Kratos Defense & Security Solutions Inc. (NASDAQ:KTOS) shares are trending on Friday.
KTOS climbed 5.84% to $69 in after-hours trading on Thursday.
The stock of the California-based unmanned systems and defense technology firm surged 13.77% intraday to $65.19, according to Benzinga Pro data.
Government Capital Enters The Drone Sector
The move followed a Wednesday report revealing the Trump administration is in active discussions to take equity and debt stakes in select domestic drone manufacturers, with the Pentagon’s Office of Strategic Capital leading talks on a mix of debt and equity financing. The policy mirrors stakes already taken in Intel (NASDAQ:INTC) and MP Materials (NYSE:MP).
With the “Drone Dominance” executive order signed in June 2025 and the fiscal year 2027 defense budget committing tens of billions to drone and autonomy programs, the administrative groundwork for mass unmanned deployment is firmly established.
The after-hours momentum extended across the sector:
- AeroVironment (NASDAQ:AVAV) added 3.92%
- Unusual Machines (NYSEAMERICAN: UMAC) jumped 10.44%
- Ondas Holdings (NASDAQ:ONDS) gained 2.94%
- Red Cat Holdings (NASDAQ:RCAT) rose 3.39%.
Why KTOS Stands Out
Kratos, an American defense contractor specializing in affordable, high-performance unmanned systems, focuses on jet-powered platforms and target drone systems already embedded in Pentagon programs.
In early May, Kratos announced the selection of Odon, Indiana, as the future home of its new mid-tier coupled arc jet and laser facility under Project Helios, a $68.3 million Department of War contract. The site was chosen following an extensive multi-state review, with state and local support cited as a key factor in the decision.
Trading Metrics, Technical Analysis
Netcapital has a market capitalization of $12.22 billion, a 52-week high of $134 and a 52-week low of $35.89.
The Relative Strength Index (RSI) of KTOS stands at 57.87.
The mid-cap technology stock has gained 74.63% over the past 12 months.
Currently, the stock is positioned at about 29.9% of its 52-week range, closer to the lower end between its yearly low and high.
With a Growth score of 97.33, Benzinga’s Edge Stock Rankings suggest that KTOS is maintaining a negative price trend across all time frames.

Photo Courtesy: Michael Vi on Shutterstock.com
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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