Northrop Grumman Stock Buy Hold or Sell Recommendation
| NOC Stock | USD 470.98 8.40 1.82% |
Considering the 90-day investment horizon and your typical level of risk aversion, our recommendation regarding Northrop Grumman is 'Hold'. Macroaxis provides Northrop Grumman buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding NOC positions. The advice algorithm takes into account all of Northrop Grumman's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Northrop Grumman's buy or sell advice are summarized below:
Real Value 484.26 | Target Price 505.17 | Hype Value 470.98 | Market Value 470.98 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Northrop Grumman given historical horizon and risk tolerance towards Northrop Grumman. When Macroaxis issues a 'buy' or 'sell' recommendation for Northrop Grumman, the advice is generated through an automated system that utilizes algorithms and statistical models.
Northrop |
Execute Northrop Grumman Buy or Sell Advice
The Northrop recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Northrop Grumman. Macroaxis does not own or have any residual interests in Northrop Grumman or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Northrop Grumman's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Northrop Grumman Trading Alerts and Improvement Suggestions
| Over 85.0% of the company shares are owned by institutional investors | |
| On 13th of March 2024 Northrop Grumman paid $ 1.87 per share dividend to its current shareholders | |
| Latest headline from finance.yahoo.com: Cybeats to Attend RSA Cybersecurity Conference in San Francisco |
Northrop Grumman Returns Distribution Density
The distribution of Northrop Grumman's historical returns is an attempt to chart the uncertainty of Northrop Grumman's future price movements. The chart of the probability distribution of Northrop Grumman daily returns describes the distribution of returns around its average expected value. We use Northrop Grumman price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Northrop Grumman returns is essential to provide solid investment advice for Northrop Grumman.
| Mean Return | -0.02 | Value At Risk | -1.33 | Potential Upside | 1.33 | Standard Deviation | 1.14 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Northrop Grumman historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Northrop Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Northrop Grumman is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Northrop Grumman backward and forwards among themselves. Northrop Grumman's institutional investor refers to the entity that pools money to purchase Northrop Grumman's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Geode Capital Management, Llc | 2023-12-31 | 2.9 M | Sanders Capital, Llc | 2023-12-31 | 2.3 M | Goldman Sachs Group Inc | 2023-12-31 | 2.2 M | Bank Of New York Mellon Corp | 2023-12-31 | 1.7 M | Ameriprise Financial Inc | 2023-12-31 | 1.7 M | T. Rowe Price Associates, Inc. | 2023-12-31 | 1.5 M | Amvescap Plc. | 2023-12-31 | 1.3 M | Northern Trust Corp | 2023-12-31 | 1.3 M | Putnam Investments, Llc., A Franklin Templeton Company | 2023-12-31 | 1.2 M | State Street Corporation | 2023-12-31 | 13.9 M | Vanguard Group Inc | 2023-12-31 | 12.1 M |
Northrop Grumman Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (135M) | 18M | (52M) | (205M) | (220M) | (209M) | |
| Change In Cash | 666M | 2.7B | (1.4B) | (953M) | 532M | 558.6M | |
| Free Cash Flow | 3.0B | 2.9B | 2.2B | 1.5B | 2.1B | 1.4B | |
| Depreciation | 1.0B | 1.3B | 1.2B | 1.3B | 1.3B | 1.4B | |
| Other Non Cash Items | 2.0B | 1B | (5.6B) | (2.5B) | 1.5B | 1.6B | |
| Dividends Paid | 880M | 953M | 983M | 1.1B | 1.1B | 1.2B | |
| Capital Expenditures | 1.3B | 1.4B | 1.4B | 1.4B | 1.8B | 1.9B | |
| Net Income | 2.2B | 3.2B | 7.0B | 4.9B | 2.1B | 1.5B | |
| End Period Cash Flow | 2.2B | 4.9B | 3.5B | 2.6B | 3.1B | 2.1B | |
| Change To Netincome | (441M) | 266M | (2.5B) | (1.5B) | (1.4B) | (1.3B) | |
| Change Receivables | (213M) | (125M) | (424M) | (690M) | (621M) | (590.0M) | |
| Net Borrowings | (2.4B) | (729M) | 1.1B | (2.2B) | (2.0B) | (1.9B) | |
| Investments | (1.2B) | (1.2B) | 2.1B | (1.2B) | (1.4B) | (1.5B) |
Northrop Grumman Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Northrop Grumman or Aerospace & Defense sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Northrop Grumman's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Northrop stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.04 | |
β | Beta against NYSE Composite | 0.06 | |
σ | Overall volatility | 1.18 | |
Ir | Information ratio | -0.1 |
Northrop Grumman Volatility Alert
Northrop Grumman exhibits very low volatility with skewness of -2.58 and kurtosis of 13.64. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Northrop Grumman's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Northrop Grumman's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Northrop Grumman Implied Volatility
Northrop Grumman's implied volatility exposes the market's sentiment of Northrop Grumman stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Northrop Grumman's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Northrop Grumman stock will not fluctuate a lot when Northrop Grumman's options are near their expiration.
