense industry. With a market capitalization of $3.167 billion, MRCY demonstrates a considerable scale. The forward P/E ratio of 58.14 indicates high growth expectations, possibly driven by the increasing demand for defense and aerospace technologies. However, the negative Return on Equity (RoE) of -4.45% raises concerns about the companys profitability.
From a business perspective, MRCYs diverse product portfolio, including components, modules, and subsystems, positions the company well to capitalize on emerging trends in defense and aerospace. The companys expertise in digital radio frequency memory units, radar environment simulation, and signals intelligence payloads is particularly relevant in the context of modern electronic warfare and intelligence applications.
To further evaluate MRCYs potential, it is essential to analyze its revenue growth, order backlog, and research and development (R&D) investments. A strong order backlog and increasing R&D investments could indicate a positive outlook for the companys future performance. Additionally, monitoring the companys progress in addressing its profitability concerns, as reflected in the negative RoE, will be crucial in assessing its long-term viability.
MRCY Stock Overview
| Market Cap in USD | 4,004m |
| Sub-Industry | Aerospace & Defense |
| IPO / Inception | 1998-01-30 |
MRCY Stock Ratings
| Growth Rating | 21.2% |
| Fundamental | 45.8% |
| Dividend Rating | - |
| Return 12m vs S&P 500 | 53.8% |
| Analyst Rating | 3.56 of 5 |
MRCY Dividends
Currently no dividends paidMRCY Growth Ratios
| Growth Correlation 3m | 70.7% |
| Growth Correlation 12m | 95.1% |
| Growth Correlation 5y | -69.8% |
| CAGR 5y | -2.27% |
| CAGR/Max DD 5y | -0.03 |
| Sharpe Ratio 12m | 0.51 |
| Alpha | 66.23 |
| Beta | 0.911 |
| Volatility | 40.98% |
| Current Volume | 305.8k |
| Average Volume 20d | 514.2k |
| Stop Loss | 64.7 (-4.2%) |
| Signal | -1.63 |
Piotroski VR‑10 (Strict, 0-10) 4.0
| Net Income (-37.9m TTM) > 0 and > 6% of Revenue (6% = 54.7m TTM) |
| FCFTA 0.05 (>2.0%) and ΔFCFTA 3.89pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 83.09% (prev 86.12%; Δ -3.03pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.06 (>3.0%) and CFO 138.9m > Net Income -37.9m (YES >=105%, WARN >=100%) |
| Net Debt (335.1m) to EBITDA (65.0m) ratio: 5.15 <= 3.0 (WARN <= 3.5) |
| Current Ratio 3.52 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (59.5m) change vs 12m ago 2.70% (target <= -2.0% for YES) |
| Gross Margin 27.90% (prev 22.10%; Δ 5.81pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 36.18% (prev 32.04%; Δ 4.14pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio -0.51 (EBITDA TTM 65.0m / Interest Expense TTM 33.4m) >= 6 (WARN >= 3) |
Altman Z'' 2.44
| (A) 0.31 = (Total Current Assets 1.06b - Total Current Liabilities 300.4m) / Total Assets 2.43b |
| (B) 0.07 = Retained Earnings (Balance) 181.9m / Total Assets 2.43b |
| (C) -0.01 = EBIT TTM -17.0m / Avg Total Assets 2.52b |
| (D) 0.19 = Book Value of Equity 186.0m / Total Liabilities 961.3m |
| Total Rating: 2.44 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 45.79
| 1. Piotroski 4.0pt = -1.0 |
| 2. FCF Yield 2.60% = 1.30 |
| 3. FCF Margin 13.05% = 3.26 |
| 4. Debt/Equity 0.61 = 2.32 |
| 5. Debt/Ebitda 13.71 = -2.50 |
| 6. ROIC - WACC -8.63% = -10.79 |
| 7. RoE -2.59% = -0.43 |
| 8. Rev. Trend 0.33% = 0.02 |
| 9. Rev. CAGR 6.86% = 0.86 |
| 10. EPS Trend 10.35% = 0.26 |
| 11. EPS CAGR 50.41% = 2.50 |
What is the price of MRCY shares?
