Stifel Upgrades Northrop Grumman to Buy, Says Defense Stocks Can Jump Almost 30%
Technicians make final preparations for Northrop Grumman’s large-scale static fire test of the first stage of OmegA, the company’s new medium / heavy-class rocket, in Promontory, Utah, May 30, 2019.
George Frey | Reuters
Investors should buy Northrop Grumman because defense industry stocks are cheap and the market will eventually find out, according to investment firm Stifel.
The company’s shares have gained 20% year-to-date, but have underperformed the broader market over a longer period.
Analyst Joseph DeNardi raised the defense stock to buy on hold, saying in a note to clients Thursday night that the market was too bearish on the outlook for the industry.