Northrop Grumman (NOC - Free Report) closed at $271.07 in the latest trading session, marking a -1.39% move from the prior day. This change lagged the S&P 500's 0.01% loss on the day. Elsewhere, the Dow lost 0.1%, while the tech-heavy Nasdaq added 0.12%.
Heading into today, shares of the defense contractor had lost 4.21% over the past month, outpacing the Aerospace sector's loss of 5.39% and lagging the S&P 500's gain of 2.24% in that time.
Investors will be hoping for strength from NOC as it approaches its next earnings release. In that report, analysts expect NOC to post earnings of $4.60 per share. This would mark year-over-year growth of 9.26%. Meanwhile, our latest consensus estimate is calling for revenue of $8.32 billion, up 23.47% from the prior-year quarter.
NOC's full-year Zacks Consensus Estimates are calling for earnings of $18.94 per share and revenue of $34.02 billion. These results would represent year-over-year changes of -11.2% and +13.05%, respectively.
Investors should also note any recent changes to analyst estimates for NOC. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about 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. Within the past 30 days, our consensus EPS projection remained stagnant. NOC is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, NOC is holding a Forward P/E ratio of 14.51. This valuation marks a premium compared to its industry's average Forward P/E of 14.41.
It is also worth noting that NOC currently has a PEG ratio of 1.13. 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. NOC's industry had an average PEG ratio of 1.43 as of yesterday's close.
The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 90, which puts it in the top 36% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.