NOC Forecast + Trading Strategies




Price Forecast:


Bearish<->Bullish




Bullish Case: NOC is poised for upside due to increased defense spending and solid contract wins, with a favorable outlook on volatility, indicating potential for price appreciation in the medium term.




Bearish Case: Risk factors include legacy modernization challenges and geopolitical tensions that could adversely impact margins and contract flows, leading to stagnation or declines in stock performance.




Potential Outcomes:

1. Continued defense contract successes (60%);

2. Potential delays in modernization efforts, affecting growth (25%);

3. Major geopolitical tensions causing contract disruptions (15%).




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October 27, 2024


Northrop Grumman Forecast

NOC        Northrop Grumman











Correlated Assets

Assets that tend to move strongly with NOC



WEC Forecast + Options Trading Strategies   WEC  WEC Energy (0.89)


VXX Forecast + Options Trading Strategies   VXX  iPath Series B S&P 500 VIX Short-Term Futures (0.79)


LUMN Forecast + Options Trading Strategies   LUMN  Lumen (0.77)


ES Forecast + Options Trading Strategies   ES  Eversource Energy (0.76)


UNH Forecast + Options Trading Strategies   UNH  Unitedhealth (0.75)



Uncorrelated Assets

Assets with little price relationship to NOC



NET Forecast + Options Trading Strategies   NET  Cloudflare (-0.0)


FL Forecast + Options Trading Strategies   FL  Foot Locker (-0.0)


SHEL Forecast + Options Trading Strategies   SHEL  Shell Plc - ADR (Representing) (0.0)


CMC Forecast + Options Trading Strategies   CMC  Commercial Metals (0.0)


REAL Forecast + Options Trading Strategies   REAL  Therealreal (-0.01)



Anticorrelated Assets

Assets that tend to move strongly against NOC



SIMO Forecast + Options Trading Strategies   SIMO  Silicon Motion Technology (-0.72)


EW Forecast + Options Trading Strategies   EW  Edwards Lifesciences (-0.72)


ELF Forecast + Options Trading Strategies   ELF  e.l.f. Beauty (-0.73)


LRCX Forecast + Options Trading Strategies   LRCX  Lam Research (-0.74)


SVIX Forecast + Options Trading Strategies   SVIX  VS Trust - 1x Short VIX Futures (-0.78)









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