Northrop Grumman Corporation (NOC) , with its strong backlog, rising earnings and sales estimates, robust ROE and efficient debt management, offers a great investment opportunity in the Zacks Aerospace sector. The company currently carries a Zacks Rank #2 (Buy). Let's look at the factors that are driving the stock. NOC's Growth Projections & Surprise History The Zacks Consensus Estimate for NOC's 2024 earnings per share (EPS) is pinned at $25.14, which indicates year-over-year growth of 7.9%. The consensus ...

Join iREIT on Alpha today to get the most in-depth research that includes REITs, mREITs, Preferreds, BDCs, MLPs, ETFs, and other income alternatives. 438 testimonials and most are 5 stars. Nothing to lose with our FREE 2-week trial . Analyst's Disclosure: I/we have a beneficial long position in the shares of NOC, LMT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alp ...

Core Viewpoint - Northrop Grumman Corporation (NOC) has secured a $387.3 million contract for the research and development of the E-2D Advanced Hawkeye, focusing on cockpit redesign and tactical mission computer upgrades [1][2]. Group 1: Contract Details - The contract is awarded by the Naval Air Systems Command and most work will be conducted in Melbourne, FL, with an expected completion date of September 2028 [2]. - The contract involves significant upgrades to the E-2D Advanced Hawkeye, enhancing navigation, controls, display systems, and tactical mission capabilities [1]. Group 2: Market Context - Global defense spending is increasing, particularly in advanced military systems and C4ISR technologies, benefiting NOC as a leading provider in this sector [3][6]. - The rising focus on national security due to military conflicts and terrorism is driving demand for advanced technologies, including network-based battle control and unmanned vehicles [6]. Group 3: Product Significance - The E-2D Advanced Hawkeye is crucial for the U.S. Navy's airborne battle command and control, enhancing battlefield awareness and decision-making through advanced radar and network capabilities [4][5]. - The C4ISR upgrades from the latest contract will improve the U.S. armed forces' mission readiness and command management [5]. Group 4: Growth Prospects - The global C4ISR market is projected to grow at a compound annual growth rate of 3.2% from 2024 to 2029, indicating a favorable environment for NOC [7]. - NOC has a long history of providing end-to-end communications and advanced networking capabilities for military operations, positioning it well for future growth [8]. Group 5: Peer Comparison - Other defense companies like Lockheed Martin, RTX Corporation, and General Dynamics are also expected to benefit from the expanding C4ISR market, with varying long-term earnings growth rates and sales estimates [9][10][11][12]. Group 6: Stock Performance - NOC's stock has increased by 24.9% over the past three months, outperforming the industry average growth of 13.3% [13].

Investors interested in stocks from the Aerospace - Defense sector have probably already heard of General Dynamics (GD) and Northrop Grumman (NOC) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look. Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank puts an emphasis on earni ...

FALLS CHURCH, Va., Sept. 20, 2024 (GLOBE NEWSWIRE) -- Northrop Grumman Corporation (NYSE: NOC) announced today that its third quarter 2024 financial results will be posted on its investor relations website on Oct. 24, 2024. Prior to the market opening, and after the filing of the earnings release on Form 8-K with the Securities and Exchange Commission, the company will issue an advisory release notifying the public of the availability of the complete and full text earnings release on the company's website a ...

PALMDALE, Calif., Sept. 18, 2024 (GLOBE NEWSWIRE) -- Northrop Grumman's B-21 Raider program is making great progress as the team executes a robust flight test campaign and scales into production. In collaboration with the U.S. Air Force, Northrop Grumman's program management approach on B-21 centers around producibility and adoption of digital technology to ultimately deliver an effective, affordable system to the warfighter that is adaptable to future threats. As the B-21 Raider flight test program progres ...

