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Northrop Grumman (NOC) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Northrop Grumman (NOC - Free Report) closed at $323.11, marking a +1.52% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.58%. Elsewhere, the Dow gained 0.28%, while the tech-heavy Nasdaq added 0.48%.
Prior to today's trading, shares of the defense contractor had gained 2.73% over the past month. This has lagged the Aerospace sector's gain of 6.3% and the S&P 500's gain of 3.62% in that time.
NOC will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $4.64, up 18.07% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.40 billion, up 18% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $19.41 per share and revenue of $33.91 billion. These totals would mark changes of -9% and +12.66%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for NOC. These revisions help to show the ever-changing nature of near-term business trends. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% higher. NOC is currently a Zacks Rank #2 (Buy).
Looking at its valuation, NOC is holding a Forward P/E ratio of 16.4. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 16.4.
Investors should also note that NOC has a PEG ratio of 1.28 right now. 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 1.91 as of yesterday's close.
The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 49, which puts it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
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Northrop Grumman (NOC) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Northrop Grumman (NOC - Free Report) closed at $323.11, marking a +1.52% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.58%. Elsewhere, the Dow gained 0.28%, while the tech-heavy Nasdaq added 0.48%.
Prior to today's trading, shares of the defense contractor had gained 2.73% over the past month. This has lagged the Aerospace sector's gain of 6.3% and the S&P 500's gain of 3.62% in that time.
NOC will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $4.64, up 18.07% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.40 billion, up 18% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $19.41 per share and revenue of $33.91 billion. These totals would mark changes of -9% and +12.66%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for NOC. These revisions help to show the ever-changing nature of near-term business trends. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% higher. NOC is currently a Zacks Rank #2 (Buy).
Looking at its valuation, NOC is holding a Forward P/E ratio of 16.4. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 16.4.
Investors should also note that NOC has a PEG ratio of 1.28 right now. 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 1.91 as of yesterday's close.
The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 49, which puts it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.