Wellington Management Group LLP Cuts Holdings in Northrop Grumman Corporation $NOC

Key Points

• Wellington Management cut its stake in Northrop Grumman by 22.4% in Q3, selling 1,234,149 shares and now holds 4,269,997 shares (about 2.99%), valued at roughly $2.60 billion.
• Strong quarterly results: Northrop Grumman reported EPS of $7.23 (beat by $0.26) and revenue of $11.71B (up 9.6% YoY), and set FY2026 EPS guidance of $27.40–$27.90 versus analysts’ average ~28.05.
• Insider selling has been notable — CEO Kathy Warden sold 20,000 shares for about $14.18M and insiders sold 32,431 shares (~$21.97M) in the last 90 days, while institutional ownership is ~83.4%.

Wellington Management Group LLP lowered its position in Northrop Grumman Corporation (NYSE:NOC - Free Report) by 22.4% in the third quarter, according to the company in its most recent disclosure with the SEC. The firm owned 4,269,997 shares of the aerospace company's stock after selling 1,234,149 shares during the period. Wellington Management Group LLP owned about 2.99% of Northrop Grumman worth $2,601,795,000 at the end of the most recent quarter.

Other hedge funds have also modified their holdings of the company. Financial Life Planners purchased a new position in shares of Northrop Grumman in the 3rd quarter valued at about $27,000. Physician Wealth Advisors Inc. boosted its position in Northrop Grumman by 200.0% during the third quarter. Physician Wealth Advisors Inc. now owns 48 shares of the aerospace company's stock worth $29,000 after purchasing an additional 32 shares in the last quarter. Parvin Asset Management LLC purchased a new position in Northrop Grumman during the second quarter worth approximately $25,000. Hopwood Financial Services Inc. acquired a new stake in Northrop Grumman in the third quarter valued at approximately $30,000. Finally, Twin Peaks Wealth Advisors LLC acquired a new stake in Northrop Grumman in the second quarter valued at approximately $31,000. 83.40% of the stock is owned by hedge funds and other institutional investors.

Northrop Grumman Stock Performance

Shares of Northrop Grumman stock opened at $733.88 on Friday. The business's 50 day moving average price is $691.50 and its 200 day moving average price is $619.39. The company has a market cap of $104.15 billion, a price-to-earnings ratio of 25.19, a PEG ratio of 5.47 and a beta of 0.03. The company has a debt-to-equity ratio of 0.91, a quick ratio of 1.01 and a current ratio of 1.10. Northrop Grumman Corporation has a one year low of $450.13 and a one year high of $774.00.

Northrop Grumman (NYSE:NOC - Get Free Report) last posted its quarterly earnings results on Tuesday, January 27th. The aerospace company reported $7.23 earnings per share for the quarter, beating the consensus estimate of $6.97 by $0.26. The business had revenue of $11.71 billion during the quarter, compared to analysts' expectations of $11.61 billion. Northrop Grumman had a net margin of 9.97% and a return on equity of 25.57%. The business's revenue for the quarter was up 9.6% on a year-over-year basis. During the same quarter in the prior year, the company posted $6.39 EPS. Northrop Grumman has set its FY 2026 guidance at 27.400-27.900 EPS. On average, research analysts predict that Northrop Grumman Corporation will post 28.05 EPS for the current year.

Northrop Grumman Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, March 11th. Stockholders of record on Monday, February 23rd were paid a $2.31 dividend. This represents a $9.24 annualized dividend and a dividend yield of 1.3%. The ex-dividend date of this dividend was Monday, February 23rd. Northrop Grumman's dividend payout ratio is 31.72%.

Insiders Place Their Bets

In other news, Director Mark A. Welsh III sold 95 shares of the stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $684.52, for a total transaction of $65,029.40. Following the completion of the transaction, the director directly owned 4,203 shares in the company, valued at approximately $2,877,037.56. This represents a 2.21% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Kathy J. Warden sold 20,000 shares of the firm's stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $708.82, for a total value of $14,176,400.00. Following the sale, the chief executive officer directly owned 171,602 shares of the company's stock, valued at $121,634,929.64. The trade was a 10.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 32,431 shares of company stock worth $21,969,404. Company insiders own 0.23% of the company's stock.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on NOC shares. Citigroup upped their target price on Northrop Grumman from $715.00 to $781.00 and gave the stock a "buy" rating in a research note on Wednesday, January 28th. Vertical Research reissued a "hold" rating and issued a $688.00 price target on shares of Northrop Grumman in a research note on Tuesday, January 27th. TD Cowen reissued a "hold" rating on shares of Northrop Grumman in a report on Wednesday, January 28th. Jefferies Financial Group upped their price objective on shares of Northrop Grumman from $630.00 to $690.00 and gave the stock a "hold" rating in a research report on Sunday, February 1st. Finally, Truist Financial reaffirmed a "hold" rating and set a $623.00 price objective (down from $688.00) on shares of Northrop Grumman in a report on Friday, January 9th. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and nine have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $693.60.

About Northrop Grumman

Northrop Grumman Corporation NYSE: NOC is a leading U.S.-based aerospace and defense company that designs, builds and sustains advanced systems, products and technologies for government and commercial customers. Formed through the combination of Northrop and Grumman businesses in the 1990s, the company's portfolio spans manned and unmanned aircraft, space systems, missile defense, radar and sensor systems, and integrated command, control, communications, computers, intelligence, surveillance and reconnaissance (C4ISR) solutions.

The company's work includes airframe and platform manufacturing, space hardware and satellite systems, advanced mission systems and cybersecurity services, as well as logistics, sustainment and modernization programs.

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