Northrop Grumman Stock Options

NOC Stock  USD 461.74  1.77  0.38%   
Northrop Grumman's latest option contracts expiring on May 16th 2025 are carrying combined implied volatility of 0.35 with a put-to-call open interest ratio of 0.96 over 95 outstanding agreements suggesting . The total put volume is at 82.0, with calls trading at the volume of 28.0. This yields a 2.93 put-to-call volume ratio.

Open Interest Against May 16th 2025 Option Contracts

The chart above shows Northrop Grumman's distribution of open interest by maturity on contracts that have not yet been settled. The area between the two highest points is the projection of the price at expiration. Northrop Grumman's open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for Northrop Grumman's option, there is no secondary market available for investors to trade.

Northrop Grumman Maximum Pain Price Across 2025-05-16 Option Contracts

Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of particular securities such as Northrop Grumman close to expiration to expire worthless. So, Max pain occurs when market makers reach a net positive position across all options at a strike price where option holders stand to lose the most money. By contrast, Northrop Grumman's option sellers may reap the most after selling more options than buying, causing them to expire worthless.

In The Money vs. Out of Money Option Contracts on Northrop Grumman

Analyzing Northrop Grumman's in-the-money options over time can help investors to take a profitable long position in Northrop Grumman regardless of its overall volatility. This is especially true when Northrop Grumman's options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money Northrop Grumman's options could be used as guardians of the underlying stock as they move almost dollar for dollar with Northrop Grumman's stock while costing only a fraction of its price.
Northrop Grumman's stock options are financial instruments that give investors the right to buy or sell shares of Northrop Grumman common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell Northrop stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If Northrop Grumman's stock price goes up or down, the stock options follow.
At present, Northrop Grumman's Stock Based Compensation To Revenue is projected to slightly decrease based on the last few years of reporting.

Northrop Grumman In The Money Call Balance

When Northrop Grumman's strike price is surpassing the current stock price, the option contract against Northrop Grumman stock is said to be in the money. When it comes to buying Northrop Grumman's options that are 'In the Money' or 'Out of the Money', the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
While 'out-of-the-money' option contracts written on Northrop Grumman are typically viewed as the more aggressive, there are potential upsides to purchasing these types of options contracts. For one, the cost to buy an 'Out of the Money' option is lower than the cost to buy an 'In the Money' option. This cost-benefit is due to the fact that at the time of the purchase, 'Out of the Money' contracts have no intrinsic value. So, while the potential for a 100% loss is more significant, the cost and risk to enter the trade are lower.

Northrop Current Options Market Mood

Northrop Grumman's open interest and total value indicators provide investors with the necessary information to digest the overall options buildup for its expiring contracts. In addition, it helps Northrop Stock's traders understand whether a recent fall or rise in the market is unreasonable and if the time has come to take contrarian positions. These ratios are calculated based on options trading volumes and current open interest.

Put-to-Call Open Interest

Put-to-Call Volume

Most options investors, including buyers and sellers of Northrop Grumman's calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. Northrop Grumman's option open interest and volume spread between outstanding puts and calls are regarded by many investors as reliable indicators of the overall future market direction.

Rule 16 of the current Northrop contract

Base on the Rule 16, the options market is currently suggesting that Northrop Grumman will have an average daily up or down price movement of about 0.0219% per day over the life of the 2025-05-16 option contract. With Northrop Grumman trading at USD 461.74, that is roughly USD 0.1. If you think that the market is fully incorporating Northrop Grumman's daily price movement you should consider buying Northrop Grumman options at the current volatility level of 0.35%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
  
Purchasing Northrop Grumman options can give investors a meaningful hedge against losses and, therefore, could be used conservatively to decrease the volatility of your portfolio. However, many options could also amount to little more than gambling, significantly enhancing your overall portfolio risk. One simple example of these aggressive strategies is the sale of "uncovered" Northrop calls. Remember, the seller must deliver Northrop Grumman stock to the call owner when a call is exercised.