Over the past week, the price has changed by +1.08%, over one month by +30.20%, over three months by +39.71% and over the past year by +79.89%.
Is Mercury Systems a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of MRCY is around 75.93 USD . This means that MRCY is currently undervalued and has a potential upside of +12.41% (Margin of Safety).
Is MRCY a buy, sell or hold?
- Strong Buy: 3
- Buy: 1
- Hold: 3
- Sell: 2
- Strong Sell: 0
What are the forecasts/targets for the MRCY price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 65.4 | -3.1% |
| Analysts Target Price | 65.4 | -3.1% |
| ValueRay Target Price | 84.1 | 24.6% |
Last update: 2025-08-25 02:04
MRCY Fundamental Data Overview
CCE Cash And Equivalents = 309.1m USD (Cash And Short Term Investments, last quarter)
P/E Forward = 76.9231
P/S = 4.3904
P/B = 2.7175
P/EG = 2.651
Beta = 0.725
Revenue TTM = 912.0m USD
EBIT TTM = -17.0m USD
EBITDA TTM = 65.0m USD
Long Term Debt = 591.5m USD (from longTermDebt, last quarter)
Short Term Debt = 300.4m USD (from totalCurrentLiabilities, last quarter)
Debt = 891.9m USD (Calculated: Short Term 300.4m + Long Term 591.5m)
Net Debt = 335.1m USD (from netDebt column, last quarter)
Enterprise Value = 4.59b USD (4.00b + Debt 891.9m - CCE 309.1m)
Interest Coverage Ratio = -0.51 (Ebit TTM -17.0m / Interest Expense TTM 33.4m)
FCF Yield = 2.60% (FCF TTM 119.0m / Enterprise Value 4.59b)
FCF Margin = 13.05% (FCF TTM 119.0m / Revenue TTM 912.0m)
Net Margin = -4.16% (Net Income TTM -37.9m / Revenue TTM 912.0m)
Gross Margin = 27.90% ((Revenue TTM 912.0m - Cost of Revenue TTM 657.5m) / Revenue TTM)
Tobins Q-Ratio = 24.66 (Enterprise Value 4.59b / Book Value Of Equity 186.0m)
Interest Expense / Debt = 0.90% (Interest Expense 8.03m / Debt 891.9m)
Taxrate = 13.00% (from quarterly Income Tax Expense: 2.45m / 18.8m)
NOPAT = -17.0m (EBIT -17.0m, no tax applied on loss)
Current Ratio = 3.52 (Total Current Assets 1.06b / Total Current Liabilities 300.4m)
Debt / Equity = 0.61 (Debt 891.9m / last Quarter total Stockholder Equity 1.47b)
Debt / EBITDA = 13.71 (Net Debt 335.1m / EBITDA 65.0m)
Debt / FCF = 7.49 (Debt 891.9m / FCF TTM 119.0m)
Total Stockholder Equity = 1.46b (last 4 quarters mean)
RoA = -1.56% (Net Income -37.9m, Total Assets 2.43b )
RoE = -2.59% (Net Income TTM -37.9m / Total Stockholder Equity 1.46b)
RoCE = -0.83% (Ebit -17.0m / (Equity 1.46b + L.T.Debt 591.5m))
RoIC = -0.83% (NOPAT -17.0m / Invested Capital 2.05b)
WACC = 7.81% (E(4.00b)/V(4.90b) * Re(9.37%)) + (D(891.9m)/V(4.90b) * Rd(0.90%) * (1-Tc(0.13)))
Shares Correlation 5-Years: 100.0 | Cagr: 1.76%
Discount Rate = 9.37% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 64.70% ; FCFE base≈81.9m ; Y1≈53.7m ; Y5≈24.6m
Fair Price DCF = 6.55 (DCF Value 392.6m / Shares Outstanding 59.9m; 5y FCF grow -40.0% → 3.0% )
Revenue Correlation: 0.33 | Revenue CAGR: 6.86%
Rev Growth-of-Growth: 20.43
EPS Correlation: 10.35 | EPS CAGR: 50.41%
EPS Growth-of-Growth: 189.7
Additional Sources for MRCY Stock
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