Northrop Grumman Corporation [NYSE:NOC]: Analyst Rating and Earnings
Expert stock traders often make certain they pay attention what leading Wall Street analysts think regarding a potential stock purchase. As it relates to Northrop Grumman Corporation [NOC] currently, the latest ratings from Wall St. experts that can be seen publicly is related to the fiscal quarter that’s scheduled to end in December. On average, stock market experts give NOC an Outperform rating. The average 12-month price forecast for this stock is $317.25, with the high estimate being $380.00, the low estimate being $270.00 and the median estimate amounting to $310.50. This is compared to its latest closing price of $257.66.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Northrop Grumman Corporation [NOC] is sitting at 2.00. This is compared to 1 month ago, when its average rating was 1.95.
For the quarter ending in Sep-18 Northrop Grumman Corporation [NOC] generated $8.09 billion in sales. That’s 0.95% higher than the average estimate of $8.01 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Pay attention to the next-scheduled financial results for this company to be released, which is slated for Thu 31 Jan (In 18 Days).
Fundamental Analysis of Northrop Grumman Corporation [NOC]
Now let’s turn to look at profitability: with a current Operating Margin for Northrop Grumman Corporation [NOC] sitting at +12.79 and its Gross Margin at +23.07, this company’s Net Margin is now 9.60%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 19.05, and its Return on Invested Capital has reached 11.50%. Its Return on Equity is 32.75, and its Return on Assets is 6.24. These metrics all suggest that Northrop Grumman Corporation is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Northrop Grumman Corporation [NOC] has generated a Total Debt to Total Equity ratio of 216.60. Similarly, its Total Debt to Total Capital is 68.41, while its Total Debt to Total Assets stands at 41.68. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 204.30, and its Long-Term Debt to Total Capital is 64.53.
What about valuation? This company’s Enterprise Value to EBITDA is 12.48 and its Total Debt to EBITDA Value is 4.05. The Enterprise Value to Sales for this firm is now 1.65, and its Total Debt to Enterprise Value stands at 0.26. Northrop Grumman Corporation [NOC] has a Price to Book Ratio of 7.58, a Price to Cash Flow Ratio of 20.63 and P/E Ratio of 16.32. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Northrop Grumman Corporation [NOC] earns $368,614 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.09 and its Total Asset Turnover is 0.80. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 2.24 and its Current Ratio is 2.35. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Let’s now turn our attention to trading performance: Northrop Grumman Corporation [NOC] has 174.10M shares outstanding, amounting to a total market cap of $44.58B. Its stock price has been found in the range of 223.63 to 360.88. At its current price, it has moved by -29.05% from its 52-week high, and it has moved 14.50% from its 52-week low.
This stock’s Beta value is currently 0.83, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 51.54. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Northrop Grumman Corporation [NOC] a Reliable Buy?
Shares of Northrop Grumman Corporation [NOC], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.