(MRCY) Mercury Systems - Ratings and Ratios

Exchange: NASDAQ • Country: United States • Currency: USD • Type: Common Stock • ISIN: US5893781089

Embedded, Avionics, Radar, Subsystems, Components

Stock: Aerospace & Defense
Age 28y

MCap 5,836m
Avg Vol 689K (67.6M USD)

Beta 0.797
Volatility 43.17%

EPS (Earnings per Share)

EPS CAGR: -19.71%
EPS Trend: -33.8%

Last SUE: -0.29
Qual. Beats: 0

Revenue

Rev. CAGR: 0.58%
Rev. Trend: -42.2%

Last SUE: 0.59
Qual. Beats: 0

Dividends

Currently no dividends paid

Risk via 5d forecast
Volatility	43.2%
Value at Risk 5%th	62.3%
Relative Tail Risk	-12.24%

Reward TTM
Sharpe Ratio	1.84
Alpha	119.29
CAGR/Max DD	0.48

Character TTM
Hurst Exponent	0.529
Beta	0.797
Beta Downside	0.533

Drawdowns 3y
Max DD	53.32%
Mean DD	26.26%
Median DD	28.77%

Description: MRCY Mercury Systems January 12, 2026

Mercury Systems, Inc. (NASDAQ:MRCY) designs, manufactures, and integrates high-performance electronic components, modules, and subsystems for defense prime contractors, OEMs, government agencies, and commercial aerospace customers. Its product portfolio spans RF power amplifiers, microwave integrated circuits, digital-analog converters, embedded processing boards, and specialized radar-simulation and electronic-warfare systems for UAVs and other platforms.

Operating across the United States, Europe, and the Asia-Pacific, Mercury leverages a vertically integrated model that combines in-house silicon design with assembly and test, enabling tighter control of bill-of-materials costs and faster time-to-market for classified programs.

Key recent metrics (FY 2023): revenue of $1.48 billion, a 9 % YoY increase, operating margin of 12 %, and a backlog of roughly $2.2 billion-indicating strong demand pipeline. R&D intensity remains high at ~13 % of revenue, reflecting the firm’s focus on next-gen RF and AI-enabled signal-processing capabilities.

Sector drivers that materially affect MRCY include the U.S. defense budget outlook (projected FY 2025 discretionary defense spending to rise ~3 % YoY) and the accelerating adoption of autonomous UAVs, which fuels demand for compact, high-throughput signal-processing and electronic-warfare payloads.

For a deeper quantitative view of MRCY’s valuation metrics, the ValueRay platform offers a concise, data-driven dashboard.

Piotroski VR‑10 (Strict, 0-10) 3.5

Net Income: -68.4m TTM > 0 and > 6% of Revenue
FCF/TA: 0.07 > 0.02 and ΔFCF/TA 2.59 > 1.0
NWC/Revenue: 87.53% < 20% (prev 79.64%; Δ 7.89% < -1%)
CFO/TA 0.07 > 3% & CFO 183.5m > Net Income -68.4m
Net Debt (340.4m) to EBITDA (25.6m): 13.29 < 3
Current Ratio: 3.37 > 1.5 & < 3
Outstanding Shares: last quarter (59.2m) vs 12m ago 1.60% < -2%
Gross Margin: 27.32% > 18% (prev 0.28%; Δ 2704 % > 0.5%)
Asset Turnover: 36.09% > 50% (prev 38.24%; Δ -2.15% > 0%)
Interest Coverage Ratio: -1.78 > 6 (EBITDA TTM 25.6m / Interest Expense TTM 30.4m)

Altman Z'' 2.29

A: 0.31 (Total Current Assets 1.08b - Total Current Liabilities 322.2m) / Total Assets 2.46b
B: 0.07 (Retained Earnings 169.4m / Total Assets 2.46b)
C: -0.02 (EBIT TTM -54.1m / Avg Total Assets 2.41b)
D: 0.18 (Book Value of Equity 173.6m / Total Liabilities 982.6m)
Altman-Z'' Score: 2.29 = BBB

Beneish M -3.27

DSRI: 0.90 (Receivables 367.5m/422.8m, Revenue 871.0m/906.0m)
GMI: 1.01 (GM 27.32% / 27.59%)
AQI: 0.94 (AQ_t 0.49 / AQ_t-1 0.53)
SGI: 0.96 (Revenue 871.0m / 906.0m)
TATA: -0.10 (NI -68.4m - CFO 183.5m) / TA 2.46b)
Beneish M-Score: -3.27 = AA

ValueRay F-Score (Strict, 0-100) 36.31

1. Piotroski: 3.50pt
2. FCF Yield: 2.66%
3. FCF Margin: 18.83%
4. Debt/Equity: 0.44
5. Debt/Ebitda: 13.29
6. ROIC - WACC: -10.12%
7. RoE: -4.68%
8. Revenue Trend: -42.17%
9. EPS Trend: -33.81%

What is the price of MRCY shares?

