The stock price of Mercury Systems Inc (NASDAQ: MRCY) has surged by 7.08 when compared to previous closing price of 42.10, but the company has seen a 2.92% gain in its stock price over the last five trading sessions. prnewswire.com reported 2025-03-04 that NEW YORK, March 4, 2025 /PRNewswire/ — Kuehn Law, PLLC, a shareholder litigation law firm, is investigating whether certain officers and directors of Mercury Systems, Inc. (NASDAQ: MRCY) breached their fiduciary duties to shareholders. According to a federal securities lawsuit, Insiders at Mercury Systems caused the company to misrepresent or fail to disclose that (1) Mercury had switched from “point-in-time” to “long-term contracts” in order to improperly boost reported revenues; (2) several of Mercury’s projects were in significant distress, including projects related to Mercury’s acquisition of Physical Optics Corporation; (3) Mercury’s strategic growth initiative, 1MPACT, unbeknownst to investors, was used to disguise regular expenses as restructuring costs, enabling Mercury to claim that recurring expenses were one-time costs.
Is It Worth Investing in Mercury Systems Inc (NASDAQ: MRCY) Right Now?
Additionally, the 36-month beta value for MRCY is 0.88. There are mixed opinions on the stock, with 3 analysts rating it as a “buy,” 1 rating it as “overweight,” 4 rating it as “hold,” and 0 rating it as “sell.”
The public float for MRCY is 58.30M and currently, short sellers hold a 6.57% ratio of that float. The average trading volume of MRCY on March 14, 2025 was 520.22K shares.
MRCY’s Market Performance
MRCY stock saw a decrease of 2.92% in the past week, with a monthly decline of -3.59% and a quarterly a decrease of 18.41%. The volatility ratio for the week is 4.62%, and the volatility levels for the last 30 days are 3.75% for Mercury Systems Inc (MRCY). The simple moving average for the last 20 days is 3.33% for MRCY stock, with a simple moving average of 20.52% for the last 200 days.
Analysts’ Opinion of MRCY
Robert W. Baird, on the other hand, stated in their research note that they expect to see MRCY reach a price target of $58, previously predicting the price at $37. The rating they have provided for MRCY stocks is “Outperform” according to the report published on February 05th, 2025.
Jefferies gave a rating of “Hold” to MRCY, setting the target price at $42 in the report published on November 11th of the previous year.
MRCY Trading at 3.96% from the 50-Day Moving Average
After a stumble in the market that brought MRCY to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -13.72% of loss for the given period.
Volatility was left at 3.75%, however, over the last 30 days, the volatility rate increased by 4.62%, as shares sank -1.51% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +7.72% upper at present.
During the last 5 trading sessions, MRCY rose by +2.92%, which changed the moving average for the period of 200-days by +43.20% in comparison to the 20-day moving average, which settled at $43.63. In addition, Mercury Systems Inc saw 7.33% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at MRCY starting from KUPINSKY STUART, who sale 2,377 shares at the price of $44.12 back on Feb 18 ’25. After this action, KUPINSKY STUART now owns 62,834 shares of Mercury Systems Inc, valued at $104,883 using the latest closing price.
Munro Douglas, the VP, CAO of Mercury Systems Inc, sale 595 shares at $44.12 during a trade that took place back on Feb 18 ’25, which means that Munro Douglas is holding 14,572 shares at $26,254 based on the most recent closing price.
Stock Fundamentals for MRCY
Current profitability levels for the company are sitting at:
- -0.08 for the present operating margin
- 0.24 for the gross margin
The net margin for Mercury Systems Inc stands at -0.1. The total capital return value is set at -0.03. Equity return is now at value -6.10, with -3.74 for asset returns.
Based on Mercury Systems Inc (MRCY), the company’s capital structure generated 0.31 points at debt to capital in total, while cash flow to debt ratio is standing at 0.19. The debt to equity ratio resting at 0.44. The interest coverage ratio of the stock is -2.02.
Currently, EBITDA for the company is -66.23 million with net debt to EBITDA at -190.07. When we switch over and look at the enterprise to sales, we see a ratio of 3.5. The receivables turnover for the company is 2.31for trailing twelve months and the total asset turnover is 0.37. The liquidity ratio also appears to be rather interesting for investors as it stands at 3.62.
Conclusion
In conclusion, Mercury Systems Inc (MRCY) has seen better performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
