Northrop Grumman (NYSE:NOC) Reaches New 12-Month High – Still a Buy?

Shares of Northrop Grumman Corporation (NYSE:NOC) hit a new 52-week high during trading on Monday . The company traded as high as $758.82 and last traded at $756.4260, with a volume of 238992 shares changing hands. The stock had previously closed at $724.38.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the stock. BTIG Research lifted their target price on shares of Northrop Grumman from $680.00 to $815.00 and gave the company a “buy” rating in a report on Wednesday, January 28th. Jefferies Financial Group lifted their price objective on Northrop Grumman from $630.00 to $690.00 and gave the company a “hold” rating in a research note on Sunday, February 1st. Royal Bank Of Canada boosted their target price on Northrop Grumman from $715.00 to $750.00 and gave the stock an “outperform” rating in a report on Wednesday, January 28th. BNP Paribas Exane initiated coverage on Northrop Grumman in a report on Tuesday, November 18th. They set an “outperform” rating and a $710.00 price target for the company. Finally, Vertical Research reaffirmed a “hold” rating and issued a $688.00 price target on shares of Northrop Grumman in a research report on Tuesday, January 27th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and nine have assigned a Hold rating to the stock. According to data from MarketBeat.com, Northrop Grumman presently has a consensus rating of “Moderate Buy” and a consensus target price of $693.60.

Northrop Grumman Trading Up 4.1%

The company has a debt-to-equity ratio of 0.91, a quick ratio of 1.01 and a current ratio of 1.10. The firm has a market cap of $107.02 billion, a PE ratio of 25.89, a price-to-earnings-growth ratio of 5.38 and a beta of 0.03. The stock has a 50-day simple moving average of $657.85 and a two-hundred day simple moving average of $608.68.

Northrop Grumman (NYSE:NOC) last announced its quarterly earnings results on Tuesday, January 27th. The aerospace company reported $7.23 EPS for the quarter, topping analysts’ consensus estimates of $6.97 by $0.26. The firm had revenue of $11.71 billion during the quarter, compared to analyst estimates 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 period in the previous year, the business posted $6.39 earnings per share. Northrop Grumman has set its FY 2026 guidance at 27.400-27.900 EPS. As a group, sell-side analysts anticipate that Northrop Grumman Corporation will post 28.05 EPS for the current year.

Northrop Grumman Announces Dividend

The company also recently declared 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. This represents a $9.24 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date is Monday, February 23rd. Northrop Grumman’s dividend payout ratio (DPR) is 31.72%.

Insider Transactions at Northrop Grumman

In related news, Director Mark A. Welsh III sold 95 shares of the company’s 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 sale, the director owned 4,203 shares in the company, valued at approximately $2,877,037.56. This represents a 2.21% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Benjamin R. Davies sold 2,189 shares of the firm’s stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $719.61, for a total value of $1,575,226.29. Following the completion of the transaction, the vice president directly owned 151 shares in the company, valued at $108,661.11. The trade was a 93.55% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 32,431 shares of company stock worth $21,969,404. 0.23% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

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

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.