NOC

It has been about a month since the last earnings report for General Dynamics (GD). Shares have lost about 0.6% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is General Dynamics due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important drivers. General Dynamics' Q2 Earnings Surpass Estimates, Revenues Improve Y/Y General Dynamics Corporation reported second-quarter 2026 earnings of $4.24 per share, beating the Zacks Consensus Estimate of $3.95 by 7.3%. The bottom line increased 13.4% from $3.74 in the year-ago quarter, reflecting higher operating earnings and lower net interest expense. Revenues of $14.09 billion surpassed the consensus mark of $13.49 billion by 4.5% and rose 8.1% year over year. Growth across all four segments, led by Aerospace and Marine Systems, supported the top line. Aerospace revenues increased 15.1% year over year to $3.53 billion. Operating earnings surged 26.6% to $510 million. The operating margin expanded 130 basis points to 14.5%. Marine Systems revenues advanced 10.4% to $4.66 billion. Operating earnings increased 17.5% to $342 million. The segment’s operating margin improved 40 basis points to 7.3%. Combat Systems revenues were $2.29 billion, up 0.3% from the prior-year quarter. However, operating earnings declined 1.9% to $318 million, while the operating margin contracted 30 basis points to 13.9%. Technologies revenues increased 4.1% year over year to $3.62 billion. Operating earnings improved 2.1% to $339 million. The operating margin declined 20 basis points to 9.4%. Operating earnings totaled $1.46 billion, up 11.9% from the year-ago quarter’s $1.31 billion. Operating costs and expenses increased 7.7% year over year to $12.63 billion. Interest expenses decreased 44.3% year over year to $49 million. General Dynamics ended the quarter with a backlog of $136.5 billion. In addition, its estimated potential contract value from unfunded IDIQ contracts and unexercised options was $50.4 billion, bringing its total estimated contract value to $186.9 billion. As of July 5, 2026, cash and cash equivalents totaled $4.33 billion compared with $2.33 billion as of Dec. 31, 2025. The long-term debt as of the same date was $6.26 billion compared with the 2025-end debt level of $7.01 billion. During the first six months of 2026, cash generated by operating activities totaled $4.04 billion compared with $1.45 billion in the year-ago period. Since the earnings release, investors have witnessed a upward trend in estimates revision. Currently, General Dynamics has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. Charting a somewhat similar path, the stock has a grade of B on the value side, putting it in the top 40% for value investors. Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, General Dynamics has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. General Dynamics belongs to the Zacks Aerospace - Defense industry. Another stock from the same industry, Northrop Grumman (NOC), has gained 1.9% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026. Northrop Grumman reported revenues of $10.88 billion in the last reported quarter, representing a year-over-year change of +5.1%. EPS of $7.68 for the same period compares with $7.11 a year ago. Northrop Grumman is expected to post earnings of $7.26 per share for the current quarter, representing a year-over-year change of -5.4%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged. Northrop Grumman has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report General Dynamics Corporation (GD) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

It has been about a month since the last earnings report for Boeing (BA). Shares have lost about 0.9% in that time frame, underperforming the S&P 500. Will the recent negative trend continue leading up to its next earnings release, or is Boeing due for a breakout? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent drivers for The Boeing Company before we dive into how investors and analysts have reacted as of late. Boeing's Q2 Loss Wider Than Estimated, Revenues Increase Y/YThe Boeing Company incurred an adjusted loss of 76 cents per share in the second quarter of 2026, wider than the Zacks Consensus Estimate of a loss of 34 cents. The bottom line improved from the year-ago quarter’s reported loss of $1.24 per share.Including one-time items, the company reported a GAAP loss of 67 cents per share, narrower than the year-ago quarter’s reported loss of 92 cents. Revenues amounted to $24.56 billion, which marginally outpaced the Zacks Consensus Estimate of $24.05 billion by 2.1%. The top line also surged 8% from the year-ago quarter’s reported figure of $22.75 billion. Backlog at the end of second-quarter 2026 totaled $715.3 billion, up from $682.2 billion recorded at the end of 2025. Commercial Airplanes: Revenues in this segment surged 8% year over year to $11.8 