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Fly News Breaks for March 19, 2018
KTOS
Mar 19, 2018 | 09:49 EDT
Canaccord Genuity analyst Ken Herbert believes the 11% selloff Friday in shares of Kratos Defense & Security Solutions following Spruce Point Capital Management's short report presents a buying opportunity. Much of Spruce Point's criticism focuses on "older data points with little incremental information," Herbert tells investors in a research note. The analyst believes Kratos will benefit "substantially" from the increased Department of Defense investments in unmanned technology. He thinks the lack of discussion around the defense budget is one of the primary shortcomings of Spruce's short report. Herbert keeps a Buy rating on Kratos Defense with a $15 price target.