Northrop Grumman Corporation (NYSE:NOC) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Analyst sentiment is moderately bullish: Twenty-one analysts give Northrop Grumman a consensus “Moderate Buy” rating, with 11 buys, eight holds and two strong buys. The average 12-month price target is approximately $659.86.
• Recent results exceeded expectations: The company reported quarterly EPS of $7.68 versus the $6.82 consensus estimate, while revenue reached $10.88 billion and rose 5.1% year over year. Analysts project full-year 2026 EPS of about $28.97.
• The stock remains below its recent highs while paying a dividend: NOC opened at $526.11, compared with a 52-week range of $479.02 to $774.00, and recently declared a $2.47 quarterly dividend, equivalent to a 1.9% yield.

Shares of Northrop Grumman Corporation (NYSE:NOC - Get Free Report) have received a consensus rating of "Moderate Buy" from the twenty-one analysts that are currently covering the firm, MarketBeat Ratings reports. Eight analysts have rated the stock with a hold recommendation, eleven have assigned a buy recommendation and two have given a strong buy recommendation to the company. The average 1-year price target among brokers that have covered the stock in the last year is $659.8571.

Several research firms have issued reports on NOC. Guggenheim assumed coverage on Northrop Grumman in a research note on Monday, September 14th. They set a "buy" rating and a $612.00 target price for the company. Susquehanna decreased their price target on Northrop Grumman from $785.00 to $655.00 and set a "positive" rating on the stock in a research note on Wednesday, July 22nd. The Goldman Sachs Group lowered their price target on Northrop Grumman from $603.00 to $533.00 and set a "neutral" rating for the company in a report on Tuesday, July 14th. Robert W. Baird set a $500.00 price objective on Northrop Grumman in a research report on Wednesday, July 22nd. Finally, Weiss Ratings lowered shares of Northrop Grumman from a "hold (c+)" rating to a "hold (c)" rating in a report on Thursday, September 10th.

Insider Activity

In other news, Director Mark Welsh, III sold 95 shares of the business's stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $547.53, for a total value of $52,015.35. Following the sale, the director directly owned 4,393 shares of the company's stock, valued at approximately $2,405,299.29. The trade was a 2.12% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.21% of the company's stock.

Institutional Trading of Northrop Grumman

Several institutional investors have recently added to or reduced their stakes in the stock. Kestra Investment Management LLC grew its stake in shares of Northrop Grumman by 4.4% in the 4th quarter. Kestra Investment Management LLC now owns 353 shares of the aerospace company's stock valued at $201,000 after purchasing an additional 15 shares during the last quarter. Evolution Wealth Management Inc. increased its holdings in shares of Northrop Grumman by 6.8% in the fourth quarter. Evolution Wealth Management Inc. now owns 235 shares of the aerospace company's stock valued at $134,000 after purchasing an additional 15 shares during the period. Diversified Portfolios Inc. raised its stake in shares of Northrop Grumman by 0.9% during the fourth quarter. Diversified Portfolios Inc. now owns 1,789 shares of the aerospace company's stock worth $1,020,000 after purchasing an additional 16 shares during the last quarter. South Plains Financial Inc. lifted its holdings in shares of Northrop Grumman by 1.8% during the fourth quarter. South Plains Financial Inc. now owns 896 shares of the aerospace company's stock worth $511,000 after purchasing an additional 16 shares during the period. Finally, Tobias Financial Advisors Inc. lifted its holdings in shares of Northrop Grumman by 4.7% during the fourth quarter. Tobias Financial Advisors Inc. now owns 379 shares of the aerospace company's stock worth $216,000 after purchasing an additional 17 shares during the period. Institutional investors and hedge funds own 83.40% of the company's stock.

Northrop Grumman Stock Performance

NYSE:NOC opened at $526.11 on Tuesday. The company has a debt-to-equity ratio of 0.81, a current ratio of 1.17 and a quick ratio of 1.06. The firm has a market capitalization of $74.72 billion, a price-to-earnings ratio of 16.71, a PEG ratio of 3.09 and a beta of -0.11. The company's 50-day moving average is $542.34 and its two-hundred day moving average is $582.47. Northrop Grumman has a 1-year low of $479.02 and a 1-year high of $774.00.

Northrop Grumman (NYSE:NOC - Get Free Report) last announced its quarterly earnings results on Tuesday, July 21st. The aerospace company reported $7.68 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $6.82 by $0.86. The business had revenue of $10.88 billion during the quarter, compared to the consensus estimate of $10.80 billion. Northrop Grumman had a net margin of 10.48% and a return on equity of 24.25%. The business's revenue was up 5.1% compared to the same quarter last year. During the same quarter last year, the firm earned $8.15 EPS. Northrop Grumman has set its FY 2026 guidance at 28.600-29.100 EPS. Analysts forecast that Northrop Grumman will post 28.97 EPS for the current year.

Northrop Grumman Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 16th. Shareholders of record on Monday, August 31st were given a dividend of $2.47 per share. The ex-dividend date was Monday, August 31st. This represents a $9.88 dividend on an annualized basis and a dividend yield of 1.9%. Northrop Grumman's dividend payout ratio (DPR) is currently 31.39%.

Northrop Grumman Company Profile

Northrop Grumman Corporation is a global aerospace and defense company that develops and delivers systems, platforms and technologies for government and commercial customers. Its activities include the design and production of military aircraft, autonomous systems, spacecraft, launch vehicles, missile-defense systems, command-and-control networks, cyber solutions, sensors and other mission-critical technologies.

The company serves the U.S. Department of Defense, other U.S. government agencies and international customers.

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