billion, driven by higher jet deliveries. The segment incurred an operating loss of $322 million compared with the year-ago quarter’s operating loss of $557 million.During the quarter under review, Commercial Airplanes delivered 171 airplanes and backlog included over 6,200 airplanes valued at a record $597 billion.Boeing Defense, Space & Security (“BDS”): The segment recorded revenues of $7.5 billion, reflecting year-over-year growth of 13%. It generated an operating loss of $15 million against the year-ago quarter’s income of $110 million.Global Services: The segment recorded revenues of $5.3 billion, reflecting year-over-year growth of 1%. This unit generated an operating income of $0.97 billion compared with the year-ago quarter’s figure of $1.05 billion. Boeing exited second-quarter 2026 with cash and cash equivalents of $7.24 billion and short-term and other investments of $12.78 billion. At the end of 2025, the company had cash and cash equivalents of $10.92 billion and short-term and other investments worth $18.48 billion.Long-term debt amounted to $41.34 billion, down from $45.64 billion recorded at the end of 2025.The company’s net cash provided by operating activities in the first six months of 2026 was $1.19 billion against cash used of $1.39 billion in the year-ago period. It turns out, estimates revision have trended downward during the past month. The consensus estimate has shifted 7.29% due to these changes. At this time, Boeing has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of C on the value side, putting it in the middle 20% for this investment strategy. Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Boeing has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Boeing belongs to the Zacks Aerospace - Defense industry. Another stock from the same industry, Northrop Grumman (NOC), has gained 2.8% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026. Northrop Grumman reported revenues of $10.88 billion in the last reported quarter, representing a year-over-year change of +5.1%. EPS of $7.68 for the same period compares with $7.11 a year ago. Northrop Grumman is expected to post earnings of $7.26 per share for the current quarter, representing a year-over-year change of -5.4%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Northrop Grumman. Also, the stock has a VGM Score of B. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Boeing Company (BA) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

A month has gone by since the last earnings report for Northrop Grumman (NOC). Shares have added about 11% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Northrop Grumman due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important drivers. Northrop Grumman Sees Growth Across Key Defense ProgramsNorthrop Grumman Corporation reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15. NOC’s total sales of $10.88 billion in the second quarter beat the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.Northrop Grumman’s Backlog CountThe company’s total backlog was $95.68 billion at the end of the second quarter compared with $95.61 billion at the end of first-quarter 2026. Aeronautics Systems: This segment’s sales of $3.52 billion rose 13% year over year, driven by higher sales from B-21 and other restricted programs, as well as increased volume on the E-130J TACAMO program.The unit’s operating income totaled $362 million compared with $321 million in the second quarter of 2025. Its operating profit margin remained the same at 10.3%.Mission Systems: Sales in this segment increased 2.9% to $3.25 billion. This was driven by ramp-up on restricted airborne radar programs and higher volume on marine systems programs.The unit’s operating income increased 13.6% to $501 million. The operating margin expanded 140 basis points (bps) to 15.4%.Defense Systems: This segment’s sales rose 5.1% year over year to $2.09 billion. This improvement was driven by the continued ramp-up of the Sentinel program, as well as the higher volume of tactical solid rocket motor programs and the Integrated Battle Command System portfolio.The unit’s operating income declined 38.3% year over year to $156 million. The operating margin contracted 520 bps to 9.7%.Space Systems: Sales in this segment rose 4% to $2.75 billion. This improvement was driven by higher Commercial Resupply Service (CRS) missions as well as higher volume on the Glide Phase Interceptor (GPI) and Ground-based Midcourse Defense Weapon System (GMD WS) programs.The segment’s operating income decreased 17% year over year to $235 million. The operating margin also contracted 150 bps to 9.5%. Total operating income during the quarter totaled $1.10 billion, reflecting a significant decrease from $1.43 billion in the prior-year quarter. Northrop Grumman’s cash and cash equivalents as of June 30, 2026, totaled $2.31 billion, down from $4.40 billion