NOC stock: buy or sell?
August 22nd, 2019
Northrop Grumman Corporation operates as a security company for government and commercial customers worldwide. It provides products, systems, and solutions in autonomous systems; cyber; command, control, communications and computers, intelligence, surveillance, and reconnaissance (C4ISR); strike; and logistics and modernization.
Should I buy NOC stock?Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to choose your own trading plan that fits your character as inversor. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
Currently, Northrop Grumman stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Northrop Grumman stock a buy?
Banks and financial institutions publish stock ratings everyday.At Stocks2.com, we gathered 15 ratings published for NOC stock in the last 30 days. The general sentiment of these ratings is bullish for NOC stock, with 10 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-8-6||Morgan Stanley||Equal Weight||Overweight|
|2019-7-25||Credit Suisse Group||n/a||Outperform|
|2019-7-25||Bank of America||n/a||Buy|
|2019-7-10||Robert W. Baird||Market Perform||Outperform|
|2019-6-14||Morgan Stanley||n/a||Equal Weight|
|2019-2-13||Morgan Stanley||Equal Weight||Equal Weight|
|2019-2-1||Goldman Sachs Group||Conviction-Buy||Buy|
|2019-2-1||Bank of America||Buy||Buy|
|2019-1-14||Credit Suisse Group||Neutral||Outperform|
NOC stock analysis
Northrop Grumman stepped up a slightly good 0.78% and closed at $372.02.
Northrop Grumman shares stepped up 0.78% to $372.02 today. On June, SMA100d and SMA200d crossed up triggering a rise of 22.68%. From a daily outlook perspective, NOC is drawing an uptrend of rising tops and rising bottoms. Since its last top on August 13th at $377.34, price slid and bounced up back from $359.60. Breaking down under $359.60 would cancel the current uptrend and it might slide further to test lower supports. Note that $377.34 might act as a resistance line. Trading the long side, we should wait to a new breakout over $377.34 to find the next buy point. Since last April when NOC stock price broke up the SMA200d line, it gained $94.02 (33.82%). On August/13, NOC hit new all time highs, pushing higher previous ATH of $374.68 recorded on August/9. New ATHs are usual entry points for many trading setups as there aren't higher resistences.
Shares of Northrop Grumman raised a tiny 1.12% this week. Early August NOC rocketed an extraordinary 7.93% in just one week.
Northrop Grumman stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last price record Northrop Grumman marked last week. Late May, SMA20w and SMA40w crossed up triggering a rise of 21.82%. Since price and SMA40w lines crossed up early April, NOC climbed $96.90 (35.22%).
NOC stock price history
NOC IPO was on December 31st, 1981 at $2.56 per share1. Since then, NOC stock grew a 14,432.00%, with a yearly average of 390.10%. If you had invested right after NOC's IPO a $1,000 in NOC stock in 1981, it would worth $144,320.00 today.
1: Adjusted price after possible price splits or reverse-splits.
NOC stock historical price chart
NOC stock reached all-time highs on August/13 with a price of $377.34.
NOC stock price target is $346.50Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We found 12 price forecasts for NOC stock released in the last 30 days:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-7-25||Credit Suisse Group||Reiterates||$364.00||$385.00||5.8%|
|2019-7-25||Bank of America||Raises Target||$355.00||$405.00||14.1%|
|2019-7-10||Robert W. Baird||Reiterates||$300.00||$364.00||21.3%|
|2019-6-14||Morgan Stanley||Raises Target||$308.00||$335.00||8.8%|
|2019-4-25||UBS Group||Raises Target||$290.00||$300.00||3.4%|
|2019-2-13||Morgan Stanley||Raises Target||$305.00||$308.00||1%|
