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Mercury Systems: Piper Sandler bullish on ruggedized compute growth
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Investing.com -- Piper Sandler has started coverage of Mercury Systems with an Overweight rating and a $126 price target, pointing to autonomy and next-generation defense computing as a new growth vector for the company.
Analyst Clarke Jeffries told investors that Mercury, with more than 40 years in defense electronics, has "built a robust business by converting commercial silicon into secure, ruggedized computing for the Defense sector."
Piper Sandler described Mercury as a critical supplier of advanced mission systems and a sole-source vendor on more than 300 active defense programs across 25-plus prime contractors.
The analyst adds that autonomous systems and command-and-control initiatives such as CJADC2 should further increase demand.
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