as of Dec. 31, 2025.Long-term debt (net of the current portion) amounted to $14.43 billion compared with $15.16 billion as of Dec. 31, 2025.Net cash outflow from operating activities totaled $376 million during the first six months of 2026 compared with $697 million a year ago. The company expects its revenues to be in the range of $43.75-$44.25 billion compared with its previous guidance of $43.50-$44.00 billion. The Zacks Consensus Estimate for sales is pegged at $43.96 billion, lower than the midpoint of the company’s guided range.NOC expects adjusted earnings to be in the band of $28.60-$29.10 per share compared with its previous guidance of $27.40-$27.90 per share. The consensus estimate for earnings is pegged at $28.19 per share, above the company’s guided range.Northrop Grumman projects to generate adjusted free cash flow in the band of $3.10-$3.50 billion. In the past month, investors have witnessed a upward trend in estimates revision. Currently, Northrop Grumman has a average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, the stock has a score of C on the value side, putting it in the middle 20% for this investment strategy. Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Northrop Grumman has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Northrop Grumman belongs to the Zacks Aerospace - Defense industry. Another stock from the same industry, GE Aerospace (GE), has gained 4.4% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026. GE reported revenues of $12.63 billion in the last reported quarter, representing a year-over-year change of +24.5%. EPS of $2.02 for the same period compares with $1.66 a year ago. For the current quarter, GE is expected to post earnings of $1.99 per share, indicating a change of +19.9% from the year-ago quarter. The Zacks Consensus Estimate has changed +1.7% over the last 30 days. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for GE. Also, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report GE Aerospace (GE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Embraer S.A. EMBJ reported second-quarter 2026 earnings of $1.19 per American Depository Share (“ADS”), beating the Zacks Consensus Estimate of 61 cents by 95.1%. The bottom line surged 177.4% from 43 cents per ADS a year ago.The company reported GAAP earnings of 30 cents per ADS compared with 11 cents in the second quarter of 2025. Revenues of $2.24 billion increased 22.9% year over year and topped the Zacks Consensus Estimate of $2.05 billion by 8.9%. The revenue increase reflected higher activity across Executive Aviation, Defense & Security, Commercial Aviation and Services & Support. Embraer-Empresa Brasileira de Aeronautica price-consensus-eps-surprise-chart | Embraer-Empresa Brasileira de Aeronautica Quote Embraer delivered 65 aircraft in the quarter, up 6.6% from 61 a year ago. Commercial Aviation deliveries rose to 20 aircraft from 19, while Executive Aviation deliveries increased to 45 from 38.The company-wide firm order backlog reached a record $34.5 billion, up 16% year over year. Commercial Aviation backlog rose 15% to $15.1 billion, Executive Aviation increased 5% to $7.8 billion, Defense & Security climbed 42% to $6.1 billion, and Services & Support advanced 12% to $5.5 billion. Executive Aviation: This segment’s revenues climbed 32% to $725 million, supported by higher volumes and product mix. Its adjusted EBIT margin expanded to 23.4% from 14.5%.Defense & Security: This segment’s revenues rose 38% to $304 million on stronger KC-390 revenue recognition tied to customer mix and product stage. Its adjusted EBIT margin improved to 11.9% from 9.2%. Commercial Aviation: Revenues increased 8% year over year to $625 million, mainly on higher volumes. Its adjusted EBIT margin declined to 2.9% from 4.3%.Services & Support: This segment’s revenues advanced 24% to $565 million, while its adjusted EBIT margin increased to 18.7% from 15.5%.Others: This segment includes ERJ’s Agricultural Aviation, cyber division Tempest, the landing gear division and other businesses. Revenues for this segment declined 6% to $15 million, primarily reflecting lower deliveries in agricultural aviation during the quarter. Embraer’s operating income amounted to $285.8 million compared with $179.5 million in the second quarter of 2025.The company posted adjusted EBITDA of $355.6 million compared with $245.5 million a year ago. As of June 30, 2026, EMBJ’s cash and cash equivalents amounted to $1.39 billion compared with $1.95 billion as of Dec. 31, 2025.Its adjusted free cash flow (without Eve) for the second quarter of 2026 totaled $401 million against the adjusted free cash outflow of $161.6 million in the prior-year period.The net cash provided by operating activities during the first six months of 2026 amounted to $204.4 million against the net cash outflow from operating activities of $134.1 million