Northrop Grumman Corporation

(New York Stock Exchange)
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Bullish +55

Caisse de depot et placement du Quebec Grows Stock Position in Northrop Grumman Corporation $NOC - MarketBeat

AI-generated analysis

πŸ“ˆ Northrop Grumman beat quarterly earnings expectations with EPS of $7.68 and revenue of $10.88 billion.

πŸš€ The company issued fiscal 2026 EPS guidance between $28.60 and $29.10, aligning with analyst consensus.

🏦 Caisse de depot et placement du Quebec increased its stake by 460% to acquire 60,861 shares worth $37.7 million.

πŸ“Š Institutional investors collectively own 83.4% of the company's outstanding stock.

πŸ’° Northrop Grumman declared a quarterly dividend of $2.47 per share with an annualized yield of 1.8%.

πŸ“ˆ Analyst consensus rating is 'Moderate Buy' with an average price target of $661.30.

πŸ” Citigroup raised its price target to $667 and reaffirmed a 'buy' rating on the stock.

πŸ“‰ JPMorgan Chase lowered its price target to $600 and assigned a neutral rating.

πŸ“‰ Northrop Grumman stock is trading below its 200-day simple moving average of $604.78.

🏒 The company has a market capitalization of $77.52 billion and a PE ratio of 17.34.

Bullish Signals
  • Northrop Grumman exceeded quarterly earnings expectations, reporting EPS of $7.68 versus the consensus estimate of $6.82.
  • The company reported revenue of $10.88 billion, surpassing analyst estimates of $10.80 billion and achieving 5.1% year-over-year growth.
  • Caisse de depot et placement du Quebec significantly increased its position by 460%, acquiring 60,861 shares valued at approximately $37.7 million.
  • Major institutional investors including BlackRock and Capital World Investors increased their stakes in the second or fourth quarter.
  • Analysts maintain a consensus 'Moderate Buy' rating with an average price target of $661.30, indicating confidence in future performance.
  • Citigroup raised its price target to $667 and assigned a 'buy' rating, while Wells Fargo reaffirmed an 'overweight' rating at $620.
Risk Factors
  • JPMorgan Chase lowered its price target from $635.00 to $600.00 and downgraded the stock to a neutral rating.
  • TD Cowen reduced its price objective from $550.00 to $590.00 and assigned a 'hold' rating in a recent research report.
  • Northrop Grumman's stock price is currently trading below its 200-day simple moving average of $604.78.
Full Analysis
Northrop Grumman (NOC) reported strong quarterly financial results, exceeding analyst expectations with earnings per share of $7.68 against a consensus of $6.82 and revenue of $10.88 billion versus an estimate of $10.80 billion. The company demonstrated robust profitability with a net margin of 10.48% and a return on equity of 24.25%, while posting year-over-year revenue growth of 5.1%. Management provided fiscal 2026 EPS guidance ranging from $28.60 to $29.10, which aligns closely with the average analyst prediction of $28.97 for the current fiscal year. Institutional ownership remains high at 83.4%, highlighted by a significant 460% increase in stake from Caisse de depot et placement du Quebec, which acquired over 60,000 shares worth approximately $37.7 million in the second quarter. Other major institutional investors, including BlackRock, Capital World Investors, and Geode Capital Management, also increased their holdings during the fourth quarter, signaling continued confidence in the company's strategic position within the aerospace and defense sector. Analysts maintain a generally positive outlook on Northrop Grumman, with a consensus rating of 'Moderate Buy' and an average price target of $661.30, though individual targets vary between $590 and $667. Recent analyst actions include Citigroup raising its price target to $667 with a 'buy' rating and Wells Fargo reaffirming an 'overweight' rating at $620, while JPMorgan Chase lowered its target to $600 with a neutral rating. The company also declared a quarterly dividend of $2.47 per share, implying an annual yield of 1.8%.