MRCY Forecast



Bearish<—>Bullish



80% Confidence




Bullish Case: Mercury Systems' recent contracts and technological advancements may catalyze growth, aligning with the bullish social sentiment. The defense sector's strategic importance underscores potential upside.




Bearish Case: Persistent legal issues and leadership instability, coupled with elevated volatility, pose ongoing risks. Previous predictions of underperformance due to market uncertainty still hold weight.




Potential Outcomes:

1) Successful contract execution leads to 15% rise (40%).

2) Legal and leadership challenges result in 10% drop (50%).

3) Minor price stabilization (10%).




Trading Oracle: Opt for bullish debit spreads targeting the $42.50/$47.50 range, expiring in June. This capitalizes on potential recovery from contract synergies while hedging against potential bearish outcomes. Elevated implied volatility supports long volatility strategies.



January 28, 2025


Mercury Systems Forecast

MRCY        Mercury Systems











Correlated Assets

Assets that tend to move strongly with MRCY



ERJ Forecast + Options Trading Strategies   ERJ  Embraer (0.89)


ZBRA Forecast + Options Trading Strategies   ZBRA  Zebra (0.89)


RKLB Forecast + Options Trading Strategies   RKLB  Rocket Lab USA (0.89)


COOP Forecast + Options Trading Strategies   COOP  Mr. Cooper (0.89)


CRS Forecast + Options Trading Strategies   CRS  Carpenter Technology (0.89)



Uncorrelated Assets

Assets with little price relationship to MRCY



DOX Forecast + Options Trading Strategies   DOX  Amdocs (0.01)


CWH Forecast + Options Trading Strategies   CWH  Camping World (0.02)


INTU Forecast + Options Trading Strategies   INTU  Intuit (0.02)


TALK Forecast + Options Trading Strategies   TALK  Talkspace (0.03)


BB Forecast + Options Trading Strategies   BB  BlackBerry (-0.03)



Anticorrelated Assets

Assets that tend to move strongly against MRCY



LEA Forecast + Options Trading Strategies   LEA  Lear (-0.83)


SPXS Forecast + Options Trading Strategies   SPXS  Direxion Daily S&P 500 Bear 3X Shares (-0.84)


IEP Forecast + Options Trading Strategies   IEP  Icahn (-0.85)


HDSN Forecast + Options Trading Strategies   HDSN  Hudson Technologies (-0.85)


EL Forecast + Options Trading Strategies   EL  Estee Lauder Cos. (-0.85)









Become a more profitable investor with AI optimized trading strategies






×

Chat with MRCY


 Ask any question about MRCY!