Northrop Grumman (NYSE:NOC) Reaches New 12-Month High Following Better-Than-Expected Earnings

Northrop Grumman Corporation (NYSE:NOC)’s share price reached a new 52-week high during trading on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $683.01 and last traded at $678.1770, with a volume of 911946 shares. The stock had previously closed at $660.97.

The aerospace company reported $7.23 EPS for the quarter, topping the consensus estimate of $6.97 by $0.26. Northrop Grumman had a return on equity of 25.49% and a net margin of 9.82%.Northrop Grumman’s revenue for the quarter was up 9.6% on a year-over-year basis. During the same quarter in the prior year, the company posted $6.39 EPS. Northrop Grumman has set its FY 2026 guidance at 27.400-27.900 EPS.

Northrop Grumman Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, December 17th. Shareholders of record on Monday, December 1st were paid a dividend of $2.31 per share. This represents a $9.24 annualized dividend and a yield of 1.4%. The ex-dividend date was Monday, December 1st. Northrop Grumman’s payout ratio is presently 33.24%.

Trending Headlines about Northrop Grumman

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

• Positive Sentiment: Q4 beat on profit and revenue — NOC reported $7.23 EPS (above consensus) and $11.7B in revenue, up ~9.6% YoY, driven by strength across segments which supports near-term earnings momentum. Record Organic Sales Aid Northrop’s Q4 Earnings & Revenue Beat
• Positive Sentiment: Record backlog and demand tailwinds — backlog rose to about $95.7B, signaling multi-year revenue visibility and strong defense/space program demand amid geopolitical uncertainty. What’s Going On With Northrup Grumman Stock?
• Positive Sentiment: Margins, cash flow and buybacks supportive — the company expanded operating margins and reported strong operating cash flow / free cash generation, enabling continued buybacks and supporting shareholder returns. Northrop Grumman Confirms Breakout With Buy Signal
• Neutral Sentiment: Full earnings materials and transcripts available — investors can review the Q4 slide deck and the earnings-call transcript for segment-level detail and management commentary on program timing. Q4 2025 Earnings Call Transcript Q4 Results — Earnings Call Presentation
• Negative Sentiment: Cautious FY2026 guidance — management set FY2026 EPS of $27.40–$27.90 and revenue guidance roughly $43.5–$44.0B, slightly below some analyst consensus, which could cap upside until execution against backlog is demonstrated. Northrop Grumman Releases Fourth Quarter and Full-Year 2025 Financial Results
• Negative Sentiment: Insider selling flagged — recent open-market sales by senior insiders are noted in filings; while not unusual, this can create short-term sentiment headwinds. Insider Activity & Financial Results

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on the stock. Weiss Ratings restated a “buy (b)” rating on shares of Northrop Grumman in a report on Wednesday, December 24th. Citigroup raised their price target on Northrop Grumman from $654.00 to $715.00 and gave the stock a “buy” rating in a report on Tuesday, January 13th. JPMorgan Chase & Co. lifted their target price on shares of Northrop Grumman from $575.00 to $640.00 and gave the company a “neutral” rating in a report on Wednesday, October 22nd. Truist Financial reaffirmed a “hold” rating and set a $623.00 price target (down from $688.00) on shares of Northrop Grumman in a research note on Friday, January 9th. Finally, UBS Group upped their target price on Northrop Grumman from $770.00 to $777.00 and gave the company a “buy” rating in a report on Thursday, January 15th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $656.82.

Insider Buying and Selling at Northrop Grumman

In other news, Director Mark A. Welsh III sold 97 shares of Northrop Grumman stock in a transaction that occurred on Monday, November 24th. The shares were sold at an average price of $564.08, for a total transaction of $54,715.76. Following the completion of the sale, the director owned 4,281 shares of the company’s stock, valued at approximately $2,414,826.48. The trade was a 2.22% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Kathy J. Warden sold 7,000 shares of Northrop Grumman stock in a transaction dated Monday, January 5th. The shares were sold at an average price of $600.00, for a total value of $4,200,000.00. Following the completion of the transaction, the chief executive officer owned 194,602 shares in the company, valued at $116,761,200. This trade represents a 3.47% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 10,097 shares of company stock worth $6,099,716 over the last three months. Insiders own 0.23% of the company’s stock.

Institutional Trading of Northrop Grumman

A number of hedge funds and other institutional investors have recently bought and sold shares of NOC. Soundwatch Capital LLC acquired a new position in Northrop Grumman in the 2nd quarter worth $6,457,274,000. Mawer Investment Management Ltd. bought a new stake in Northrop Grumman in the second quarter valued at $491,985,000. Franklin Resources Inc. boosted its stake in Northrop Grumman by 11.8% during the 2nd quarter. Franklin Resources Inc. now owns 2,933,061 shares of the aerospace company’s stock valued at $1,466,472,000 after purchasing an additional 308,680 shares during the period. Holocene Advisors LP bought a new position in Northrop Grumman in the 3rd quarter worth approximately $137,280,000. Finally, Bank of New York Mellon Corp grew its stake in shares of Northrop Grumman by 26.7% in the third quarter. Bank of New York Mellon Corp now owns 1,051,226 shares of the aerospace company’s stock worth $640,534,000 after purchasing an additional 221,431 shares in the last quarter. 83.40% of the stock is currently owned by institutional investors and hedge funds.

Northrop Grumman Stock Performance

The stock has a market cap of $96.81 billion, a price-to-earnings ratio of 24.48, a PEG ratio of 5.46 and a beta of 0.05. The company’s 50 day simple moving average is $589.86 and its 200 day simple moving average is $584.59. The company has a debt-to-equity ratio of 0.95, a quick ratio of 0.98 and a current ratio of 1.11.

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.