Northrop Grumman (NYSE:NOC) Posts Earnings Results, Beats Estimates By $0.12 EPS

Northrop Grumman (NYSE:NOC) posted its earnings results on Thursday. The aerospace company reported $6.39 earnings per share for the quarter, topping the consensus estimate of $6.27 by $0.12, Zacks reports. Northrop Grumman had a return on equity of 26.57% and a net margin of 5.79%. Northrop Grumman updated its FY 2025 guidance to 27.850-28.250 EPS.

Northrop Grumman Price Performance

Shares of NOC opened at $479.88 on Friday. The company has a current ratio of 1.09, a quick ratio of 0.97 and a debt-to-equity ratio of 1.00. The stock’s 50 day moving average is $478.40 and its two-hundred day moving average is $497.53. Northrop Grumman has a twelve month low of $418.60 and a twelve month high of $555.57. The firm has a market capitalization of $69.92 billion, a PE ratio of 29.79, a P/E/G ratio of 0.91 and a beta of 0.35.

Northrop Grumman Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, December 18th. Stockholders of record on Monday, December 2nd were paid a dividend of $2.06 per share. The ex-dividend date was Monday, December 2nd. This represents a $8.24 dividend on an annualized basis and a dividend yield of 1.72%. Northrop Grumman’s dividend payout ratio (DPR) is 51.05%.

Northrop Grumman announced that its Board of Directors has approved a share buyback plan on Wednesday, December 11th that permits the company to repurchase $3.00 billion in shares. This repurchase authorization permits the aerospace company to reacquire up to 4.3% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s leadership believes its shares are undervalued.

Insider Transactions at Northrop Grumman

In related news, VP Benjamin R. Davies sold 1,156 shares of the business’s stock in a transaction dated Monday, November 11th. The shares were sold at an average price of $532.93, for a total transaction of $616,067.08. Following the sale, the vice president now owns 537 shares of the company’s stock, valued at approximately $286,183.41. The trade was a 68.28 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. In the last three months, insiders sold 1,255 shares of company stock valued at $663,859. Corporate insiders own 0.22% of the company’s stock.

Analysts Set New Price Targets

Several analysts have recently weighed in on NOC shares. JPMorgan Chase & Co. boosted their price objective on shares of Northrop Grumman from $500.00 to $560.00 and gave the stock a “neutral” rating in a research report on Monday, October 14th. Susquehanna reduced their price target on shares of Northrop Grumman from $625.00 to $557.00 and set a “positive” rating for the company in a research report on Wednesday, January 8th. TD Cowen upgraded Northrop Grumman to a “hold” rating in a research report on Tuesday, October 8th. Wells Fargo & Company raised Northrop Grumman from an “equal weight” rating to an “overweight” rating and set a $595.00 target price for the company in a research report on Wednesday, January 8th. Finally, Barclays cut their price target on Northrop Grumman from $550.00 to $500.00 and set an “equal weight” rating on the stock in a research report on Monday, January 6th. Eight equities research analysts have rated the stock with a hold rating, eight have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $550.94.

Northrop Grumman Company Profile

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.