Aerospace & Defense
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TATT vs KTOS
Revenue, margins, valuation, and 5-year total return — side by side.
Aerospace & Defense
TATT vs KTOS — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Aerospace & Defense | Aerospace & Defense |
| Market Cap | $462M | $10.68B |
| Revenue (TTM) | $178M | $1.42B |
| Net Income (TTM) | $17M | $29M |
| Gross Margin | 24.8% | 18.3% |
| Operating Margin | 10.3% | 1.8% |
| Forward P/E | 24.2x | 73.5x |
| Total Debt | $18M | $180M |
| Cash & Equiv. | $51M | $561M |
TATT vs KTOS — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| TAT Technologies Lt… (TATT) | 100 | 947.3 | +847.3% |
| Kratos Defense & Se… (KTOS) | 100 | 307.3 | +207.3% |
Price return only. Dividends and distributions are not included.
Quick Verdict: TATT vs KTOS
Each card shows where this stock fits in a portfolio — not just who wins on paper.
TATT carries the broadest edge in this set and is the clearest fit for income & stability and growth exposure.
- Dividend streak 0 yrs, beta 1.72
- Rev growth 17.0%, EPS growth 37.0%, 3Y rev CAGR 28.2%
- Lower volatility, beta 1.72, Low D/E 10.0%, current ratio 4.89x
KTOS is the clearest fit if your priority is long-term compounding.
- 12.3% 10Y total return vs TATT's 424.6%
- 18.5% revenue growth vs TATT's 17.0%
- +58.1% vs TATT's +12.0%
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 18.5% revenue growth vs TATT's 17.0% | |
| Value | Lower P/E (24.2x vs 73.5x) | |
| Quality / Margins | 9.4% margin vs KTOS's 2.1% | |
| Stability / Safety | Beta 1.72 vs KTOS's 1.84 | |
| Dividends | Tie | Neither stock pays a meaningful dividend |
| Momentum (1Y) | +58.1% vs TATT's +12.0% | |
| Efficiency (ROA) | 8.1% ROA vs KTOS's 1.0%, ROIC 10.3% vs 1.4% |
TATT vs KTOS — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
TATT vs KTOS — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
TATT leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
KTOS is the larger business by revenue, generating $1.4B annually — 7.9x TATT's $178M. TATT is the more profitable business, keeping 9.4% of every revenue dollar as net income compared to KTOS's 2.1%. On growth, KTOS holds the edge at +22.6% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $178M | $1.4B |
| EBITDAEarnings before interest/tax | $24M | $72M |
| Net IncomeAfter-tax profit | $17M | $29M |
| Free Cash FlowCash after capex | $4M | -$133M |
| Gross MarginGross profit ÷ Revenue | +24.8% | +18.3% |
| Operating MarginEBIT ÷ Revenue | +10.3% | +1.8% |
| Net MarginNet income ÷ Revenue | +9.4% | +2.1% |
| FCF MarginFCF ÷ Revenue | +2.4% | -9.4% |
| Rev. Growth (YoY)Latest quarter vs prior year | +13.4% | +22.6% |
| EPS Growth (YoY)Latest quarter vs prior year | +9.1% | +133.3% |
Valuation Metrics
TATT leads this category, winning 5 of 5 comparable metrics.
Valuation Metrics
At 26.0x trailing earnings, TATT trades at a 94% valuation discount to KTOS's 438.5x P/E. On an enterprise value basis, TATT's 18.2x EV/EBITDA is more attractive than KTOS's 118.4x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $462M | $10.7B |
| Enterprise ValueMkt cap + debt − cash | $429M | $10.3B |
| Trailing P/EPrice ÷ TTM EPS | 26.00x | 438.46x |
| Forward P/EPrice ÷ next-FY EPS est. | 24.21x | 73.49x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 18.24x | 118.42x |
| Price / SalesMarket cap ÷ Revenue | 2.60x | 7.93x |
| Price / BookPrice ÷ Book value/share | 2.48x | 4.94x |
| Price / FCFMarket cap ÷ FCF | 115.04x | — |
Profitability & Efficiency
TATT leads this category, winning 7 of 9 comparable metrics.
