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Northrop Grumman (NOC) Stock Moves -0.03%: What You Should Know

Northrop Grumman (NOC) closed at $470.32 in the latest trading session, marking a -0.03% move from the prior day. This change was narrower than the S&P 500's 1.51% loss on the day. Meanwhile, the Dow lost 1.71%, and the Nasdaq, a tech-heavy index, lost 0.02%.

Prior to today's trading, shares of the defense contractor had lost 2.05% over the past month. This has was narrower than the Aerospace sector's loss of 11.14% and the S&P 500's loss of 9.52% in that time.

Wall Street will be looking for positivity from Northrop Grumman as it approaches its next earnings report date. This is expected to be October 27, 2022. The company is expected to report EPS of $6.13, down 7.54% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.14 billion, up 4.8% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $24.76 per share and revenue of $36.35 billion, which would represent changes of -3.39% and +1.92%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Northrop Grumman. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Northrop Grumman currently has a Zacks Rank of #4 (Sell).

Looking at its valuation, Northrop Grumman is holding a Forward P/E ratio of 19. This represents a premium compared to its industry's average Forward P/E of 16.9.

Meanwhile, NOC's PEG ratio is currently 8.68. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Aerospace - Defense industry currently had an average PEG ratio of 1.73 as of yesterday's close.

The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 172, which puts it in the bottom 32% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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