during the first six months of 2025. Embraer continues to expect 80-85 Commercial Aviation deliveries and 160-170 Executive Aviation deliveries in 2026. The company also maintained its revenue outlook of $8.2-$8.5 billion. The Zacks Consensus Estimate for revenues is pegged at $8.52 billion, which is higher than the company’s guided range.EMBJ raised its adjusted EBIT margin guidance to 10-10.6% from 8.7-9.3%. It also lifted its adjusted free cash flow outlook excluding Eve to at least $400 million from at least $200 million. Embraer currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. RTX Corporation’s RTX second-quarter 2026 adjusted earnings per share (EPS) of $1.89 beat the Zacks Consensus Estimate of $1.66 by 13.9%. The bottom line improved 21.1% from the year-ago quarter’s level of $1.56.Revenues rose 14.5% year over year to $24.71 billion and outpaced the consensus mark of $22.83 billion by 8.2%.Northrop Grumman Corporation NOC reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.NOC’s total sales of $10.88 billion in the second quarter outperformed the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.Textron Inc. TXT reported second-quarter 2026 adjusted earnings of $1.62 per share, which surpassed the Zacks Consensus Estimate of $1.52 by 6.6%. The bottom line also rose 4.5% from $1.55 in the year-ago quarter. The company reported total revenues of $3.83 billion, which beat the Zacks Consensus Estimate of $3.82 billion by 0.15%. The top line also increased 3% from the year-ago quarter’s level of $3.72 billion. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Embraer-Empresa Brasileira de Aeronautica (EMBJ) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report Textron Inc. (TXT) : Free Stock Analysis Report RTX Corporation (RTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). 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Kratos Defense & Security Solutions, Inc. KTOS reported second-quarter 2026 adjusted earnings of 21 cents per share, which beat the Zacks Consensus Estimate of 13 cents by 61.5%. The bottom line also increased 90.9% from the year-ago quarter’s 11 cents. Kratos Defense reported GAAP earnings of 2 cents per share, which came in line with the year-ago quarter. Revenues of $458.8 million beat the consensus estimate of $412 million by 11.4% and increased 30.5% year over year. Kratos Government Solutions led the growth, while total organic revenues advanced 19.1%. Product sales climbed 33.5% year over year to $289.1 million. Service revenues increased 25.8% to $169.7 million. Kratos Defense & Security Solutions, Inc. price-consensus-eps-surprise-chart | Kratos Defense & Security Solutions, Inc. Quote Selling, general and administrative expenses jumped 35.5% to $73.3 million. Research and development expenses rose 33.3% to $13.6 million.Amortization of intangible assets increased to $10.1 million from $2.8 million, while depreciation rose to $3.9 million from $3 million. Kratos recorded an operating loss of $1.6 million against the operating income of $3.7 million a year earlier. Unmanned Systems: Revenues from this segment totaled $79.1 million compared with $73.2 million in the year-ago quarter. The increase was primarily driven by Valkyrie-related activity.Kratos Government Solutions: Revenues from this segment amounted to $379.7 million compared with $278.3 million in the year-ago quarter. This rise was due to organic revenue growth across its Defense and Rocket Support business, Turbine Technologies and Microwave Products and Space, Training and Cyber businesses, with organic revenue growth rates of 50.2%, 43.3%, 29.5% and 8.7%, respectively, year over year. As of June 28, 2026, cash and cash equivalents totaled $1.44 billion, up from $0.56 billion as of Dec. 28, 2025.The company reported other current liabilities of $19.9 million as of June 28, 2026 compared with $9 million recorded as of Dec. 28, 2025.The net cash used in operating activities amounted to $38.4 million during the first six months of 2026 compared with $40.9 million in the same period of 2025. Consolidated bookings totaled $492.2 million in the second quarter, resulting in a book-to-bill ratio of 1.1. The last-12-month book-to-bill ratio was 1.3, with bookings of $1.99 billion.Backlog increased to $2.08 billion as of June 28, 2026 from $2.05 billion at the end of the first quarter. Funded backlog was $1.57 billion, while unfunded backlog totaled $512.7 million. The bid and proposal pipeline expanded to $15 billion from $14.3 billion. KTOS projects second-quarter 2026 revenues to be in the range of $460-$480 million. The Zacks Consensus Estimate for revenues is pegged at $460.3 million, which is at the lower end of the company’s guided range.Kratos raised its full-year 2026 revenue guidance to $1.75-$1.81 billion compared with the previous range of $1.7-$1.76 billion. The Zacks Consensus Estimate for revenues is pegged at $1.75 billion, which is at the lower end of the company’s guided range.Kratos Defense now expects operating cash flows to be in the range of $30-$50 million and free cash flow to be in the band of $85-$105 million for 2026. Kratos Defense currently has a Zacks Rank #4 (Sell).