KTOS · PEAD ↑ 23

Kratos Defense reported Q3 2026 EPS of $0.16 on 2026-11-05, beating the $0.15 consensus by $0.01 (+6.7%).

Print-day reaction was a sharp -7.1% versus the prior close, a steep sell-off despite the modest EPS beat. The overnight gap recovered +1.0% into the T+1 open, suggesting the initial flush may have been overdone. Over the following two trading days, price drifted +4.6% from the T+1 close through T+3 close, fully reversing the post-print weakness. Cumulative abnormal return of +4.3% versus SPY.US — which itself fell -2.2% over the same window — clears the long threshold; per the documented PEAD pattern, the read holds through 2027-02-02.