MRCY · Nasdaq · Industrials
Mercury Systems, Inc. (MRCY) — Rank #408 by gross profitability (GP/assets 0.12) · ROE -2.0% · Piotroski F-Score N/A.
As-of 2026-10-30 · CIK 0001049521 · all metrics point-in-time as of the filing date.
About
Mercury Systems, Inc., engages in the aerospace and defense electronics industry.
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The company manufactures and sells components, products, modules, and subsystems for defense prime contractors, original equipment manufacturers, government, and commercial aerospace companies. It offers components, including power amplifiers and limiters, switches, oscillators, filters, equalizers, digital and analog converters, chips, monolithic microwave integrated circuits, and memory and storage devices; modules and sub-assemblies, such as embedded processing boards, switched fabrics and boards, digital receivers, multi-chip modules, integrated radio frequency and microwave multi-function assemblies, tuners, and transceivers, as well as graphics and video; and integrated subsystems. The company also designs, develops, and manufactures digital radio frequency memory units for various modern electronic warfare applications; radar environment simulation and test systems for defense and intelligence applications; and signals intelligence payloads and EO/IR technologies for small UAV platforms, as well as onboard UAV processor systems for real-time wide area motion imagery. It operates in the United States, Europe, and the Asia Pacific. The company was formerly known as Mercury Computer Systems, Inc. and changed its name to Mercury Systems, Inc. in November 2012. Mercury Systems, Inc.
was incorporated in 1981 and is headquartered in Andover, Massachusetts.
- Industry
- Aerospace & Defense
- Sector
- Industrials
- State
- MA
- Filer Category
- Large accelerated filer
- Fiscal Year End
- June 30
- Website
- mrcy.com
Company Snapshot
P/S is the primary valuation lens for pre-profit companies.
Market Cap
—
P/E (annual)
—
P/S (annual)
—
P/B
—
P/OCF (annual)
—
Shareholder Yield
—
Employees
2,102
Industry
Aerospace & Defense
Exchange
Nasdaq
11/11
Flags passed
MRCY passes 11/11 quality flags
- PASSGross margin holding
- PASSDilution within 2%
- PASSFCF not negative from investment
- PASSDisclosure consistent
- PASSRevenue not declining
- PASSOperating margin holding
- PASSFree cash flow intact
- PASSPasses safety gate
- PASSNo competitive retreat
- PASSSBC not compressing margin
- PASSNo valuation convergence
Strengths Deferred revenue growing
No data Balance sheet — not counted as a pass.
A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.
Quality Profile
Profitability
1/1 passSafety
1/1 passCash Flow
3/3 passGrowth
2/2 passBurn rate (cash flow) is the primary read at this stage — TAM and product-market fit aren't metrics this dashboard tracks.
Profitability
Does it make money well?
No warning flags · GP/assets 7th percentile of 47 SIC 36 peers
Gross profitability (GP / assets)
0.12
Primary signal (Novy-Marx).
7th pctl of 47 SIC 36 peers
Return on equity
-2.0%
Gross margin
28.6%
11th pctl of 47 SIC 36 peers
Revenue growth (YoY)
7.9%
RPO growth (YoY)
-99.9%
Remaining performance obligations growth — RPO > revenue = forward demand building.
Gross margin improving
Margin trend vs prior year.
Operating Leverage
| 2023 | 2024 | 2025 | 2026 | |
|---|---|---|---|---|
| Revenue vs COGS | ||||
| Revenue vs OpEx | ||||
| Op. Income vs Revenue |
Growth
Revenue CAGR (3Y)
0.3%
Revenue CAGR (5Y)
1.3%
Earnings CAGR (3Y)
—
FCF CAGR (3Y)
—
Cash Flow Health
Is the cash real?
No warning flags · FCF 329% above net income
Free cash flow
$68.09M
Operating cash flow minus capex.
Positive free cash flow
FCF vs net income
329.5%
(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.
FCF not below net income
Fails when free cash flow is below net income (yellow flag).
Accruals healthy
Cash-backed earnings.
SBC / revenue
4.2%
Stock-based comp intensity.
Balance Sheet Strength
Can it survive a storm?
No warning flags · net cash $214.31M
Balance-sheet safety
Composite anti-fragile check.
Debt / equity
0.55
59th pctl of 45 SIC 36 peers (best = lowest)
Current ratio
2.96×
54th pctl of 47 SIC 36 peers
Quick ratio
0.86×
Net cash
$214.31M
Cash & equivalents minus total debt.
Piotroski F-Score
N/A
Only 8/9 components determinable.
Valuation
Is the price reasonable?
No warning flags
Capital allocation quality
Composite score
2.3 / 5
Lifecycle Phase History
Price History
Source filings on SEC EDGAR: 10-K annual reports · 10-Q quarterly reports