Northrop Grumman Option Chain

When Northrop Grumman's strike price is surpassing the current stock price, the option contract against Northrop Grumman stock is said to be in the money. When it comes to buying options that are ITM or OTM, the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
Northrop Grumman's option chain is a display of a range of information that helps investors for ways to trade options on Northrop. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Northrop. It also shows strike prices and maturity days for a Northrop Grumman against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone.
Open IntStrike PriceCurrent SpreadLast Price
Call
NOC250516C002600003260.0199.0 - 207.0218.0In
Call
NOC250516C003000001300.0159.0 - 166.0186.8In
Call
NOC250516C0035000017350.0110.0 - 116.9154.1In
Call
NOC250516C004000001400.064.5 - 69.046.4In
Call
NOC250516C004200003420.046.4 - 53.848.25In
Call
NOC250516C004300002430.040.1 - 45.226.4In
Call
NOC250516C004350002435.036.8 - 41.332.0In
Call
NOC250516C0044000020440.033.3 - 37.331.75In
Call
NOC250516C0044500026445.030.8 - 33.232.6In
Call
NOC250516C0045000018450.026.9 - 31.129.82In
Call
NOC250516C004550007455.024.1 - 27.624.5In
Call
NOC250516C0046000027460.021.5 - 26.723.3Out
Call
NOC250516C0046500012465.019.1 - 21.521.1Out
Call
NOC250516C0047000048470.016.9 - 19.213.0Out
Call
NOC250516C0047500052475.014.0 - 19.316.7Out
Call
NOC250516C0048000051480.011.8 - 17.812.3Out
Call
NOC250516C0048500018485.08.6 - 15.410.42Out
Call
NOC250516C00490000105490.09.0 - 13.112.32Out
Call
NOC250516C0049500099495.08.0 - 10.27.9Out
Call
NOC250516C0050000051500.06.9 - 10.77.39Out
Call
NOC250516C0050500037505.05.5 - 10.05.2Out
Call
NOC250516C00510000429510.04.6 - 6.86.23Out
Call
NOC250516C00515000161515.04.0 - 5.47.31Out
Call
NOC250516C0052000049520.03.3 - 4.33.84Out
Call
NOC250516C00525000236525.02.75 - 5.84.0Out
Call
NOC250516C00530000261530.02.25 - 4.02.84Out
Call
NOC250516C0053500023535.01.5 - 4.02.25Out
Call
NOC250516C0054000035540.00.7 - 4.52.2Out
Call
NOC250516C00545000108545.00.75 - 5.92.49Out
Call
NOC250516C00550000106550.00.7 - 3.71.55Out
Call
NOC250516C0055500025555.01.05 - 4.01.29Out
Call
NOC250516C0056000080560.00.55 - 5.45.94Out
Call
NOC250516C0056500021565.00.45 - 5.30.75Out
Call
NOC250516C0057000015570.00.4 - 5.25.5Out
Call
NOC250516C005750003575.00.35 - 5.10.76Out
Call
NOC250516C005800008580.00.25 - 5.00.65Out
Call
NOC250516C005850006585.00.25 - 2.70.76Out
Call
NOC250516C0059000029590.00.2 - 4.90.6Out
Call
NOC250516C0060000033600.00.15 - 1.250.92Out
Call
NOC250516C0060500025605.00.05 - 2.711.0Out
Call
NOC250516C006200000620.00.1 - 4.70.1Out
Call
NOC250516C0064000011640.00.1 - 4.70.75Out
Call
NOC250516C006600001660.00.05 - 4.61.75Out
Call
NOC250516C006800001680.00.0 - 4.50.9Out
Call
NOC250516C007000000700.00.0 - 4.54.5Out
Call
NOC250516C007200002720.00.0 - 4.50.53Out
Call
NOC250516C007400000740.00.0 - 3.03.0Out
Call
NOC250516C007600000760.00.0 - 2.852.85Out
Call
NOC250516C007800006780.00.0 - 0.70.98Out
Call
NOC250516C008000004800.00.05 - 0.950.85Out
 Put
NOC250516P002400001240.00.0 - 3.00.66Out
 Put
NOC250516P0035000023350.00.4 - 3.42.2Out
 Put
NOC250516P003600002360.00.55 - 4.02.86Out
 Put
NOC250516P003700005370.01.2 - 5.51.69Out
 Put
NOC250516P0038000013380.00.95 - 3.65.11Out
 Put
NOC250516P0039000020390.01.65 - 4.96.62Out
 Put
NOC250516P0039500076395.02.8 - 7.13.5Out
 Put
NOC250516P00400000198400.02.65 - 6.74.3Out
 Put
NOC250516P00410000621410.02.25 - 6.25.45Out
 Put
NOC250516P0042000040420.05.2 - 8.47.3Out
 Put
NOC250516P0042500016425.04.0 - 10.518.05Out
 Put
NOC250516P0043000030430.07.5 - 13.510.3Out
 Put
NOC250516P0043500034435.06.5 - 13.319.66Out
 Put
NOC250516P0044000028440.09.5 - 15.813.4Out
 Put
NOC250516P00445000245445.012.2 - 14.715.23Out
 Put
NOC250516P0045000040450.014.7 - 19.916.3Out
 Put
NOC250516P0045500066455.015.7 - 20.119.2Out
 Put
NOC250516P00460000181460.018.4 - 21.821.8Out
 Put
NOC250516P00465000361465.020.6 - 24.123.14In
 Put
NOC250516P0047000033470.023.8 - 27.620.4In
 Put
NOC250516P0047500015475.025.1 - 30.028.71In
 Put
NOC250516P0048000027480.026.8 - 33.635.95In
 Put
NOC250516P0048500021485.029.6 - 36.621.1In
 Put
NOC250516P0049000012490.033.3 - 42.029.66In
 Put
NOC250516P004950005495.038.9 - 43.529.87In
 Put
NOC250516P005000006500.041.9 - 48.357.0In
 Put
NOC250516P005050001505.047.3 - 51.830.9In
 Put
NOC250516P005100002510.049.6 - 56.423.7In
 Put
NOC250516P005150002515.054.8 - 59.631.4In
 Put
NOC250516P0052000039520.059.4 - 64.725.8In
 Put
NOC250516P005250002525.064.3 - 69.462.2In
 Put
NOC250516P005300004530.068.3 - 74.167.5In
 Put
NOC250516P005350004535.072.3 - 79.4104.56In
 Put
NOC250516P005400002540.078.0 - 84.934.8In
 Put
NOC250516P005450002545.082.8 - 89.034.7In
 Put
NOC250516P006200000620.0156.1 - 165.0156.1In
 Put
NOC250516P006400000640.0176.1 - 184.9176.1In
 Put
NOC250516P006600000660.0196.1 - 204.9196.1In
 Put
NOC250516P006800000680.0215.7 - 224.9215.7In
 Put
NOC250516P007000000700.0236.1 - 242.9236.1In
 Put
NOC250516P007200000720.0256.1 - 265.0256.1In
 Put
NOC250516P007400000740.0276.1 - 284.8276.1In
 Put
NOC250516P007600000760.0296.2 - 302.9296.2In
 Put
NOC250516P007800000780.0315.0 - 322.9315.0In
 Put
NOC250516P008000000800.0337.7 - 345.0337.7In

