Mercury Systems is executing a deleveraging and operational pivot, with 2026Q4 marking the first positive operating income ($12.2M) since 2025Q4 and gross margin recovering to 30.6% from 25.2% in 2026Q3.
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue grew 6.1% YoY to $289.8M in 2026Q4 with gross margin improving to 30.6%, yet TTM operating margin is near zero at 0.0% and net margin is -3.0%, indicating fragile profitability.
A bullish thesis on Mercury Systems, Inc. was highlighted on a Value investing subreddit, suggesting potential undervaluation or growth prospects.
Mercury Systems, Inc. had a forward P/E of 149.25, indicating high growth expectations from investors.
The company maintains an Investor Relations website, signaling transparency and engagement with stockholders and potential investors.
Trailing total returns as of 11/8/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Aug 18, 2026 | $0.37-3.3% vs $0.38 | $290M+8.9% vs $266M |
Q2 2026 May 5, 2026 | $0.27+350.0% vs $0.06 | $236M+13.0% vs $209M |
Q1 2026 Feb 3, 2026 | $0.16+128.6% vs $0.07 | $233M+10.6% vs $211M |
Q4 2025 Nov 4, 2025 | $0.26+225.0% vs $0.08 | $225M+9.4% vs $206M |
Get a deeper insight into the potential performance of Mercury Systems (MRCY) for the quarter ended September 2026 by going beyond Wall Street's top-and-bottom-line estimates and examining the estimates for some of its key metrics.
Mercury Systems (MRCY) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Baron SMID Cap ETF returned -2.87% (NAV) in the third quarter, outperforming its benchmark, the Russell 2500 Growth Index, which returned -10.35%. Top contributors were Rubrik, Inc., Tempus AI, Inc., and Netskope, Inc. Top detractors were Axon Enterprise, Inc., Forgent Power Solutions, Inc., and Mercury Systems, Inc.
The Conestoga Small Cap Composite returned -11.22% net of fees in 3Q26, trailing the -9.39% return for the Russell 2000 Growth Index. Small Cap Composite top 5 leaders include Repligen, Merit Medical, Stevanato Group, Descartes Systems and Digi International. Small Cap Composite bottom 5 laggards include Mercury Systems, AAON, RBC Bearings, SPX Technologies and UL Solutions.
Benchmark MRCY against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Mercury Systems, Inc. (MRCY)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $73.55 | $4.42B | -151.84 | 7.85% | -3.02% | -2.01% | — | |
| $35.10 | $6.58B | 301.29 | 18.52% | 1.34% | 0.72% | — | |
| $463.47 | $17.12B | 30.76 | 12.08% | 14.86% | 21.16% | 0.2% | |
| $34.04 | $9.08B | 25.02 | 12.8% | 9.4% | 13.04% | 1.05% | |
| $16.24 | $3.52B | 20.71 | 6.71% | 14.35% | 10.62% | — | |
| $288.74 | $11.38B | 15.60 | 8.23% | 5.42% | 13.95% | 1.88% |
Mercury Systems, Inc. (MRCY) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Mercury Systems, Inc. (MRCY) SEC filings — annual & quarterly reports (10-K, 10-Q)
Aug 18, 2026·SEC
May 5, 2026·SEC
Feb 3, 2026·SEC
Get notified when MRCY posts new earnings or crosses analyst targets
Free. No account needed. Unsubscribe any time.
Mercury Systems, Inc. (MRCY) stock FAQ — growth, dividends, profitability & financials explained
Mercury Systems, Inc. (MRCY) reported $983.6M in revenue in fiscal year 2026, which is also its trailing twelve months. That is 1050% more than the $85.5M of fiscal year 1998.
Mercury Systems, Inc. (MRCY) grew revenue by 7.9% over the trailing twelve months, compared with the twelve months before.
No. Mercury Systems, Inc. (MRCY) reported a net loss of $29.7M over the trailing twelve months.
Mercury Systems, Inc. (MRCY) had a return on equity (ROE) of -2.0% over the trailing twelve months. A negative ROE means the company lost money over the period.
Mercury Systems, Inc. (MRCY) generated $64.9M in free cash flow over the trailing twelve months.