Northrop Grumman Corporation Conference Call Summary Company Overview - **Company**: Northrop Grumman Corporation (NYSE:NOC) - **Date**: September 12, 2024 - **Participants**: Kathy Warden (President & CEO), Kristine Liwag (Morgan Stanley Analyst) Key Points Financial Performance - Northrop Grumman has achieved high single-digit growth in the first half of the year and projects a 5% growth at the midpoint for the year [3][3] - The company has maintained a 5% annual growth rate since 2019 [3][3] - Backlog has increased to $83 billion, representing a 30% increase since 2019 [3][3] - Projected free cash flow growth of over 15% compound annual growth through 2026 [3][3] - A 10% increase in dividends has been implemented, consistent with the average increase over the last decade [3][3] - Plans to repurchase $2.5 billion in shares this year [3][3] Investment Strategy - The company aims to normalize capital expenditures while continuing to invest in growth opportunities both domestically and internationally [4][4] Defense Budget Environment - Anticipation of a continuing resolution for the Fiscal Year 2025 defense budget, with bipartisan support expected for defense spending above the President's budget requests [5][6] - Upward pressure on defense budgets is driven by the threat environment and inflation impacting real expenditure requirements [7][7] International Opportunities - International sales have historically been in the 12% to 15% margin range, with a focus on expanding the international portfolio [9][9] - Key international programs include air and missile defense systems and tactical weapons like the AARGM-ER [10][10] Portfolio Resilience - 75% of Northrop Grumman's portfolio supports prioritized missions beyond the B-21, Sentinel, and F-35 programs, indicating a diverse and resilient business model [12][12] - The company has a strong microelectronics capability, producing advanced microchips for national security applications [13][13] B-21 Program Insights - The B-21 program consists of development, low-rate initial production, and full-rate production phases, with expectations for profitability in future production lots [19][19] - The program is viewed as a model by the government, with strong performance anticipated to continue [18][18] Next Generation Programs - Northrop Grumman is not bidding as a prime for the Air Force's Next Generation Air Dominance program but is engaged as a supplier [21][21] - The Navy's next-generation program is still moving forward, with Northrop Grumman being one of three bidders [23][23] Sentinel Program Update - The Sentinel program is undergoing restructuring due to a Nunn-McCurdy breach related to cost estimate updates, but the company continues to execute on the program [26][26][28][28] Defense Systems Growth - The defense systems segment is expected to be one of the fastest-growing segments in 2025, driven by Sentinel and increased demand for missiles and munitions [30][30] Space Segment Performance - The space segment is expected to return to growth in 2026, with underlying business growth despite recent challenges [34][34] Margin Expansion Opportunities - All segments have potential for margin expansion, with defense systems and mission systems expected to contribute significantly in the near term [36][36] Mission Systems Challenges - Mission systems have faced margin pressures due to supply chain disruptions and a shift towards lower-margin development work, but improvements are expected as programs transition to fixed-price contracts [40][40][42][42] Free Cash Flow and Capital Deployment - The company aims for greater than 15% compound annual growth in free cash flow, driven by top-line growth, margin expansion, and normalizing capital investments [43][43] - Capital deployment priorities include investing in growth opportunities, maintaining a competitive dividend, and share repurchases [48][48][49][49] Strategic Focus - The company emphasizes the importance of technology advancement and mission impact, aiming to support global security and strengthen allies [51][51][53][53] Conclusion - Northrop Grumman is positioned for sustainable growth with a strong backlog, diverse portfolio, and strategic focus on both domestic and international opportunities, while navigating challenges in the defense budget environment and supply chain disruptions.

viper-zero/iStock Editorial via Getty Images Introduction Germany, Poland, the US, and the UK—what do these countries have in common? If you guessed rising defense spending, you'd be correct. With 110 conflicts currently ongoing across the world according to Geneva Academy and NATO powers either directly involved or providing support, there has been a surge in government orders for new weapons. As geopolitical instability grows, and ongoing conflicts in regions like Eastern Europe and the Asia-Pacific, NATO ...

In February 2022, Russia invaded Ukraine in a significant escalation to the Russo-Ukrainian War, which began in 2014. Pundits can argue the reasoning behind the war (pro-Russian pundits will say it is to defend against NATO aggression, and pro-Ukrainians will say it's a land grab), but they cannot argue the devastation that has occurred on both sides of the war. Because Russia has a much larger army then Ukraine, the war initially seemed like a lopsided affair that would end quickly. However, as the three-y ...

The Aerospace group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Northrop Grumman (NOC) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? Let's take a closer look at the stock's year-to-date performance to find out. Northrop Grumman is one of 46 individual stocks in the Aerospace sector. Collectively, these companies sit at #7 in the Zacks Sector Ran ...