Northrop Grumman Fundamentals Vs Peers
Comparing Northrop Grumman's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Northrop Grumman's direct or indirect competition across all of the common fundamentals between Northrop Grumman and the related equities. This way, we can detect undervalued stocks with similar characteristics as Northrop Grumman or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Northrop Grumman's fundamental indicators could also be used in its relative valuation, which is a method of valuing Northrop Grumman by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Northrop Grumman to competition |
| Fundamentals | Northrop Grumman | Peer Average |
| Return On Equity | 0.14 | -0.31 |
| Return On Asset | 0.0366 | -0.14 |
| Profit Margin | 0.05 % | (1.27) % |
| Operating Margin | (0.06) % | (5.51) % |
| Current Valuation | 82.34 B | 16.62 B |
| Shares Outstanding | 148.14 M | 571.82 M |
| Shares Owned By Insiders | 0.24 % | 10.09 % |
| Shares Owned By Institutions | 85.09 % | 39.21 % |
| Number Of Shares Shorted | 1.81 M | 4.71 M |
| Price To Earning | 14.90 X | 28.72 X |
| Price To Book | 4.57 X | 9.51 X |
| Price To Sales | 1.72 X | 11.42 X |
| Revenue | 39.29 B | 9.43 B |
| Gross Profit | 7.47 B | 27.38 B |
| EBITDA | 2.54 B | 3.9 B |
| Net Income | 2.06 B | 570.98 M |
| Cash And Equivalents | 2.58 B | 2.7 B |
| Cash Per Share | 10.82 X | 5.01 X |
| Total Debt | 15.68 B | 5.32 B |
| Debt To Equity | 1.04 % | 48.70 % |
| Current Ratio | 1.14 X | 2.16 X |
| Book Value Per Share | 98.56 X | 1.93 K |
| Cash Flow From Operations | 3.88 B | 971.22 M |
| Short Ratio | 2.44 X | 4.00 X |
| Earnings Per Share | 13.51 X | 3.12 X |
| Price To Earnings To Growth | 0.91 X | 4.89 X |
| Target Price | 490.34 | |
| Number Of Employees | 101 K | 18.84 K |
| Beta | 0.34 | -0.15 |
| Market Capitalization | 68.53 B | 19.03 B |
| Total Asset | 46.54 B | 29.47 B |
| Retained Earnings | 14.77 B | 9.33 B |
| Working Capital | 1.76 B | 1.48 B |
Note: Acquisition by Graham Robinson of tradable shares of Northrop Grumman at 478.66 subject to Rule 16b-3 [view details]
Northrop Grumman Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Northrop . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 22109.89 | |||
| Daily Balance Of Power | 0.8092 | |||
| Rate Of Daily Change | 1.02 | |||
| Day Median Price | 467.26 | |||
| Day Typical Price | 468.5 | |||
| Price Action Indicator | 7.92 | |||
| Period Momentum Indicator | 8.4 |
About Northrop Grumman Buy or Sell Advice
When is the right time to buy or sell Northrop Grumman? Buying financial instruments such as Northrop Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 14.4B | 14.7B | 15.7B | 16.5B | Total Assets | 42.6B | 43.8B | 46.5B | 24.1B |
Use Investing Ideas to Build Portfolios
In addition to having Northrop Grumman in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Entertainment Thematic Idea Now
Entertainment
Companies from entertainment industry including show business, news and media. The Entertainment theme has 47 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Entertainment Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Northrop Grumman Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Northrop Stock refer to our How to Trade Northrop Stock guide.You can also try the Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Complementary Tools for Northrop Stock analysis
When running Northrop Grumman's price analysis, check to measure Northrop Grumman's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Northrop Grumman is operating at the current time. Most of Northrop Grumman's value examination focuses on studying past and present price action to predict the probability of Northrop Grumman's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Northrop Grumman's price. Additionally, you may evaluate how the addition of Northrop Grumman to your portfolios can decrease your overall portfolio volatility.
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |
Is Northrop Grumman's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Northrop Grumman. If investors know Northrop will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Northrop Grumman listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.049 | Dividend Share 7.34 | Earnings Share 13.51 | Revenue Per Share 259.34 | Quarterly Revenue Growth 0.06 |
The market value of Northrop Grumman is measured differently than its book value, which is the value of Northrop that is recorded on the company's balance sheet. Investors also form their own opinion of Northrop Grumman's value that differs from its market value or its book value, called intrinsic value, which is Northrop Grumman's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Northrop Grumman's market value can be influenced by many factors that don't directly affect Northrop Grumman's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Northrop Grumman's value and its price as these two are different measures arrived at by different means. Investors typically determine if Northrop Grumman is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Northrop Grumman's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.