GE Aerospace (GE)vsKratos Defense & Security Solutions (KTOS)
GE
GE Aerospace
$296.56
+2.04%
INDUSTRIALS · Cap: $306.56B
KTOS
Kratos Defense & Security Solutions
$79.98
+3.21%
INDUSTRIALS · Cap: $14.47B
Smart Verdict
WallStSmart Research — data-driven comparison
GE Aerospace generates 3305% more annual revenue ($45.85B vs $1.35B). GE leads profitability with a 19.0% profit margin vs 1.6%. GE appears more attractively valued with a PEG of 4.94. GE earns a higher WallStSmart Score of 65/100 (C+).
GE
Buy65
out of 100
Grade: C+
KTOS
Hold39
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+21.3%
Fair Value
$376.74
Current Price
$296.56
$80.18 discount
Margin of Safety
-1748.0%
Fair Value
$4.75
Current Price
$79.98
$75.23 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 45 in profit
17.6% revenue growth
Earnings expanding 37.4% YoY
Generating 1.8B in free cash flow
Conservative balance sheet, low leverage
Revenue surging 21.9% year-over-year
Areas to Watch
Premium valuation, high expectations priced in
Trading at 16.7x book value
Distress zone — elevated risk
Expensive relative to growth rate
ROE of 1.3% — below average capital efficiency
1.6% margin — thin
Operating margin of 2.9%
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : GE
The strongest argument for GE centers on Market Cap, Return on Equity, Revenue Growth. Profitability is solid with margins at 19.0% and operating margin at 19.6%. Revenue growth of 17.6% demonstrates continued momentum.
Bull Case : KTOS
The strongest argument for KTOS centers on Debt/Equity, Revenue Growth. Revenue growth of 21.9% demonstrates continued momentum.
Bear Case : GE
The primary concerns for GE are P/E Ratio, Price/Book, Altman Z-Score.
Bear Case : KTOS
The primary concerns for KTOS are Return on Equity, Profit Margin, Operating Margin. A P/E of 596.1x leaves little room for execution misses. Thin 1.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
GE carries more volatility with a beta of 1.37 — expect wider price swings.
KTOS is growing revenue faster at 21.9% — sustainability is the question.
GE generates stronger free cash flow (1.8B), providing more financial flexibility.
Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GE scores higher overall (65/100 vs 39/100), backed by strong 19.0% margins and 17.6% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
GE Aerospace
INDUSTRIALS · AEROSPACE & DEFENSE · USA
General Electric Company (GE) is an American multinational conglomerate incorporated in New York City and headquartered in Boston. As of 2018, the company operates through the following segments: aviation, healthcare, power, renewable energy, digital industry, additive manufacturing and venture capital and finance.
Kratos Defense & Security Solutions
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Kratos Defense & Security Solutions, Inc. is a government contractor for the US Department of Defense. The company is headquartered in San Diego, California.
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