Profitability & Efficiency
TATT delivers a 10.7% return on equity — every $100 of shareholder capital generates $11 in annual profit, vs $1 for KTOS. KTOS carries lower financial leverage with a 0.09x debt-to-equity ratio, signaling a more conservative balance sheet compared to TATT's 0.10x. On the Piotroski fundamental quality scale (0–9), TATT scores 6/9 vs KTOS's 4/9, reflecting solid financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | +10.7% | +1.3% |
| ROA (TTM)Return on assets | +8.1% | +1.0% |
| ROICReturn on invested capital | +10.3% | +1.4% |
| ROCEReturn on capital employed | +11.6% | +1.5% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 4 |
| Debt / EquityFinancial leverage | 0.10x | 0.09x |
| Net DebtTotal debt minus cash | -$34M | -$381M |
| Cash & Equiv.Liquid assets | $51M | $561M |
| Total DebtShort + long-term debt | $18M | $180M |
| Interest CoverageEBIT ÷ Interest expense | 18.30x | 6.16x |
Total Returns (Dividends Reinvested)
TATT leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in TATT five years ago would be worth $68,369 today (with dividends reinvested), compared to $21,025 for KTOS. Over the past 12 months, KTOS leads with a +58.1% total return vs TATT's +12.0%. The 3-year compound annual growth rate (CAGR) favors TATT at 85.6% vs KTOS's 62.8% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -25.1% | -28.1% |
| 1-Year ReturnPast 12 months | +12.0% | +58.1% |
| 3-Year ReturnCumulative with dividends | +539.5% | +331.5% |
| 5-Year ReturnCumulative with dividends | +583.7% | +110.3% |
| 10-Year ReturnCumulative with dividends | +424.6% | +1231.8% |
| CAGR (3Y)Annualised 3-year return | +85.6% | +62.8% |
Risk & Volatility
TATT leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
TATT is the less volatile stock with a 1.72 beta — it tends to amplify market swings less than KTOS's 1.84 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. TATT currently trades 55.3% from its 52-week high vs KTOS's 42.5% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.72x | 1.84x |
| 52-Week HighHighest price in past year | $64.37 | $134.00 |
| 52-Week LowLowest price in past year | $25.52 | $32.85 |
| % of 52W HighCurrent price vs 52-week peak | +55.3% | +42.5% |
| RSI (14)Momentum oscillator 0–100 | 40.1 | 38.8 |
| Avg Volume (50D)Average daily shares traded | 203K | 4.3M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates TATT as "Buy" and KTOS as "Buy". Consensus price targets imply 94.0% upside for KTOS (target: $111) vs 48.8% for TATT (target: $53).
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $53.00 | $110.58 |
| # AnalystsCovering analysts | 5 | 22 |
| Dividend YieldAnnual dividend ÷ price | — | — |
| Dividend StreakConsecutive years of raises | 0 | — |
| Dividend / ShareAnnual DPS | — | — |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | 0.0% |
TATT leads in 5 of 6 categories — strongest in Income & Cash Flow and Valuation Metrics.
TATT vs KTOS: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is TATT or KTOS a better buy right now?
For growth investors, Kratos Defense & Security Solutions, Inc.
(KTOS) is the stronger pick with 18. 5% revenue growth year-over-year, versus 17. 0% for TAT Technologies Ltd. (TATT). TAT Technologies Ltd. (TATT) offers the better valuation at 26. 0x trailing P/E (24. 2x forward), making it the more compelling value choice. Analysts rate TAT Technologies Ltd. (TATT) a "Buy" — based on 5 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — TATT or KTOS?
On trailing P/E, TAT Technologies Ltd.
(TATT) is the cheapest at 26. 0x versus Kratos Defense & Security Solutions, Inc. at 438. 5x. On forward P/E, TAT Technologies Ltd. is actually cheaper at 24. 2x.
03Which is the better long-term investment — TATT or KTOS?
Over the past 5 years, TAT Technologies Ltd.
(TATT) delivered a total return of +583. 7%, compared to +110. 3% for Kratos Defense & Security Solutions, Inc. (KTOS). Over 10 years, the gap is even starker: KTOS returned +1232% versus TATT's +424. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — TATT or KTOS?
By beta (market sensitivity over 5 years), TAT Technologies Ltd.
(TATT) is the lower-risk stock at 1. 72β versus Kratos Defense & Security Solutions, Inc. 's 1. 84β — meaning KTOS is approximately 7% more volatile than TATT relative to the S&P 500. On balance sheet safety, Kratos Defense & Security Solutions, Inc. (KTOS) carries a lower debt/equity ratio of 9% versus 10% for TAT Technologies Ltd. — giving it more financial flexibility in a downturn.
05Which is growing faster — TATT or KTOS?
By revenue growth (latest reported year), Kratos Defense & Security Solutions, Inc.
(KTOS) is pulling ahead at 18. 5% versus 17. 0% for TAT Technologies Ltd. (TATT). On earnings-per-share growth, the picture is similar: TAT Technologies Ltd. grew EPS 37. 0% year-over-year, compared to 18. 2% for Kratos Defense & Security Solutions, Inc.. Over a 3-year CAGR, TATT leads at 28. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — TATT or KTOS?
TAT Technologies Ltd.
(TATT) is the more profitable company, earning 9. 4% net margin versus 1. 6% for Kratos Defense & Security Solutions, Inc. — meaning it keeps 9. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: TATT leads at 10. 3% versus 2. 1% for KTOS. At the gross margin level — before operating expenses — TATT leads at 24. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is TATT or KTOS more undervalued right now?
On forward earnings alone, TAT Technologies Ltd.
(TATT) trades at 24. 2x forward P/E versus 73. 5x for Kratos Defense & Security Solutions, Inc. — 49. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for KTOS: 94. 0% to $110. 58.
08Which pays a better dividend — TATT or KTOS?
None of the stocks in this comparison currently pay a material dividend.
All are effectively zero-yield and should be held for capital appreciation rather than income.
09Is TATT or KTOS better for a retirement portfolio?
For long-horizon retirement investors, Kratos Defense & Security Solutions, Inc.
(KTOS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (+1232% 10Y return). TAT Technologies Ltd. (TATT) carries a higher beta of 1. 72 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (KTOS: +1232%, TATT: +424. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between TATT and KTOS?
Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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