Northrop Grumman (NYSE:NOC) Stock Rating Upgraded by Wells Fargo & Company

Key Points

• Wells Fargo upgraded Northrop Grumman to a "strong‑buy," joining other firms that have raised price targets (consensus rating "Moderate Buy" with a consensus price target of about $707.35 and some targets as high as $800).
• Northrop beat quarterly estimates with $7.23 EPS and $11.71 billion revenue (up 9.6% YoY) and issued FY‑2026 EPS guidance of 27.40–27.90, with sell‑side forecasts around 28.05 EPS.
• The company is landing revenue‑relevant wins (autonomy demos, SEWIP Block 3 Navy work and potential NASA/Artemis upside) but faces political/policy risk and notable insider selling (32,431 shares worth roughly $22M in the last three months).

Northrop Grumman (NYSE:NOC - Get Free Report) was upgraded by research analysts at Wells Fargo & Company to a "strong-buy" rating in a report released on Tuesday,Zacks.com reports.

A number of other equities research analysts have also weighed in on the stock. Wall Street Zen upgraded shares of Northrop Grumman from a "buy" rating to a "strong-buy" rating in a report on Saturday, March 21st. Argus set a $785.00 price target on Northrop Grumman in a research note on Tuesday, February 10th. Citigroup increased their price objective 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 restated a "hold" rating and issued a $688.00 target price on shares of Northrop Grumman in a report on Tuesday, January 27th. Finally, Bank of America lifted their target price on Northrop Grumman from $685.00 to $750.00 and gave the company a "buy" rating in a research report on Wednesday, January 28th. Two research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and nine have assigned a Hold rating to the company's stock. According to data from MarketBeat, Northrop Grumman currently has an average rating of "Moderate Buy" and a consensus price target of $707.35.

Northrop Grumman Price Performance

Shares of NOC opened at $697.69 on Tuesday. The business's fifty day moving average is $708.56 and its 200 day moving average is $630.08. Northrop Grumman has a 12-month low of $450.13 and a 12-month high of $774.00. The company has a quick ratio of 1.01, a current ratio of 1.10 and a debt-to-equity ratio of 0.91. The stock has a market cap of $99.02 billion, a P/E ratio of 23.95, a P/E/G ratio of 5.06 and a beta of 0.05.

Northrop Grumman (NYSE:NOC - Get Free Report) last announced its quarterly earnings results 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 net margin of 9.97% and a return on equity of 25.57%. The business had revenue of $11.71 billion during the quarter, compared to analyst estimates of $11.61 billion. During the same quarter in the previous year, the business posted $6.39 EPS. Northrop Grumman's quarterly revenue was up 9.6% on a year-over-year basis. Northrop Grumman has set its FY 2026 guidance at 27.400-27.900 EPS. Sell-side analysts anticipate that Northrop Grumman will post 28.05 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, VP Benjamin R. Davies sold 2,189 shares of the stock in a transaction that occurred on Wednesday, February 18th. The stock was sold at an average price of $719.61, for a total transaction of $1,575,226.29. Following the completion of the sale, the vice president directly owned 151 shares of the company's stock, valued at approximately $108,661.11. This trade represents a 93.55% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CAO Michael A. Hardesty sold 147 shares of Northrop Grumman stock in a transaction on Thursday, February 19th. The stock was sold at an average price of $732.98, for a total value of $107,748.06. Following the sale, the chief accounting officer owned 2,525 shares in the company, valued at $1,850,774.50. This trade represents a 5.50% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 32,431 shares of company stock valued at $21,969,404. Insiders own 0.23% of the company's stock.

Hedge Funds Weigh In On Northrop Grumman

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Focused Investors LLC grew its stake in shares of Northrop Grumman by 4.1% during the 3rd quarter. Focused Investors LLC now owns 211,800 shares of the aerospace company's stock worth $129,054,000 after acquiring an additional 8,300 shares during the period. Merit Financial Group LLC lifted its holdings in Northrop Grumman by 74.5% during the third quarter. Merit Financial Group LLC now owns 11,060 shares of the aerospace company's stock valued at $6,739,000 after purchasing an additional 4,721 shares during the last quarter. Huntleigh Advisors Inc. bought a new position in Northrop Grumman during the third quarter worth about $2,818,000. Oak Thistle LLC purchased a new position in shares of Northrop Grumman in the third quarter worth about $1,015,000. Finally, Harel Insurance Investments & Financial Services Ltd. increased its stake in shares of Northrop Grumman by 4.1% in the third quarter. Harel Insurance Investments & Financial Services Ltd. now owns 81,747 shares of the aerospace company's stock worth $49,810,000 after purchasing an additional 3,215 shares in the last quarter. 83.40% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Northrop Grumman

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

• Positive Sentiment: Wells Fargo initiated coverage with an "Overweight" rating and an $800 price target, signaling institutional support and a notable upside from recent levels. Northrop Grumman NYSE: NOC Now Covered by Analysts at Wells Fargo & Company
• Positive Sentiment: Northrop showcased autonomous capabilities in an Army exercise (Lumberjack unmanned aircraft system / autonomy demo), highlighting revenue‑relevant tech that can drive future contracts and justify a premium valuation. Northrop Grumman demonstrates autonomous drone during Army exercise
• Positive Sentiment: Company secured/extended electronic warfare (SEWIP Block 3) work for the U.S. Navy (including first carrier shipset), reinforcing defense backlog and near‑term revenue visibility. Northrop Grumman’s Autonomy And EW Wins Test Justified Premium Valuation
• Positive Sentiment: NASA’s Artemis II spotlight is boosting investor attention on space suppliers; Northrop is named among contractors likely to benefit from renewed lunar program activity and related spending. GE, Boeing, and 3 More Aerospace and Defense Stocks to Buy
• Neutral Sentiment: Sector news: Rocket Lab’s strong backlog and launch cadence highlight growing demand in space infrastructure, but execution risks there are unlikely to directly move Northrop shares — it’s a broader sector read. Rocket Lab's Backlog Provides a Clear Path to 2026 Revenue Growth
• Neutral Sentiment: Market commentary notes NOC shares rose but still underperformed the broader market recently — a reminder that positive program news can be offset by macro/sector dynamics. Northrop Grumman Corp. stock rises Tuesday, still underperforms market
• Negative Sentiment: Political risk: commentary that the U.S. might pull back from NATO or shift alliance dynamics is being flagged as a potential headwind for major defense contractors, adding policy uncertainty to the sector. Trump Toys With NATO Exit: Defense Stocks In The Crosshairs

Northrop Grumman Company Profile

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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