Northrop Grumman (NYSE:NOC) Upgraded to “Outperform” at Royal Bank of Canada

Northrop Grumman (NYSE:NOC) was upgraded by Royal Bank of Canada from a “sector perform” rating to an “outperform” rating in a research note issued to investors on Thursday,Briefing.com Automated Import reports. The brokerage presently has a $575.00 price objective on the aerospace company’s stock, up from their previous price objective of $500.00. Royal Bank of Canada’s target price would indicate a potential upside of 13.58% from the stock’s previous close.

Other research analysts have also issued research reports about the company. Wells Fargo & Company lifted their target price on Northrop Grumman from $545.00 to $547.00 and gave the stock an “overweight” rating in a report on Friday, March 7th. Citigroup raised their target price on shares of Northrop Grumman from $587.00 to $591.00 and gave the company a “buy” rating in a report on Monday, February 10th. Susquehanna lowered their price objective 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. Truist Financial assumed coverage on shares of Northrop Grumman in a research report on Tuesday, January 14th. They set a “buy” rating and a $544.00 target price on the stock. Finally, UBS Group dropped their price target on Northrop Grumman from $579.00 to $558.00 and set a “buy” rating for the company in a research report on Friday, January 31st. Eight investment analysts have rated the stock with a hold rating, ten have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $545.06.

Northrop Grumman Stock Performance

Shares of NOC opened at $506.26 on Thursday. Northrop Grumman has a 52 week low of $418.60 and a 52 week high of $555.57. The company has a quick ratio of 0.91, a current ratio of 1.01 and a debt-to-equity ratio of 0.96. The stock has a market cap of $73.28 billion, a price-to-earnings ratio of 17.86, a PEG ratio of 3.73 and a beta of 0.31. The business has a 50-day simple moving average of $476.94 and a two-hundred day simple moving average of $492.97.

Northrop Grumman (NYSE:NOC) last issued its quarterly earnings results on Thursday, January 30th. The aerospace company reported $6.39 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $6.27 by $0.12. Northrop Grumman had a return on equity of 26.24% and a net margin of 10.17%. On average, analysts expect that Northrop Grumman will post 28.05 EPS for the current year.

Northrop Grumman announced that its board has approved a stock repurchase program on Wednesday, December 11th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the aerospace company to purchase up to 4.3% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Insider Activity at Northrop Grumman

In other Northrop Grumman news, VP Benjamin R. Davies sold 192 shares of Northrop Grumman stock in a transaction on Thursday, February 20th. The shares were sold at an average price of $429.08, for a total value of $82,383.36. Following the completion of the transaction, the vice president now owns 709 shares of the company’s stock, valued at approximately $304,217.72. The trade was a 21.31 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Kathy J. Warden sold 3,750 shares of the firm’s stock in a transaction dated Thursday, March 6th. The shares were sold at an average price of $475.65, for a total value of $1,783,687.50. Following the sale, the chief executive officer now owns 212,852 shares in the company, valued at $101,243,053.80. This trade represents a 1.73 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 4,505 shares of company stock worth $2,126,405. 0.22% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Larson Financial Group LLC lifted its holdings in Northrop Grumman by 121.2% during the third quarter. Larson Financial Group LLC now owns 460 shares of the aerospace company’s stock valued at $243,000 after purchasing an additional 252 shares in the last quarter. Avestar Capital LLC raised its holdings in shares of Northrop Grumman by 13.0% during the third quarter. Avestar Capital LLC now owns 618 shares of the aerospace company’s stock valued at $326,000 after acquiring an additional 71 shares during the last quarter. Townsquare Capital LLC lifted its position in shares of Northrop Grumman by 75.6% in the third quarter. Townsquare Capital LLC now owns 5,390 shares of the aerospace company’s stock valued at $2,847,000 after acquiring an additional 2,320 shares in the last quarter. Glenmede Trust Co. NA lifted its holdings in Northrop Grumman by 7.8% in the 3rd quarter. Glenmede Trust Co. NA now owns 17,386 shares of the aerospace company’s stock valued at $9,181,000 after purchasing an additional 1,253 shares in the last quarter. Finally, Healthcare of Ontario Pension Plan Trust Fund acquired a new stake in Northrop Grumman during the 3rd quarter worth $1,056,000. 83.40% of the stock is owned by institutional investors and hedge funds.

About Northrop Grumman

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.