When we think of the industrials sector, the first thing that may come to mind could be heavy machinery, construction and engineering equipment, etc. However, aerospace and defence products are also part of the industrials sectors. Therefore, if you are an investor looking to buy industrials stock, then you may also want to consider exploring some of the big defence companies. Among the big names are Lockheed Martin, Boeing, Northrop Grumman, and Raytheon. Northrop Grumman is one of the world’s largest defence equipment makers. It has four main business segments, namely, Aeronautics Systems, Defense Systems, Mission Systems, and Space Systems. The company began operations in the early 20th century, making US Navy aircraft. Over the years, it has grown organically and through acquisitions to offer space and other defence systems.
Northrop Grumman Reports Q12021 Earnings Results
Northrop Grumman reported its first-quarter 2021 earnings results on 29th April 2021. Revenues were up 6% year-on-year from $8.6 billion to $9.2 billion. The mission systems and space systems segments accounted for a majority of the growth. The former rose 10% year-on-year while the latter grew by 29% year-on-year. The total operating income also grew 13% year-on-year from $967 million in Q12020 to $1 billion. Lastly, transaction-adjusted earnings per share grew from $5.15 in Q12020 to $6.57 in Q12021. If you are looking to buy best defence stock, then Northrop Grumman is worth a closer look. Chief Executive Kathy Warden said, “Our solid bookings and competitive wins, robust organic sales growth and excellent operational performance resulted in strong margin rates, earnings and cash in the quarter.”
Northrop Grumman’s stock has risen by 72% over the past five years. It closed at $370.46 on 21st May 2021. The stock has ranged between a high of over $350 and a low of less than $300 over the previous five years.