Northrop Grumman (NYSE:NOC) Given New $745.00 Price Target at Morgan Stanley

Northrop Grumman (NYSE:NOC) had its price target cut by Morgan Stanley from $765.00 to $745.00 in a report issued on Wednesday,Benzinga reports. They currently have an overweight rating on the aerospace company’s stock.

Other equities analysts have also recently issued research reports about the stock. Royal Bank Of Canada boosted their price target on shares of Northrop Grumman from $715.00 to $750.00 and gave the company an “outperform” rating in a research report on Wednesday, January 28th. TD Cowen reiterated a “hold” rating on shares of Northrop Grumman in a research report on Wednesday, January 28th. Vertical Research reiterated a “hold” rating and set a $688.00 price target on shares of Northrop Grumman in a research report on Tuesday, January 27th. Bank of America boosted their price target on shares of Northrop Grumman from $685.00 to $750.00 and gave the company a “buy” rating in a research report on Wednesday, January 28th. Finally, Jefferies Financial Group boosted their price target on shares of Northrop Grumman from $690.00 to $710.00 and gave the company a “hold” rating in a research report on Thursday, April 9th. Two research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and eight have assigned a Hold rating to the company. Based on data from MarketBeat, Northrop Grumman has a consensus rating of “Moderate Buy” and an average price target of $718.53.

Northrop Grumman Price Performance

Shares of NYSE NOC opened at $589.47 on Wednesday. Northrop Grumman has a 1 year low of $453.01 and a 1 year high of $774.00. The company has a debt-to-equity ratio of 0.84, a current ratio of 1.15 and a quick ratio of 1.01. The company’s 50-day moving average is $704.09 and its 200 day moving average is $638.91. The stock has a market capitalization of $83.72 billion, a P/E ratio of 18.45, a P/E/G ratio of 4.37 and a beta of 0.04.

Northrop Grumman (NYSE:NOC) last announced its quarterly earnings results on Tuesday, April 21st. The aerospace company reported $6.14 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.06 by $0.08. Northrop Grumman had a net margin of 10.80% and a return on equity of 24.72%. The company had revenue of $9.88 billion for the quarter, compared to analysts’ expectations of $9.75 billion. During the same quarter in the previous year, the company earned $6.06 earnings per share. Northrop Grumman’s quarterly revenue was up 4.4% on a year-over-year basis. Northrop Grumman has set its FY 2026 guidance at 27.400-27.900 EPS. On average, sell-side analysts expect that Northrop Grumman will post 27.83 earnings per share for the current year.

Northrop Grumman Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, March 11th. Shareholders of record on Monday, February 23rd were issued a $2.31 dividend. This represents a $9.24 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date was Monday, February 23rd. Northrop Grumman’s dividend payout ratio is 31.72%.

Insider Buying and Selling at Northrop Grumman

In other Northrop Grumman news, VP Benjamin R. Davies sold 2,189 shares of the company’s stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $719.61, for a total value of $1,575,226.29. Following the sale, the vice president owned 151 shares in the company, valued at approximately $108,661.11. This represents a 93.55% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Mark A. Welsh III sold 95 shares of the company’s stock in a transaction dated 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 trade represents a 2.21% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 22,431 shares of company stock worth $15,924,404 in the last ninety days. 0.21% of the stock is owned by company insiders.

Institutional Investors Weigh In On Northrop Grumman

Hedge funds and other institutional investors have recently bought and sold shares of the business. Capital World Investors lifted its stake in shares of Northrop Grumman by 39.4% in the fourth quarter. Capital World Investors now owns 3,434,041 shares of the aerospace company’s stock worth $1,958,151,000 after buying an additional 970,029 shares in the last quarter. J. Stern & Co. LLP lifted its stake in shares of Northrop Grumman by 56,920.9% in the fourth quarter. J. Stern & Co. LLP now owns 421,955 shares of the aerospace company’s stock worth $240,603,000 after buying an additional 421,215 shares in the last quarter. Jennison Associates LLC lifted its stake in shares of Northrop Grumman by 272.8% in the fourth quarter. Jennison Associates LLC now owns 401,664 shares of the aerospace company’s stock worth $229,033,000 after buying an additional 293,909 shares in the last quarter. Holocene Advisors LP bought a new position in shares of Northrop Grumman in the third quarter worth approximately $137,280,000. Finally, Bank of New York Mellon Corp lifted 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 buying an additional 221,431 shares in the last quarter. Hedge funds and other institutional investors own 83.40% of the company’s stock.

Key Headlines Impacting Northrop Grumman

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

• Positive Sentiment: Q1 beat on both revenue and EPS, showing continued demand across Aeronautics and Missile Systems — strengthens near?term earnings visibility. NOC Q1 Deep Dive: Defense Demand, Production Ramps, and Margin Recovery Shape Outlook
• Positive Sentiment: Large backlog and program momentum (B?21, missile systems, Sentinel) plus comments that defense spending could meaningfully rise support multi?year revenue visibility. Northrop Grumman Says Defense Spending Could Reach Cold War Era Levels
• Positive Sentiment: Several sell?side firms remain constructive (BTIG reaffirmed Buy with an $815 target; others keep high price targets), providing longer?term analyst support. BTIG buy rating / analyst coverage
• Neutral Sentiment: Morgan Stanley trimmed its price target (from $765 to $745) but kept an overweight stance — a mixed signal that tempers upside while maintaining conviction. Morgan Stanley price target update
• Neutral Sentiment: RBC highlights the company is well?positioned across strategic programs, supporting the structural thesis even as near?term execution is re?priced. Northrop Grumman Remains Well-Positioned Across Strategic Programs and Defense Portfolios, RBC Says
• Negative Sentiment: Management reaffirmed FY?2026 guidance (EPS 27.40–27.90) rather than increasing it; that disappointed investors who had anticipated an upward revision after the quarter. Northrop Grumman reaffirms 2026 sales outlook while lifting 2026 capex
• Negative Sentiment: Q1 cash flow was a material use (operating and free cash flow outflows), and management raised 2026 capex to ~$1.85B for the B?21 ramp — signaling heavier near?term cash intensity. Northrop Grumman falls as investors focus on Q1 cash burn and a Space Systems charge
• Negative Sentiment: Space Systems reported an unfavorable program adjustment (~$71M on the GEM 63XL launch anomaly) that hit margins and raised execution risk concerns. Program adjustment details (GEM 63XL)
• Negative Sentiment: Near?term investor reaction included selloffs and a few cautious analyst moves (Bernstein moved to Hold), and visible insider selling noted in filings — factors that can amplify short?term downside. Northrop Grumman Receives a Hold from Bernstein

Northrop Grumman Company Profile

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.