Form 4: Kratos Defense & Security Solutions Executive Sells Shares Under 10b5-1 Plan

A Kratos Defense & Security Solutions executive, Steven S. Fendley, sold 7,000 shares of common stock at an average price of $33.156, as part of a pre-arranged 10b5-1 trading plan.

Summary

• Steven S. Fendley, President of the US Division at Kratos Defense & Security Solutions, sold 7,000 shares of common stock.
• The sale occurred on January 27, 2025, at a weighted average price of $33.156 per share.
• The shares were sold under a pre-arranged 10b5-1 trading plan adopted on May 20, 2024.
• The sale was executed in multiple transactions with prices ranging from $32.60 to $33.69 per share.
• Following the transaction, Fendley directly owns 365,461 shares, which includes approximately 1,921 shares held through the company's 401(k) plan.

Sentiment

Score: 5

Explanation: The document reflects a routine stock sale by an executive under a pre-arranged plan, which is neither positive nor negative for the company's outlook.

Industry Context

This is a routine transaction for executives who use 10b5-1 plans to manage their stock sales, and is not unusual in the defense and security industry.

Comparison to Industry Standards

• Executive stock sales under 10b5-1 plans are common across publicly traded companies, including those in the defense sector such as Lockheed Martin, Northrop Grumman, and Raytheon.
• These plans allow executives to sell shares without being accused of insider trading, as the sales are pre-scheduled.
• The volume of shares sold and the price range are within typical parameters for such transactions.

Stakeholder Impact

• The stock sale may have a minor impact on the stock price, but is unlikely to significantly affect shareholders due to the pre-planned nature of the transaction.
• The transaction does not directly impact employees, customers, suppliers, or creditors.

Key Dates

Keywords

Kratos Defense & Security Solutions, insider trading, stock sale, Form 4, 10b5-1 plan, executive, equity securities