Latest news with #NorthropGrummanCorp
Hamilton Spectator
02-06-2025
- Business
- Hamilton Spectator
CAE names Northrop Grumman executive Matthew Bromberg as new CEO
MONTREAL - Flight simulator company CAE Inc. has named Matthew Bromberg as its new president and chief executive. Bromberg, who will join the company on June 16 and take over the top job on Aug. 13, has headed global operations for U.S. defence technology company Northrop Grumman Corp. since 2022. He will also stand for election to CAE's board of directors at the company's upcoming annual meeting. Bromberg replaces Marc Parent, who announced last year that he was leaving the company in August this year. CAE also says Calin Rovinescu will become executive chairman of the board, while Sophie Brochu will serve as lead independent director. Rovinescu, a former chief executive of Air Canada, was appointed to the CAE board in February this year as an independent director and chair. Brochu, a former chief executive of Hydro-Quebec, has been an independent director at CAE since 2023. This report by The Canadian Press was first published June 2, 2025. Companies in this story: (TSX:CAE)
Winnipeg Free Press
02-06-2025
- Business
- Winnipeg Free Press
CAE names Northrop Grumman executive Matthew Bromberg as new CEO
MONTREAL – Flight simulator company CAE Inc. has named Matthew Bromberg as its new president and chief executive. Bromberg, who will join the company on June 16 and take over the top job on Aug. 13, has headed global operations for U.S. defence technology company Northrop Grumman Corp. since 2022. He will also stand for election to CAE's board of directors at the company's upcoming annual meeting. Bromberg replaces Marc Parent, who announced last year that he was leaving the company in August this year. CAE also says Calin Rovinescu will become executive chairman of the board, while Sophie Brochu will serve as lead independent director. Rovinescu, a former chief executive of Air Canada, was appointed to the CAE board in February this year as an independent director and chair. Brochu, a former chief executive of Hydro-Quebec, has been an independent director at CAE since 2023. Monday Mornings The latest local business news and a lookahead to the coming week. This report by The Canadian Press was first published June 2, 2025. Companies in this story: (TSX:CAE)
CNBC
29-04-2025
- Business
- CNBC
This defense stock got rocked after earnings. How to bet on a rebound with options
Northrop Grumman Corp (NOC) plunged after missing earnings expectations last week. While this was definitely material news, a look at the three-year weekly chart shows the stock finding solid footing around the $450 multi-year support level — and it's already starting to show signs of a rebound. Even though several analysts have trimmed their ratings, the median price target still sits at $545 — a lot higher than where NOC is trading right now. Also worth noting: Northrop is part of the industrials sector, and a quick glance at XLI — the Industrials Select Sector SPDR ETF — shows that the group is looking strong and actively participating in the broader market recovery rally. Technical Indicators To zero in on a trade setup, I'm layering in a couple more technical indicators to confirm the signal and improve the odds of success. RSI (Relative Strength Index): Notice that the RSI pivoted on 4/22 and is now moving sharply higher, signaling a potential shift in trend. DMI (Directional Movement Index): The DMI (Directional Movement Index) is made up of three lines: the DI+ (green line), the DI- (red line), and the ADX (blue line). When the DI- (red) is above the DI+ (green), it signals a downtrend. But when these lines start to change direction, it often points to a potential shift in the current trend. In this case, the DI- (red) pivoted on 4/22, and the DI+ (green) followed with a clear reversal on 4/25, giving even more confirmation for this trade setup. To take a bullish trade on NOC, I'm setting up a strategy known as a "bull call spread." This involves buying the $480 call and simultaneously selling the $485 call, combining them into a single trade structure The trade Here is my exact trade setup: Buy $480 call, May 30th expiry Sell $485 call, May 30th expiry Cost: $250 Potential Profit: $250 If NOC trades at or above $485 by the expiration date, this trade could yield a return of 100% on the amount risked. With 10 contracts, this equates to risking $2500 to potentially gain $2500. I dive deep into setups like this in my book Mean Reversion Trading , along with hundreds of real trade examples available on my website: . -Nishant Pant Founder: Author: Mean Reversion Trading Youtube, Twitter: @TheMeanTrader DISCLOSURES: (None) All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
Yahoo
23-04-2025
- Business
- Yahoo
Northrop Grumman Corp (NOC) Q1 2025 Earnings Call Highlights: Navigating Challenges with Record ...
