Northrop Grumman (NYSE: NOC ) is a global defense company that designs and manufactures advanced aircraft, space systems, and missile defense technologies for the U.S. military and its allies. The company’s stock recently traded at approximately$590 per share, with a market capitalization of approximately $84.5 billion.
Once known for its aircraft business, Northrop has expanded into space systems and next-generation defense platforms, making it a key player in national security. Driven by steady government spending and long-term contracts, the company has become a reliable business for institutional investors seeking stability in uncertain markets.
The company’s work on programs such as the B-21 stealth bomber and missile warning satellites provides a competitive advantage that is not easily replicated. Historically, the company has been heavily owned by insiders and senior management, but today the majority of Northrop’s shares are held by large asset managers, pension plans and hedge funds.
By understanding the behavior of NOC owners and insiders, we can see how big companies really feel about the stock right now.
Who are Northrop Grumman’s major shareholders?
Find out if major Northrop Grumman Corporation shareholders are buying or selling today >> .
Northrop Grumman produces advanced aircraft, space systems and missile defense technology and is one of the world’s most important defense contractors. Northrop Grumman’s shareholders are dominated by large asset managers, with a few active funds making big moves.
- State Street Global Advisors: 13.4 million shares (9.38%), about $7.9 billion; down 2.59 million shares (-0.2%); down 2.59 million shares (-0.2%).
- Pioneer Group 13.4 million shares (9.33%), ~$7.9 billion; 154,000 new shares (+1.2%).
- Capital International Investors: 12 million shares (8.36%), ~$7.1 billion; 3.1 million new shares (+35%).
- BlackRock: 7.2 million shares (5.0%), ~$4.2 billion; down 451,000 shares (-5.9%).
- Wellington Management 5.5 million shares (3.8%), ~$3.2 billion; 3.65 million shares added (+7.1%).
- Geode Capital: 3.1M shares (2.2%), ~$1.8B. Slightly up (+0.5%).
- Morgan Stanley: 2.9 million shares (2.0%), ~$1.7 billion; 78,000 new shares (+2.8%).
- Capital World Investors: 2.6 million shares (1.8%), ~$1.5 billion; 658,000 new shares (+34%).
- T. Rowe Price: 2.5 million shares (1.7%), ~$1.5 billion; 448,000 shares added (+22%).
- JPMorgan Chase Asset Management: 2.0 million shares (1.4%), about $1.2 billion; -103,000 shares (-4.9%).
- Saunders Capital: 2 million shares (1.4%), ~$1.2 billion; 38,000 shares (-1.9%) decrease in equity.
Adage Capital Partners, led by Robert Atchinson and Philip Gross, increased its stake in Northrop Corporation by 322% to about 111,000 shares (worth $55 million). This aggressive capital increase seems to be a strong signal of confidence in the stock price.
Another major move was made by Squarepoint Ops LLC, which increased its position by 128% to nearly 18,000 shares (worth $9 million). For the systematic trading firm, this surge could signal a strengthening of tactical bets on defensive risks.
At the same time, Gamco Investments, managed by Mario Gabelli, increased its stake by almost 100% to over 3,000 shares (valued at $1.6 million). Although modest, this significant capital increase may indicate selective optimism on the part of value-oriented managers.
Sharp gains at Capital International and Capital World may indicate increased confidence in Northrop’s role in future defense spending. BlackRock’s decline suggests some managers are becoming more cautious.
For investors, this mixed trend suggests that optimism exists but is not widespread.
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Recent insider transactions of Northrop Grumman Corp.
Insider trading at Northrop Grumman has been active in recent months, providing investors with an opportunity to learn how company executives manage their personal risk. Most of the trades involve directors selling shares, with only a few directors buying shares in small amounts.
Let’s take a look at some recent inside sales:
- Thomas H Jones (Sr.): sold ~729 shares for $525 in July.
- Mark A. Welsh III (Director): 1-21 shares were sold in July for $503-509.
- Kathy J Wharton, CEO: Sold about 7,500 shares at $506 in June and another 3,750 shares at $495.
- Robert J Fleming (executive): sold about 3,500 shares at $506 in June.
- Marianne Catherine Brown, director: purchased about 93 shares for $500 in June.
- Arvind Krishna (Director): 73 shares purchased for $500 in June.
Stock sell-offs by CEOs and senior management appear to be particularly prevalent. While these sell-offs may reflect diversification or personal plans, they can also be interpreted as a sign of caution as stock prices approach recent highs.
Smaller directors do not make large purchases, but at least it shows that they have some willingness to take risk.
View recent insider trading data for over 50,000 stocks worldwide (free) >>.
What do the data on ownership and insider trading tell us?
Northrop’s shareholders, primarily State Street and Vanguard, peg the stock price to global index flows. Active fund managers such as Capital International and Capital World have significantly increased their holdings of Northrop stock. In contrast, BlackRock and JP Morgan reduced their positions, suggesting that not all institutions are equally optimistic.
Insider activity led by the CEO and other senior management appears to prioritize selling, with the exception of token purchases by directors. The absence of larger insider purchases may indicate that the leadership does not want to increase its shareholding at current valuation levels.
Mixed signals. Institutional investors have mixed views, but tend to be constructive. This combination suggests that Northrop is viewed as a long-term stable defense company, although expectations may be more cautious at current levels.
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