Northrop Grumman (NYSE:NOC) Stock Falls 2.6% – Time to Sell?

Northrop Grumman Corporation (NYSE:NOC)’s stock price fell 2.6% during mid-day trading on Tuesday. The company traded as low as $550.36 and last traded at $550.5380. Approximately 900,300 shares changed hands during mid-day trading, a decline of 3% from the average session volume of 927,695 shares. The stock had previously closed at $565.41.

Analyst Ratings Changes

Several research firms have issued reports on NOC. TD Cowen decreased their price objective on shares of Northrop Grumman from $590.00 to $540.00 and set a “hold” rating on the stock in a report on Friday, October 9th. Guggenheim lifted their price objective on Northrop Grumman from $612.00 to $640.00 and gave the stock a “buy” rating in a report on Wednesday, October 21st. Jefferies Financial Group reissued a “hold” rating and set a $585.00 target price on shares of Northrop Grumman in a report on Sunday. Rothschild & Co Redburn started coverage on Northrop Grumman in a research note on Tuesday, October 6th. They issued a “buy” rating and a $680.00 price objective for the company. Finally, JPMorgan Chase & Co. raised their price objective on Northrop Grumman from $600.00 to $605.00 and gave the company a “neutral” rating in a report on Monday. Fifteen research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Northrop Grumman currently has an average rating of “Moderate Buy” and an average price target of $643.74.

Northrop Grumman Stock Performance

The company has a debt-to-equity ratio of 0.77, a quick ratio of 1.14 and a current ratio of 1.23. The stock has a market capitalization of $79.71 billion, a PE ratio of 17.70, a P/E/G ratio of 3.02 and a beta of -0.11. The firm’s 50 day moving average is $521.03 and its two-hundred day moving average is $592.42.

Northrop Grumman (NYSE:NOC) last announced its quarterly earnings data on Tuesday, October 20th. The aerospace company reported $7.89 earnings per share for the quarter, beating analysts’ consensus estimates of $7.18 by $0.71. Northrop Grumman had a net margin of 10.37% and a return on equity of 23.46%. The business had revenue of $11.12 billion for the quarter, compared to analyst estimates of $11.14 billion. During the same period last year, the business earned $7.67 EPS. The company’s revenue was up 6.7% on a year-over-year basis. As a group, research analysts predict that Northrop Grumman Corporation will post 29.62 earnings per share for the current year.

Northrop Grumman Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 16th. Stockholders of record on Monday, August 31st were issued a $2.47 dividend. This represents a $9.88 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date of this dividend was Monday, August 31st. Northrop Grumman’s dividend payout ratio is presently 31.17%.

Insider Buying and Selling at Northrop Grumman

In other news, Director Mark Welsh, III sold 95 shares of Northrop Grumman 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 owned 4,393 shares of the company’s stock, valued at $2,405,299.29. The trade was a 2.12% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.21% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Northrop Grumman

Institutional investors and hedge funds have recently modified their holdings of the company. Financial Life Planners acquired a new position in Northrop Grumman in the first quarter valued at approximately $30,000. Whipplewood Advisors LLC raised its holdings in Northrop Grumman by 380.0% during the first quarter. Whipplewood Advisors LLC now owns 48 shares of the aerospace company’s stock worth $33,000 after purchasing an additional 38 shares during the last quarter. Perkins Coie Trust Co acquired a new position in shares of Northrop Grumman during the second quarter valued at $29,000. Plato Investment Management Ltd acquired a new position in shares of Northrop Grumman during the second quarter worth approximately $30,000. Finally, Navigoe LLC acquired a new stake in shares of Northrop Grumman during the second quarter worth $30,000. Institutional investors and hedge funds own 83.40% of the company’s stock.

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.