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Northrop Grumman Q1 Preview Puts Margin Recovery to the Test

Investors are watching for an 11% margin rebound that would signal a turn from heavy development spending.

Overview

  • Northrop Grumman, which reports results Tuesday morning, is expected to post EPS of $6.05 on $9.76 billion in revenue.
  • Analysts see about 3.1% sales growth from a year ago as the company laps prior development charges.
  • The key watch is segment profitability, with margins projected to move toward 11% as cost-heavy programs fade.
  • Management’s next move on guidance is in focus, with Wall Street looking for the $27.40 to $27.90 full‑year EPS range to hold.
  • Recent program updates include a $475 million boost to the Glide Phase Interceptor and an April 17 engine run for the YFQ‑48A Talon Blue autonomous aircraft, while shares are down about 2% over the month against a 10.3% sector gain and targets average near $736.