Northrop Grumman (NYSE:NOC) Stock Rating Raised to Outperform at Robert W. Baird

Northrop Grumman (NYSE:NOC) was upgraded by analysts at Robert W. Baird from a “hold” rating to an “outperform” rating in a research report issued on Wednesday, Marketbeat Ratings reports. The brokerage currently has a $675.00 price objective on the aerospace company’s stock, up from their prior price objective of $550.00. Robert W. Baird‘s target price suggests a potential upside of 22.10% from the stock’s current price.

Several other equities analysts have also issued reports on the company. Wells Fargo & Company restated an “overweight” rating and set a $620.00 price target (down from $800.00) on shares of Northrop Grumman in a research report on Wednesday, July 8th. JPMorgan Chase & Co. lowered their price objective on Northrop Grumman from $635.00 to $600.00 and set a “neutral” rating for the company in a research note on Thursday, July 23rd. Susquehanna lowered their price target on Northrop Grumman from $785.00 to $655.00 and set a “positive” rating for the company in a research report on Wednesday, July 22nd. Weiss Ratings raised shares of Northrop Grumman from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, October 8th. Finally, Sanford C. Bernstein reduced their price target on shares of Northrop Grumman from $620.00 to $556.00 and set a “market perform” rating for the company in a research report on Wednesday, October 14th. One research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Northrop Grumman has an average rating of “Moderate Buy” and a consensus target price of $641.83.

Northrop Grumman Stock Up 2.5%

Shares of NYSE:NOC traded up $13.51 during mid-day trading on Wednesday, hitting $552.82. 1,053,740 shares of the company traded hands, compared to its average volume of 927,477. The stock has a market cap of $78.52 billion, a P/E ratio of 17.44, a P/E/G ratio of 3.05 and a beta of -0.11. The company has a current ratio of 1.23, a quick ratio of 1.06 and a debt-to-equity ratio of 0.77. Northrop Grumman has a 12-month low of $470.06 and a 12-month high of $774.00. The stock has a 50-day moving average price of $522.28 and a two-hundred day moving average price of $548.98.

Northrop Grumman (NYSE:NOC) last issued its quarterly earnings results on Tuesday, October 20th. The aerospace company reported $7.89 EPS for the quarter, beating analysts’ consensus estimates of $7.18 by $0.71. Northrop Grumman had a return on equity of 23.46% and a net margin of 10.37%. The firm had revenue of $11.12 billion for the quarter, compared to analysts’ expectations of $11.14 billion. During the same quarter in the prior year, the firm earned $7.67 EPS. The business’s revenue for the quarter was up 6.7% compared to the same quarter last year. On average, equities research analysts forecast that Northrop Grumman will post 29.55 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Mark Welsh, III sold 95 shares of the stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $547.53, for a total value of $52,015.35. Following the sale, the director directly owned 4,393 shares of the company’s stock, valued at $2,405,299.29. This represents a 2.12% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.21% of the stock is owned by company insiders.

Institutional Investors Weigh In On Northrop Grumman

Several institutional investors have recently bought and sold shares of NOC. Koshinski Asset Management Inc. lifted its stake in shares of Northrop Grumman by 2.2% during the first quarter. Koshinski Asset Management Inc. now owns 839 shares of the aerospace company’s stock worth $573,000 after buying an additional 18 shares during the period. Drucker Wealth 3.0 LLC increased its stake in shares of Northrop Grumman by 3.2% during the first quarter. Drucker Wealth 3.0 LLC now owns 618 shares of the aerospace company’s stock worth $422,000 after purchasing an additional 19 shares in the last quarter. Glenview Trust Co increased its stake in shares of Northrop Grumman by 1.1% during the first quarter. Glenview Trust Co now owns 1,796 shares of the aerospace company’s stock worth $1,225,000 after purchasing an additional 19 shares in the last quarter. Wesbanco Bank Inc. boosted its position in Northrop Grumman by 1.2% during the first quarter. Wesbanco Bank Inc. now owns 1,673 shares of the aerospace company’s stock worth $1,141,000 after acquiring an additional 20 shares during the last quarter. Finally, Quadrant Private Wealth Management LLC boosted its holdings in Northrop Grumman by 5.4% in the 1st quarter. Quadrant Private Wealth Management LLC now owns 392 shares of the aerospace company’s stock valued at $268,000 after purchasing an additional 20 shares during the last quarter. 83.40% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Northrop Grumman

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

• Positive Sentiment: Q3 earnings beat expectations and full-year guidance was raised. Northrop Grumman reported adjusted earnings of $7.89 per share, ahead of the $7.18 consensus estimate. Management now expects fiscal 2026 adjusted EPS of $29.35-$29.75, above the $28.97 consensus, while revenue guidance of $43.8-$44.3 billion is broadly in line with expectations. Northrop Grumman Analysts Boost Their Forecasts Following Upbeat Q3 Earnings
• Positive Sentiment: Record backlog improves long-term revenue visibility. Backlog reached approximately $109.6 billion-$110 billion, up about 20% year over year, with a 1.5 times book-to-bill ratio. Management also highlighted expected 2027 sales growth of 5%-7%, supported by B-21 investments and strong demand across defense and space programs. NOC’s Q3 Earnings Call Highlights 2027 Growth and B-21 Spending
• Positive Sentiment: Analyst sentiment improved materially. Baird upgraded NOC to “strong buy” and raised its target to $675 from $550, while BNP Paribas Exane increased its target to $600 and maintained an outperform rating. These actions reinforce the market’s favorable interpretation of the earnings “beat and raise.”
• Neutral Sentiment: Northrop Grumman’s appearance at the AUSA 2026 defense conference keeps investor attention focused on military technology demand and the company’s program pipeline. AUSA: Northrop Grumman’s Kenneth Todorov
• Negative Sentiment: Higher capital spending and continued margin pressure could limit near-term upside. The company has also paused buybacks, leaving investors more dependent on operating growth and execution to support shareholder returns. Are RTX Corporation and Northrop Grumman Ready to Break Out?

About Northrop Grumman

Northrop Grumman Corporation (NYSE:NOC) is a global aerospace and defense company that develops and produces systems for government and commercial customers, with the U.S. government representing its primary customer base. The company operates across aerospace, defense, space, cybersecurity and advanced technology markets.

Its products and services include military aircraft and autonomous systems, space systems and satellites, missile defense technologies, command-and-control systems, cyber solutions, sensors, communications networks and other mission-critical systems.