As of January 25, 2026, the stock is trading at USD 99.05 with a total of 452,972 shares traded.
Over the past week, the price has changed by -3.85%, over one month by +31.94%, over three months by +27.64% and over the past year by +133.28%.

Is MRCY a buy, sell or hold?

Mercury Systems has received a consensus analysts rating of 3.56. Therefor, it is recommend to hold MRCY.

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	90.9	-8.2%
Analysts Target Price	90.9	-8.2%
ValueRay Target Price	102.7	3.7%

MRCY Fundamental Data Overview January 22, 2026

P/E Forward = 156.25
P/S = 6.2561
P/B = 4.1976
P/EG = 2.651
Revenue TTM = 871.0m USD
EBIT TTM = -54.1m USD
EBITDA TTM = 25.6m USD
Long Term Debt = 591.5m USD (from longTermDebt, last quarter)
Short Term Debt = 11.8m USD (from shortTermDebt, two quarters ago)
Debt = 645.1m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 340.4m USD (from netDebt column, last quarter)
Enterprise Value = 6.18b USD (5.84b + Debt 645.1m - CCE 304.7m)
Interest Coverage Ratio = -1.78 (Ebit TTM -54.1m / Interest Expense TTM 30.4m)
EV/FCF = 37.66x (Enterprise Value 6.18b / FCF TTM 164.0m)
FCF Yield = 2.66% (FCF TTM 164.0m / Enterprise Value 6.18b)
FCF Margin = 18.83% (FCF TTM 164.0m / Revenue TTM 871.0m)
Net Margin = -7.86% (Net Income TTM -68.4m / Revenue TTM 871.0m)
Gross Margin = 27.32% ((Revenue TTM 871.0m - Cost of Revenue TTM 633.1m) / Revenue TTM)
Gross Margin QoQ = 27.93% (prev 27.02%)
Tobins Q-Ratio = 2.51 (Enterprise Value 6.18b / Total Assets 2.46b)
Interest Expense / Debt = 0.91% (Interest Expense 5.86m / Debt 645.1m)
Taxrate = 21.0% (US default 21%)
NOPAT = -42.7m (EBIT -54.1m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 3.37 (Total Current Assets 1.08b / Total Current Liabilities 322.2m)
Debt / Equity = 0.44 (Debt 645.1m / totalStockholderEquity, last quarter 1.48b)
Debt / EBITDA = 13.29 (Net Debt 340.4m / EBITDA 25.6m)
Debt / FCF = 2.08 (Net Debt 340.4m / FCF TTM 164.0m)
Total Stockholder Equity = 1.46b (last 4 quarters mean from totalStockholderEquity)
RoA = -2.84% (Net Income -68.4m / Total Assets 2.46b)
RoE = -4.68% (Net Income TTM -68.4m / Total Stockholder Equity 1.46b)
RoCE = -2.63% (EBIT -54.1m / Capital Employed (Equity 1.46b + L.T.Debt 591.5m))
RoIC = -2.08% (negative operating profit) (NOPAT -42.7m / Invested Capital 2.06b)
WACC = 8.04% (E(5.84b)/V(6.48b) * Re(8.85%) + D(645.1m)/V(6.48b) * Rd(0.91%) * (1-Tc(0.21)))
Discount Rate = 8.85% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 1.30%
[DCF Debug] Terminal Value 70.04% ; FCFF base≈137.1m ; Y1≈90.0m ; Y5≈41.1m
Fair Price DCF = 7.60 (EV 797.1m - Net Debt 340.4m = Equity 456.7m / Shares 60.1m; r=8.04% [WACC]; 5y FCF grow -40.0% → 2.90% )
[DCF Warning] FCF declining rapidly (-40.0%), DCF may be unreliable
EPS Correlation: -33.81 | EPS CAGR: -19.71% | SUE: -0.29 | # QB: 0
Revenue Correlation: -42.17 | Revenue CAGR: 0.58% | SUE: 0.59 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.23 | Chg30d=+0.005 | Revisions Net=+1 | Analysts=9
EPS current Year (2026-06-30): EPS=1.02 | Chg30d=+0.000 | Revisions Net=+1 | Growth EPS=+58.9% | Growth Revenue=+4.4%
EPS next Year (2027-06-30): EPS=1.51 | Chg30d=+0.005 | Revisions Net=+1 | Growth EPS=+48.3% | Growth Revenue=+9.0%

Additional Sources for MRCY Stock

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