Northrop Grumman's Trading Volume Drops 47% to Rank 165th Despite Strong Earnings

On July 23, 2025, Northrop Grumman (NOC) saw a trading volume of $704 million, marking a 47.48% decrease from the previous day. The stock ranked 165th in terms of trading volume for the day. The company's shares rose by 0.84%, marking the second consecutive day of gains, with a total increase of 10.33% over the past two days.

Northrop Grumman's second-quarter revenue increased by 1% year-over-year to $10.35 billion, surpassing analyst estimates. The company also narrowed its 2025 revenue guidance to a range of $42.05 billion to $42.25 billion.

The company reported adjusted earnings of $7.11 per share for the second quarter of 2025, exceeding the consensus estimate of $6.71 per share by 6%. This strong performance was driven by a $1.04-per-share gain from the sale of a subsidiary, but even excluding this gain, Northrop's earnings of $7.11 per share still surpassed expectations.

Northrop Grumman's stock price received a significant boost following an update from BofA Securities, which raised its price target for the company. The update highlighted the impressive earnings beat and the raised full-year profit guidance, contributing to the stock's positive momentum.

Northrop Grumman's strong performance was driven by its aeronautics unit, which delivered the highest margins among all its divisions. The company's sequential revenue growth of 9% from the previous quarter also exceeded its own guidance for mid-single-digit sales growth.

Despite the strong quarterly results, Northrop Grumman reported a modest book-to-bill ratio, with $0.71 in new business booked for every $1 billed out. This suggests that while the company is performing well, there may be some caution regarding its future growth prospects.