Northrop Grumman Market Cap Over Time

   Market Cap   
       Timeline  

Northrop Total Stockholder Equity

Total Stockholder Equity

8.58 Billion

At present, Northrop Grumman's Total Stockholder Equity is projected to increase significantly based on the last few years of reporting.

Northrop Grumman Corporate Directors

Thomas SchoeweIndependent DirectorProfile
Marianne BrownIndependent DirectorProfile
Karl KrapekIndependent DirectorProfile
Madeleine KleinerIndependent DirectorProfile
When determining whether Northrop Grumman offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Northrop Grumman's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Northrop Grumman Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Northrop Grumman Stock:
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Northrop Grumman. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons.
For information on how to trade Northrop Stock refer to our How to Trade Northrop Stock guide.
You can also try the Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Is Aerospace & Defense space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Northrop Grumman. If investors know Northrop will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Northrop Grumman listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.133
Dividend Share
8.05
Earnings Share
28.35
Revenue Per Share
279.136
Quarterly Revenue Growth
0.005
The market value of Northrop Grumman is measured differently than its book value, which is the value of Northrop that is recorded on the company's balance sheet. Investors also form their own opinion of Northrop Grumman's value that differs from its market value or its book value, called intrinsic value, which is Northrop Grumman's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Northrop Grumman's market value can be influenced by many factors that don't directly affect Northrop Grumman's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Northrop Grumman's value and its price as these two are different measures arrived at by different means. Investors typically determine if Northrop Grumman is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Northrop Grumman's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.