Northrop Grumman (NOC) Stock Moves -1.33%: What You Should Know
Northrop Grumman (NOC) closed at $459.04 in the latest trading session, marking a -1.33% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.85%. At the same time, the Dow lost 1.66%, and the tech-heavy Nasdaq lost 10.91%.
Prior to today's trading, shares of the defense contractor had gained 2.02% over the past month. This has outpaced the Aerospace sector's loss of 0.05% and the S&P 500's loss of 2.85% in that time.
Investors will be hoping for strength from Northrop Grumman as it approaches its next earnings release. On that day, Northrop Grumman is projected to report earnings of $5.21 per share, which would represent a year-over-year decline of 14.59%. Our most recent consensus estimate is calling for quarterly revenue of $9.19 billion, up 4.48% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $21.89 per share and revenue of $38.28 billion. These totals would mark changes of -14.29% and +4.57%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Northrop Grumman. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.03% lower within the past month. Northrop Grumman currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Northrop Grumman currently has a Forward P/E ratio of 21.26. This valuation marks a premium compared to its industry's average Forward P/E of 17.86.
Meanwhile, NOC's PEG ratio is currently 6.16. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Aerospace - Defense was holding an average PEG ratio of 1.92 at yesterday's closing price.
The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 149, which puts it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow NOC in the coming trading sessions, be sure to utilize Zacks.com.
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Northrop Grumman Corporation (NOC) : Free Stock Analysis Report
