Northrop Grumman Corporation (NYSE:NOC) has a beta of 0.83, a 12-month trailing P/E ratio of 13.43, and a growth ratio of 2.33. The stock’s Relative Strength Index (RSI) is 55.24, with weekly volatility at 1.25% and ATR at 5.89. The NOC stock’s 52-week price range has touched low of $282.88 and a $378.61 high. Its shares traded lower over the last trading session, losing -0.19% on 06/03/21. The shares fell to a low of $364.49 before closing at $366.51. Intraday shares traded counted 0.78 million, which was 18.06% higher than its 30-day average trading volume of 949.10K. NOC’s previous close was $367.21 while the outstanding shares total 163.10M.
Investors have identified the Aerospace & Defense company Northrop Grumman Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $59.73 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Northrop Grumman Corporation (NOC) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 12.25 billion total, with 8.37 billion as their total liabilities.
NOC were able to record -271.0 million as free cash flow during the 07/28/2021 quarter of the year, this saw their quarterly net cash flow reduce by -1.39 billion. In cash movements, the company had a total of -66.0 million as operating cash flow.
Potential earnings growth for Northrop Grumman Corporation (NOC)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/28/2021 quarter of the year, Northrop Grumman Corporation recorded a total of 9.16 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 5.86% coming in sequential stages and their sales for the 07/28/2021 quarter reducing by -11.52%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 7.42 billion trying to sell their products during the last quarter, with the result yielding a gross income of 1.74 billion. This allows shareholders to hold on to 163.10M with the recently reported earning now reading 13.46 cents per share. This is a figure that compared to analyst’s prediction for their 07/28/2021 (6.57 cents a share).
Having a look at the company’s valuation, the company is expected to record 25.44 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on NOC sounds very interesting.
Is the stock of NOC attractive?
In related news, Chairman, CEO and President, Warden Kathy J sold 4,916 shares of the company’s stock in a transaction that recorded on May 03. The sale was performed at an average price of 352.04, for a total value of 1,730,629. As the sale deal closes, the CVP, Chief Strategy & Dev Ofc, Kalan Lesley A now sold 2,312 shares of the company’s stock, valued at 813,916. Also, Corp. VP & General Counsel, CHESTON SHEILA C. sold 5,037 shares of the company’s stock in a deal that was recorded on May 03. The shares were price at an average price of 352.04 per share, with a total market value of 1,773,225. Following this completion of acquisition, the CVP & Pres, Mission Systems, Caylor Mark A now holds 2,961 shares of the company’s stock, valued at 1,042,390. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.20%.
13 out of 21 analysts covering the stock have rated it a Buy, while 5 have maintained a Hold recommendation on Northrop Grumman Corporation. 2 analysts has assigned a Sell rating on the NOC stock. The 12-month mean consensus price target for the company’s shares has been set at $388.33.