Zacks Research Issues Pessimistic Forecast for NOC Earnings

Northrop Grumman Co. (NYSE:NOC) – Stock analysts at Zacks Research cut their Q1 2025 earnings per share (EPS) estimates for Northrop Grumman in a research report issued to clients and investors on Thursday, February 20th. Zacks Research analyst A. Dutta now expects that the aerospace company will post earnings per share of $6.33 for the quarter, down from their previous forecast of $6.43. The consensus estimate for Northrop Grumman’s current full-year earnings is $28.05 per share. Zacks Research also issued estimates for Northrop Grumman’s Q2 2025 earnings at $7.07 EPS, Q3 2025 earnings at $7.15 EPS, Q4 2025 earnings at $7.34 EPS, FY2025 earnings at $27.89 EPS, Q2 2026 earnings at $6.28 EPS and FY2027 earnings at $30.97 EPS.

Northrop Grumman (NYSE:NOC) last posted its earnings results on Thursday, January 30th. The aerospace company reported $6.39 EPS for the quarter, topping the consensus estimate of $6.27 by $0.12. Northrop Grumman had a return on equity of 26.24% and a net margin of 10.17%.

Other analysts have also issued reports about the company. Barclays dropped their target price on Northrop Grumman from $550.00 to $500.00 and set an “equal weight” rating on the stock in a report on Monday, January 6th. Truist Financial began coverage on Northrop Grumman in a report on Tuesday, January 14th. They issued a “buy” rating and a $544.00 price objective on the stock. Wolfe Research raised Northrop Grumman from an “underperform” rating to a “peer perform” rating in a report on Monday, February 3rd. UBS Group dropped their price objective on Northrop Grumman from $579.00 to $558.00 and set a “buy” rating on the stock in a report on Friday, January 31st. Finally, Susquehanna dropped their price objective on Northrop Grumman from $625.00 to $557.00 and set a “positive” rating on the stock in a report on Wednesday, January 8th. Nine equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. According to data from MarketBeat, Northrop Grumman has a consensus rating of “Moderate Buy” and a consensus price target of $544.56.

Northrop Grumman Stock Up 2.5 %

Northrop Grumman stock opened at $461.03 on Monday. The firm has a market cap of $66.74 billion, a price-to-earnings ratio of 16.27, a price-to-earnings-growth ratio of 3.73 and a beta of 0.35. Northrop Grumman has a 52 week low of $418.60 and a 52 week high of $555.57. The business’s 50-day moving average price is $469.99 and its 200 day moving average price is $497.05. The company has a quick ratio of 0.91, a current ratio of 1.01 and a debt-to-equity ratio of 0.96.

Northrop Grumman announced that its board has approved a share buyback plan on Wednesday, December 11th that allows the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization allows the aerospace company to buy up to 4.3% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

Northrop Grumman Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, March 19th. Stockholders of record on Monday, March 3rd will be given a $2.06 dividend. The ex-dividend date is Monday, March 3rd. This represents a $8.24 annualized dividend and a dividend yield of 1.79%. Northrop Grumman’s dividend payout ratio (DPR) is presently 29.08%.

Insider Activity

In related news, VP Benjamin R. Davies sold 192 shares of Northrop Grumman stock in a transaction that occurred on Thursday, February 20th. The stock was sold at an average price of $429.08, for a total transaction of $82,383.36. Following the transaction, the vice president now owns 709 shares in the company, valued at approximately $304,217.72. This trade represents a 21.31 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Insiders have sold a total of 291 shares of company stock worth $129,184 over the last quarter. 0.22% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Northrop Grumman

Institutional investors have recently added to or reduced their stakes in the stock. Lockheed Martin Investment Management Co. lifted its position in Northrop Grumman by 19.9% during the fourth quarter. Lockheed Martin Investment Management Co. now owns 16,660 shares of the aerospace company’s stock worth $7,818,000 after buying an additional 2,770 shares in the last quarter. Trinity Street Asset Management LLP lifted its position in Northrop Grumman by 3.8% during the fourth quarter. Trinity Street Asset Management LLP now owns 48,367 shares of the aerospace company’s stock worth $22,698,000 after buying an additional 1,786 shares in the last quarter. Y Intercept Hong Kong Ltd purchased a new position in Northrop Grumman during the third quarter worth approximately $604,000. Fisher Asset Management LLC lifted its position in Northrop Grumman by 2.6% during the third quarter. Fisher Asset Management LLC now owns 212,514 shares of the aerospace company’s stock worth $112,222,000 after buying an additional 5,334 shares in the last quarter. Finally, AIA Group Ltd lifted its position in Northrop Grumman by 20.0% during the third quarter. AIA Group Ltd now owns 7,458 shares of the aerospace company’s stock worth $3,938,000 after buying an additional 1,242 shares in the last quarter. Hedge funds and other institutional investors own 83.40% of the company’s stock.

About Northrop Grumman

Northrop Grumman Corporation operates as an aerospace and defense technology company in the United States, Asia/Pacific, Europe, and internationally. The company’s Aeronautics Systems segment designs, develops, manufactures, integrates, and sustains aircraft systems. This segment also offers unmanned autonomous aircraft systems, including high-altitude long-endurance strategic ISR systems and vertical take-off and landing tactical ISR systems; and strategic long-range strike aircraft, tactical fighter and air dominance aircraft, and airborne battle management and command and control systems.