Revenue: $9.5 billion, down 7% compared to the prior year. Backlog: Record backlog of $92.8 billion. B-21 Program Loss: $477 million pretax loss due to higher manufacturing costs. International Sales: 14% of total sales, with international sales up 11% in the quarter. Segment Operating Margin: 6% due to B-21 adjustment. Defense Systems Margin Rate: Improved to 9.9%. Space Segment Operating Margin: 11% with net favorable EACs of $29 million. EPS Impact: B-21 adjustment lowered EPS by $2.74 per share after-tax. Operating Cash Flow: Outflow of $1.5 billion. Capital Expenditures: Nearly $300 million invested. Shareholder Returns: Nearly $800 million returned through dividends and share repurchases. 2025 Sales Guidance: $42 billion to $42.5 billion, representing 3% to 4% organic growth. Free Cash Flow Guidance: Reaffirmed at $2.85 billion to $3.25 billion. Warning! GuruFocus has detected 6 Warning Signs with NOC. Release Date: April 22, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Northrop Grumman Corp (NYSE:NOC) reported a record backlog of $92.8 billion in the first quarter, driven by strong international bookings. The company reaffirmed its 2025 financial guidance for sales and free cash flow, indicating confidence in achieving its outlook. Significant progress was made on key programs, including the successful static fire test of the Sentinel missile's Stage 1 solid rocket motor. Northrop Grumman Corp (NYSE:NOC) received a nearly $500 million contract for IBCS from the US Army, expanding software development and AI capabilities. International sales represented approximately 14% of total sales, with a first-quarter international book-to-bill ratio of 1.45 times, indicating strong growth potential. The company recognized a $477 million pretax loss related to the B-21 program due to higher manufacturing and material costs. First-quarter sales were down 7% compared to the prior year, impacted by contracting delays and timing of material receipts. The B-21 program's financial impact was disappointing, with a total loss provision of $477 million affecting the company's segment operating margin rate. There is uncertainty in the US defense budget environment, with delays in new awards affecting sales ramp-up. The macroeconomic environment and inflationary pressures have led to increased projected material costs, impacting profitability. Q: What milestones should we watch for to track the risk retirement of the B-21 program, and could there be further charges due to tariffs? A: Kathy J. Warden, CEO, explained that the B-21 program is completing the EMD phase and progressing through performance test milestones. The company has started low-rate initial production (LRIP) and is working through the first two lots. The manufacturing changes and associated costs are a result of scaling, and these learnings are now behind them. There is no change in the program's profile due to these updates, and the company is confident in its progress. Q: Can you provide more color on Northrop Grumman's strategic strengths in AI compared to commercial players? A: Kathy J. Warden highlighted that Northrop Grumman has been investing in AI for decades, integrating it into various applications such as autonomous aircraft and situational awareness systems. The company partners with commercial entities like NVIDIA to enhance its software development, leveraging AI to make sensors and software more valuable and efficient for users. Q: How confident are you that the B-21 charge is a one-time event, and what changed from a quarter ago? A: Kathy J. Warden stated that the charge was due to a process change to support higher production rates and increased material costs. The learning from these changes is now understood, and the company does not expect these issues to recur. The adjustments reflect macroeconomic factors and the learning curve from building the aircraft. Q: How does Northrop Grumman view the impact of tariffs on its portfolio and international opportunities? A: Kathy J. Warden noted that about 5% of the supply chain is sourced internationally, primarily from Europe. Most costs related to trade policy are covered under contracts with the US government, minimizing risk. The company sees significant international demand, with a strong pipeline translating into firm bookings, particularly in Defense Systems. Q: What gives you confidence in achieving the mid-teens sales growth in the second half of the year? A: Ken Crews, CFO, explained that growth will be driven by large awards received at the end of 2024, planned ramps in existing programs, and new competitive awards expected in the second quarter. The company is confident in its backlog and the timing of material receipts to support this growth. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Bloomberg
22-04-2025
- Business
- Bloomberg
Northrop Grumman Cuts Earnings Outlook on Stealth Bomber Costs
Northrop Grumman Corp. reported lower first-quarter profit than analysts expected and cut its earnings outlook for the year as manufacturing costs rose and the company stepped up investments in production of the B-21 bomber. Per-share profit fell by 47% in the first quarter, primarily due to loss provisions tied to the first production batch of B-21 stealth bombers, the company said Tuesday in a statement. Revenue declined 7% to $9.47 billion.
