Insider transaction disclosed
Northrop Grumman Corp's (NYSE:NOC) vice president and general counsel, Kathryn G. Simpson, reported selling 779 shares of the company's common stock on February 17, 2026, according to a Form 4 filing with the Securities and Exchange Commission. The sale was executed at $702.56 per share, producing proceeds of $547,294.
The same filing shows that Simpson acquired 387 shares through the exercise of restricted stock rights at a price of $0. As part of the transaction package, 193 shares were disposed of to satisfy tax obligations at a price of $701.12, generating $135,316 from that disposition.
After these moves, Simpson's direct ownership in Northrop Grumman stands at 1,068.39 shares, as recorded in the filing.
Valuation note from InvestingPro
InvestingPro's analysis, cited within the disclosure, indicates that Northrop Grumman's shares currently appear overvalued relative to their Fair Value. The platform notes that subscribers can access an expanded set of materials, including 13 additional InvestingPro Tips and full Pro Research Reports, for more detailed valuation and company analysis.
Corporate performance and developments
Northrop Grumman also reported fourth-quarter 2025 results that exceeded analysts' expectations. The company posted earnings per share of $7.23, above the consensus estimate of $7.04, while revenue totaled $11.7 billion versus an anticipated $11.6 billion.
In contract activity, Northrop Grumman won a $198 million agreement to supply power amplifier module spares for the E-2D Advanced Hawkeye aircraft. The company announced a quarterly dividend of $2.31 per share, payable on March 11, 2026, to shareholders of record as of February 23, 2026.
On the corporate governance front, Northrop Grumman elected Admiral Christopher Grady, a retired four-star admiral and former vice chairman of the Joint Chiefs of Staff, to its board of directors. Separately, Bernstein raised its price target on the stock to $765, citing positive trends continuing into 2026.
Context and limitations
The SEC Form 4 provides the transaction specifics for Simpson's sale, exercise and tax-related disposals. The InvestingPro valuation statement is presented in the filing as an analysis view; the filing also references additional proprietary research materials available to subscribers. The company performance metrics and corporate actions cited here are taken from the same disclosure set and corporate announcements. Where details are limited in the filing, this piece reflects only the facts as reported.
Key takeaways
- Insider activity: Kathryn G. Simpson sold 779 shares for $547,294 and exercised 387 restricted shares at $0, with 193 shares sold to cover taxes.
- Financial results: Northrop Grumman beat Q4 2025 EPS and revenue estimates.
- Corporate moves: $198 million contract awarded for E-2D spares, dividend declared, board seat filled by Admiral Christopher Grady, and Bernstein raised its price target to $765.
This article presents the transactions and company developments as disclosed; it does not infer motivations behind individual insider trades or project future price movements.