Mercury SystemsFRA:MCY +0.22%64 FCF Yield % is 1.12 as of Jun. 29, 2026, which is 25% below its 10-year median of 1.50. GuruFocus rates FRA:MCY with a GF Score™ of 64/100 and a GF Value™ of €35.60 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 357 Aerospace & Defense companies, Mercury Systems ranks better than 61.34% on this metric.
FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
Mercury Systems FCF Yield % Related Terms
Mercury Systems FCF Yield % Historical Data
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The historical data trend for Mercury Systems's FCF Yield % 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.
FRA:MCY vs DPC, VSEC, KRMN: FCF Yield % Comparison
For the Aerospace & Defense subindustry, Mercury Systems's FCF Yield %, along with its competitors' market caps and FCF Yield % 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 Yield % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Mercury Systems's FCF Yield % distribution charts can be found below:
* The bar in red indicates where Mercury Systems's FCF Yield % 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 (FRA:MCY) has a FCF Yield % of 1.12 as of Jun. 29, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Mercury Systems and its competitors. This is 25% below median its historical median of 1.50. According to the industry distribution chart, Mercury Systems ranks #138 out of 357 companies in the Aerospace & Defense industry, placing it in the top 38.7%.
Is Mercury Systems' FCF Yield % too high?
Mercury Systems' current FCF Yield % of 1.12 is 25% below median its 10-year median of 1.50. The Aerospace & Defense industry median FCF Yield % is 0.01. Mercury Systems' value of 1.12 is 11100% above this industry median. Based on the distribution chart, Mercury Systems ranks #138 out of 357 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Mercury Systems has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Mercury Systems' FCF Yield % compare to DPC and VSEC?
According to the Aerospace & Defense industry distribution chart, Mercury Systems ranks #138 out of 357 companies for FCF Yield %. This puts Mercury Systems in the upper half of its industry. The industry median FCF Yield % is 0.01. Mercury Systems' value of 1.12 is 11100% above this benchmark. While the company's 10-year median is 1.50 vs. the industry median of 0.01, 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 Yield % for an Aerospace & Defense company?
The median FCF Yield % among Aerospace & Defense companies is 0.01, based on 357 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Mercury Systems's current FCF Yield % of 1.12 is 11100% 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 Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Mercury Systems and its competitors. For the Aerospace & Defense industry, the median FCF Yield % is 0.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mercury Systems's current FCF Yield % is 1.12, which is 25% below median its own 10-year median of 1.50. 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 (FRA:MCY) is currently considered Significantly Overvalued. The stock's GF Value™ is €35.60, compared to a current price of €90.68 — trading 154.7% above its estimated fair value. The current FCF Yield % is 1.12, which is 25% below median its 10-year median of 1.50 and 11100% above the Aerospace & Defense industry median of 0.01. Mercury Systems' overall GF Score™ is 64/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For Mercury Systems (FRA:MCY), the current FCF Yield % is 1.12 as of Jun. 29, 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 (FRA:MCY) Overvalued in 2026?
Based on GuruFocus' analysis, Mercury Systems stock appears to be overvalued.
The current stock price of €90.68 is trading 154.7% above its estimated GF Value™ of €35.60.
GuruFocus considers Mercury Systems to be Significantly Overvalued.
Key valuation signals for FRA:MCY:
FCF Yield %: 1.12 (25% below median its 10-year median of 1.50)
GF Value™: €35.60 vs. price of €90.68 (154.7% above fair value)
Industry Position: 11100% above the Aerospace & Defense median (#138 of 357)
No single metric tells the full story. See the FRA:MCY 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.
64GF Score
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