Northrop Grumman upgraded to Outperform on valuation at Credit Suisse
As previously reported, Credit Suisse analyst Robert Spingarn upgraded Northrop Grumman to Outperform from Neutral, while lowering his price target on the shares to $302 from $311. The analyst notes that the market was not kind to Northrop Grumman in 2018, with the stock trading down about 21% for the year and about 32% off its high in April. While some of this weakness was endemic to its own circumstances, the analyst thinks it is more broadly a reflection of lofty expectations for future budgets and correspondingly elevated ex-pension valuations seen for both Northrop Grumman and across the defense hardware space this past spring. At this point, however, the selloff has created an attractive opening, he contends.