Northrop Grumman Corporation (NYSE:NOC) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Consensus "Moderate Buy": 21 analysts cover NOC (11 buys, 9 holds, 1 strong buy) with a one‑year average price target of $693.60, and recent broker upgrades have pushed individual targets as high as $815.
• Fundamentals beat: Northrop reported Q EPS of $7.23 vs. $6.97 expected and revenue of $11.71B (+9.6% y/y), and set FY2026 guidance of $27.40–$27.90 EPS (analysts average ~28.05 EPS).
• Backlog and risks: New Space Force, Navy and European contracts are extending the company’s backlog and revenue visibility, but geopolitical headlines are creating short‑term volatility while insiders sold roughly 32,431 shares (~$22M) in the last three months.

Shares of Northrop Grumman Corporation (NYSE:NOC - Get Free Report) have been given an average rating of "Moderate Buy" by the twenty-one ratings firms that are presently covering the stock, MarketBeat.com reports. Nine equities research analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the company. The average 1 year price target among brokers that have issued a report on the stock in the last year is $693.60.

Several equities analysts recently weighed in on the stock. Royal Bank Of Canada raised their price objective on shares of Northrop Grumman from $715.00 to $750.00 and gave the company an "outperform" rating in a research report on Wednesday, January 28th. TD Cowen restated a "hold" rating on shares of Northrop Grumman in a research note on Wednesday, January 28th. Citigroup lifted their price objective on shares of Northrop Grumman from $715.00 to $781.00 and gave the company a "buy" rating in a research note on Wednesday, January 28th. Bank of America boosted their price target on Northrop Grumman from $685.00 to $750.00 and gave the stock a "buy" rating in a research report on Wednesday, January 28th. Finally, BTIG Research upped their price target on Northrop Grumman from $680.00 to $815.00 and gave the stock a "buy" rating in a research note on Wednesday, January 28th.

Trending Headlines about Northrop Grumman

Here are the key news stories impacting Northrop Grumman this week:

• Positive Sentiment: Won a contract to supply aircraft protection systems to Germany — strengthens European sales and strengthens logistics/support ties with a NATO ally, adding near‑term revenue and program visibility. Northrop Grumman to supply aircraft protection systems to Germany
• Positive Sentiment: Received Space Force DARC hardware orders and is advancing Site‑2 work for GEO tracking — reinforces Northrop’s leadership in space surveillance and supports multi‑year program revenue and margins. Northrop Grumman’s (NOC) DARC Site 2 Hardware Order Shows the Space Force is Still Building Out GEO Tracking Capacity
• Positive Sentiment: New U.S. Space Force and Navy contract actions extend the company’s backlog and deepen long‑term defense ties — supports the company’s large backlog that underpins revenue visibility and FY26 guidance. Northrop Grumman Contracts Extend Backlog And Deepen Long Term Defense Ties
• Neutral Sentiment: Sector analyses highlight a structural shift toward tech‑heavy defense spending (AI, ISR, unmanned systems) where Northrop is a core blue‑chip player — bullish for the long term but not an immediate price catalyst. The New War Portfolio: 3 Stocks Built for a High-Tech War (MarketBeat)
• Neutral Sentiment: Coverage pieces note that longer conflicts and U.S. restocking needs benefit defense suppliers broadly; Northrop is an indirect beneficiary but not always the top supplier for tactical missile restocking. Kratos Defense and 5 Other Stocks That Can Benefit From the US Restocking Its Missiles
• Neutral Sentiment: Analysis of NOC’s past run‑up shows revenue growth, margin recovery in Aeronautics, and record backlog drove a big P/E expansion — explains why investors have been willing to bid the stock higher but also why profit‑taking can be swift. What's Driving NOC Stock Higher? (Forbes)
• Negative Sentiment: Short‑term selling across defense stocks after escalations in the Middle East (including strikes and headlines) has pressured shares; geopolitical headlines can cause volatility even while defense budgets may rise. US strikes in Iran 'reinforce' a coming surge in defense spending
• Negative Sentiment: Market commentary and TV segments noted defense names (including NOC) sliding amid the latest geopolitical headlines — indicating investor rotation and increased intraday volatility despite the underlying contract wins. Don't underestimate the role of Palantir, AI in Iran conflict (Yahoo video)

Insider Activity at Northrop Grumman

In other Northrop Grumman news, Director Mark A. Welsh III sold 95 shares of the business's stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $684.52, for a total value of $65,029.40. Following the sale, the director owned 4,203 shares of the company's stock, valued at $2,877,037.56. The trade was a 2.21% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, VP Benjamin R. Davies sold 2,189 shares of Northrop Grumman stock in a transaction on Wednesday, February 18th. The shares were sold at an average price of $719.61, for a total value of $1,575,226.29. Following the transaction, the vice president directly owned 151 shares of the company's stock, valued at approximately $108,661.11. The trade was a 93.55% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 32,431 shares of company stock worth $21,969,404 in the last three months. Corporate insiders own 0.23% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Kestra Investment Management LLC lifted its stake in Northrop Grumman by 4.4% in the fourth quarter. Kestra Investment Management LLC now owns 353 shares of the aerospace company's stock valued at $201,000 after buying an additional 15 shares during the period. Evolution Wealth Management Inc. raised its position in shares of Northrop Grumman by 6.8% in the 4th quarter. Evolution Wealth Management Inc. now owns 235 shares of the aerospace company's stock valued at $134,000 after acquiring an additional 15 shares during the period. Howard Financial Services LTD. boosted its stake in Northrop Grumman by 1.4% during the 4th quarter. Howard Financial Services LTD. now owns 1,143 shares of the aerospace company's stock worth $651,000 after acquiring an additional 16 shares during the last quarter. Frank Rimerman Advisors LLC grew its holdings in Northrop Grumman by 0.8% during the fourth quarter. Frank Rimerman Advisors LLC now owns 1,973 shares of the aerospace company's stock valued at $1,125,000 after purchasing an additional 16 shares during the period. Finally, Capital Advisors Ltd. LLC increased its stake in Northrop Grumman by 0.4% in the fourth quarter. Capital Advisors Ltd. LLC now owns 4,012 shares of the aerospace company's stock valued at $2,288,000 after purchasing an additional 16 shares in the last quarter. 83.40% of the stock is currently owned by institutional investors and hedge funds.

Northrop Grumman Stock Down 1.8%

Northrop Grumman stock opened at $740.25 on Friday. The company's 50-day moving average price is $671.79 and its two-hundred day moving average price is $613.12. The stock has a market cap of $105.06 billion, a price-to-earnings ratio of 25.41, a PEG ratio of 5.60 and a beta of 0.03. Northrop Grumman has a 52 week low of $450.13 and a 52 week high of $774.00. The company has a current ratio of 1.10, a quick ratio of 1.01 and a debt-to-equity ratio of 0.91.

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

Northrop Grumman Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 11th. Stockholders of record on Monday, February 23rd will be paid a $2.31 dividend. The ex-dividend date is Monday, February 23rd. This represents a $9.24 annualized dividend and a dividend yield of 1.2%. Northrop Grumman's dividend payout ratio (DPR) is presently 31.72%.

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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