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Mercury SystemsMRCY -6.31%62 FCF Margin % is 9.86% as of Jun. 2026, which is 62% above its 10-year median of 6.08. GuruFocus rates MRCY with a GF Score™ of 62/100 and a GF Value™ of $48.16 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 346 Aerospace & Defense companies, Mercury Systems ranks better than 62.43% on this metric.
The historical data trend for Mercury Systems's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Aerospace & Defense subindustry, Mercury Systems's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Mercury Systems FCF Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Mercury Systems's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Mercury Systems's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Mercury Systems (MRCY) has a FCF Margin % of 9.86% as of Jun. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Mercury Systems and its competitors. This is 62% above median its historical median of 6.08. According to the industry distribution chart, Mercury Systems ranks #130 out of 346 companies in the Aerospace & Defense industry, placing it in the top 37.6%.
Is Mercury Systems' FCF Margin % too high?
Mercury Systems' current FCF Margin % of 9.86% is 62% above median its 10-year median of 6.08. The Aerospace & Defense industry median FCF Margin % is 1.00. Mercury Systems' value of 9.86% is 886% above this industry median. Based on the distribution chart, Mercury Systems ranks #130 out of 346 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Mercury Systems has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Mercury Systems' FCF Margin % compare to KRMN and LOAR?
According to the Aerospace & Defense industry distribution chart, Mercury Systems ranks #130 out of 346 companies for FCF Margin %. This puts Mercury Systems in the upper half of its industry. The industry median FCF Margin % is 1.00. Mercury Systems' value of 9.86% is 886% above this benchmark. While the company's 10-year median is 6.08 vs. the industry median of 1.00, Mercury Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for an Aerospace & Defense company?
The median FCF Margin % among Aerospace & Defense companies is 1.00, based on 346 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Mercury Systems's current FCF Margin % of 9.86% is 886% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Mercury Systems and its competitors. For the Aerospace & Defense industry, the median FCF Margin % is 1.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mercury Systems's current FCF Margin % is 9.86%, which is 62% above median its own 10-year median of 6.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mercury Systems stock overvalued right now?
Based on GuruFocus' analysis, Mercury Systems (MRCY) is currently considered Significantly Overvalued. The stock's GF Value™ is $48.16, compared to a current price of $94.75 — trading 96.7% above its estimated fair value. The current FCF Margin % is 9.86%, which is 62% above median its 10-year median of 6.08 and 886% above the Aerospace & Defense industry median of 1.00. Mercury Systems' overall GF Score™ is 62/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Mercury Systems (MRCY), the current FCF Margin % is 9.86% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Mercury Systems (MRCY) Overvalued in 2026?
Based on GuruFocus' analysis, Mercury Systems stock appears to be overvalued.
The current stock price of $94.75 is trading 96.7% above its estimated GF Value™ of $48.16.
GuruFocus considers Mercury Systems to be Significantly Overvalued.
Key valuation signals for MRCY:
FCF Margin %: 9.86% (62% above median its 10-year median of 6.08)
GF Value™: $48.16 vs. price of $94.75 (96.7% above fair value)
Industry Position: 886% above the Aerospace & Defense median (#130 of 346)
No single metric tells the full story. See the MRCY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mercury Systems Inc is a commercial technology company serving the aerospace and defense industry. The company envisions, creates, and delivers secure open architecture solutions powering a broad range of mission-critical applications in challenging and demanding environments. Its Mercury Processing Platform spans the full breadth of signal processing from radio frequency front end to the human-machine interface to convert meaningful data, gathered in remote and hostile environments, into critical decisions. The company manufactures components, products, modules, and subsystems and sells to defense prime contractors, the U.S. government, original equipment manufacturers, and commercial aerospace companies. Geographically, it derives maximum revenue from the United States.
62GF Score
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