|2019-2-1||Bank of America||Reiterates||$360.00||$355.00||-1.4%|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter presenting its last earnings report on April, Northrop Grumman climbed an amazing 32.07%. As soon as we get its posted EPS from the earnings report, we will extend this review.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual revenues report draw an astounding growth of 15.73% to $30,095.00 million USD. When comparing 2018 vs 2017, by contrast, profit margin (that is, the net income divided by revenues) stayed stable a -0.30% to 10.73%. Northrop Grumman presents anual results in December, and to compare its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Northrop Grumman TTM sales up to March 2019 were $31,549.00 and income $3,353.00 M USD. When comparing this TTM figures with the last reported annuality, we can review Northrop Grumman business evolution since December 2018: Annual revenues up to March, compared to lastest yearly report, stepped up a fine 4.83%. Regarding profit margin, Northrop Grumman stayed constant -0.10% to 10.73%
|2013||$24,660 M||-||$1,950 M7.9%||-|
|2014||$23,979 M||-2.76%||$2,069 M8.6%||6.10%|
|2015||$23,526 M||-1.89%||$1,990 M8.5%||-3.82%|
|2016||$24,508 M||4.17%||$2,200 M9.0%||10.55%|
|2017||$26,004 M||6.10%||$2,869 M11.0%||30.41%|
|2018||$30,095 M||15.73%||$3,229 M10.7%||12.55%|
|TTM||$31,549 M||4.83%||$3,353 M10.6%||3.84%|
Quarterly financial resultsNorthrop Grumman posted $8,189.00 M in revenues for 2019-Q1, a 0.40% improvement compared to previous quarter. Reported quarter income marked $863.00 million with a profit margin of 10.54%. Profit margin appreciated a 2.48% compared to previous quarter when profit margin was 8.06%. When comparing revenues to same quarter last year, Northrop Grumman sales marked an extraordinary increase and rocketed a 21.59%. Looking back to recent quarterly results, Northrop Grumman posted 5 negative quarters in a row.
|2017-Q2||$6,380 M||-||$552 M8.7%||-|
|2017-Q3||$6,530 M||2.35%||$645 M9.9%||16.85%|
|2017-Q4||$6,351 M||-2.74%||$167 M2.6%||-74.11%|
|2018-Q1||$6,735 M||6.05%||$739 M11.0%||342.51%|
|2018-Q2||$7,119 M||5.70%||$689 M9.7%||-6.77%|
|2018-Q3||$8,085 M||13.57%||$1,144 M14.1%||66.04%|
|2018-Q4||$8,156 M||0.88%||$657 M8.1%||-42.57%|
|2019-Q1||$8,189 M||0.40%||$863 M10.5%||31.35%|
Northrop Grumman ownershipWhen you are planning to invest in a company, it's always worth to overview its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Northrop Grumman, 0.54% of all outstanding shares are owned by its staff.
Bearish positions for NOC stock account 0.00%, no big difference from last month.
For a better context understanding, the next table shows ownership data compared to other related stocks:
|Market cap||$63.2 B||$198.1 B||$54.2 B||$2.0 B||$0.0 M|
|Total shares||169.8 M||582.6 M||288.9 M||103.5 M||0.0 M|
|Float shares||156.4 M||562.0 M||277.4 M||103.3 M||0.0 M|
|- Institutional holdings (%)||85.3%||70.6%||87.8%||87.6%||0.0%|
|- Insider holdings (%)||0.5%||0.1%||6.0%||2.0%||0.0%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Thursday, August 22nd, 2019|
|Day range||$366.58 - $373.48|
|Average true range||$8.40|
|50d mov avg||$337.86|
|100d mov avg||$315.45|
|200d mov avg||$291.02|
Northrop Grumman performancePerformance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We picked Boeing, General Dynamics, Kratos Defense & Security Solutions, L3 Technologies, Lockheed Martin, Raytheon and United Technologies as the bechmarking frame for Northrop Grumman stock.
|KTOSKratos Defense & ...||-12.72%||8.53%||48.71%|
Northrop Grumman competitorsWe selected a few stocks to conform a list of Northrop Grumman competitors to watch if you are interested in investing in NOC:
- Boeing (BA)
- General Dynamics (GD)
- Kratos Defense & Security Solutions (KTOS)
- L3 Technologies (LLL)
- Lockheed Martin (LMT)
- Raytheon (RTN)
- United Technologies (UTX)
Latest NOC stock news
- InvestorPlace3 Big Stock Charts for Friday: Simon Property Group, Cardinal Health and Northrop GrummanMay 10, 2019
- Seeking AlphaQ1 2019 Post-Earnings Analysis - Northrop GrummanApril 25, 2019
- Seeking AlphaAnticipating Q1 Earnings - Northrop GrummanApril 15, 2019
- Seeking AlphaNorthrop Grumman: Buy This Military Company For Total Return And IncomeFebruary 19, 2019
- Seeking AlphaDeep Space Acquisition - Initiating Coverage On Northrop GrummanFebruary 13, 2019