5 Best Drone Stocks To Buy Now

4. Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS)

Number of Hedge Fund Holders: 18

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) is a California-based company that operates as a government contractor for the U.S. Department of Defense. The company manufactures jet-powered, unmanned aerial target drone systems leveraged in testing weapons and warfighter training. The company posted a Q1 EPS of $0.04, beating market predictions by $0.03.  

On May 12, Baird analyst Peter Arment upgraded Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) to Outperform from Neutral with an unchanged price target of $20 after a “significant reset” in its stock price over the last 15 months. He sees an attractive buying opportunity in the shares. 

According to the fourth quarter database of Insider Monkey, 18 hedge funds were bullish on Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS), compared to 15 funds in the last quarter. In Q1 2022, Cathie Wood’s ARK Investment Management held a notable stake in the company, worth $175.5 million.