Northrop Grumman Surges to Record High on Strong Earnings and Analyst Upgrades as Momentum Strategy Outperforms Market Despite 328th Trading Volume Rank

On July 31, 2025, Northrop Grumman (NOC) saw a 0.66% rise in its stock price amid a $0.44 billion trading volume, ranking it 328th in market activity. The company reached an all-time high of $576.86, with its market capitalization standing at $82.4 billion. Analysts highlight its consistent dividend payments for 55 years and a 12-month price increase of 20.35%, supported by a P/E ratio of 21.1 and price targets ranging from $498 to $690.

Recent earnings reports revealed stronger-than-expected Q2 results, with EPS at $8.15 exceeding the $6.84 forecast. Revenue also outperformed estimates, prompting analysts to raise price targets. Bernstein set a $630 target with a Market Perform rating, while RBC Capital and Truist Securities raised theirs to $625, citing growth in the B-21 program and international demand. A $495 million DoD contract for engineering services and the completion of major components for the U.S. Army’s Integrated Battle Command System further bolstered investor confidence.

A strategy involving the purchase of the top 500 high-volume stocks held for one day generated a 166.71% return from 2022 to the present, significantly outperforming the 29.18% benchmark. This momentum-driven approach capitalized on liquidity trends, demonstrating resilience despite market volatility and volume declines.