Northrop plans $2B stock repurchase
Northrop Grumman Corp., which is moving its headquarters to Northern Virginia from Los Angeles, will take a chunk of its publicly traded stock off the table, authorizing the repurchase of as much as $2 billion in common shares.
That represents 11 percent of Northrop’s market value.
“Today’s increase in our share repurchase authorization demonstrates our continuing commitment to a balanced cash deployment strategy that drives value creation by investing for the future, managing risk, and distributing cash to shareholders through share repurchases and dividends,” said CEO Wes Bush in a statement.
Northrop Grumman (NYSE: NOC) reported $8.6 billion in fiscal first-quarter sales, an 8.5 percent increase from year ago results. Quarterly income was $469 million, up 26 percent.