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. RTX Corporation’s RTX second-quarter 2026 adjusted earnings per share (EPS) of $1.89 beat the Zacks Consensus Estimate of $1.66 by 13.9%. The bottom line improved 21.1% from the year-ago quarter’s level of $1.56.Revenues rose 14.5% year over year to $24.71 billion and outpaced the consensus mark of $22.83 billion by 8.2%.Northrop Grumman Corporation NOC reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.NOC’s total sales of $10.88 billion in the second quarter outperformed the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.Textron Inc. TXT reported second-quarter 2026 adjusted earnings of $1.62 per share, which surpassed the Zacks Consensus Estimate of $1.52 by 6.6%. The bottom line also rose 4.5% from $1.55 in the year-ago quarter. The company reported total revenues of $3.83 billion, which beat the Zacks Consensus Estimate of $3.82 billion by 0.15%. The top line also increased 3% from the year-ago quarter’s level of $3.72 billion. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Kratos Defense & Security Solutions, Inc. (KTOS) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report Textron Inc. (TXT) : Free Stock Analysis Report RTX Corporation (RTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Leidos Holdings, Inc. LDOS reported second-quarter 2026 non-GAAP earnings of $3.26 per share, beating the Zacks Consensus Estimate of $2.90 by 12.4%. Earnings increased 1.6% from $3.21 in the year-ago quarter.On a GAAP basis, earnings per share were $2.81, down from $3.01 a year ago. Management attributed the year-over-year decline in GAAP results to discrete costs tied to the Entrust acquisition and the pending joint venture involving security-related businesses. Total revenues came in at $4.56 billion, up 7.2% year over year and above the Zacks Consensus Estimate of $4.36 billion by 4.5%. Organic revenues increased 3.9% to $4.41 billion.The company said revenues grew on higher customer demand for defense technology products, energy and air traffic management solutions, and intelligence mission support. Acquisition and divestiture revenues totaled $150 million compared with $9 million in the prior-year quarter.Demand remained solid in the quarter. Net bookings totaled $4.9 billion, translating into a book-to-bill ratio of 1.1. The trailing-12-month book-to-bill ratio was also 1.1, supporting year-over-year growth in both total and funded backlog. Leidos Holdings, Inc. price-consensus-eps-surprise-chart | Leidos Holdings, Inc. Quote Backlog at quarter-end was $48.71 billion, including $10.22 billion funded and $38.49 billion unfunded. Total backlog increased 5% year over year, while funded backlog jumped 44%.By segment, Intelligence & Digital backlog totaled $18.41 billion, Health was $6.61 billion, Homeland was $9.93 billion and Defense was $13.76 billion. Backlog as of July 3, 2026, included $371 million acquired through the Entrust transaction within the Homeland segment. Cost of revenues totaled $3.74 billion compared with $3.47 billion in the prior-year quarter. Selling, general and administrative expenses increased to $283 million from $217 million, while acquisition, integration and restructuring costs rose to $27 million from $2 million.Operating income was $514 million, down from $571 million in the year-ago period. The operating margin contracted to 11.3% from 13.4%. Interest expense increased to $69 million from $55 million.Adjusted EBITDA declined to $631 million from $647 million. The adjusted EBITDA margin was 13.8% compared with 15.2% a year ago. The prior-year quarter benefited from several one-time, non-operational gains, including a $25 million insurance reimbursement for legal costs. Intelligence & Digital revenues rose to $1.50 billion from $1.41 billion, supported by recent contract awards and higher Intelligence Community mission-support volumes. The segment also included $9 million of revenues from Kudu Dynamics. Non-GAAP operating margin remained unchanged at 10.1%.Health revenues declined to $1.09 billion from $1.18 billion, primarily due to lower medical disability examination volumes. Non-GAAP operating margin decreased to 23.8% from 26.3%.Homeland revenues increased to $1.02 billion from $771 million, driven by continued demand in the Air Traffic and Energy businesses. Results included $141 million from Entrust. Non-GAAP operating margin improved to 12.1% from 9.3% on a better mix of security products, improved program performance and lower indirect expenses.Defense revenues were $955 million compared with $899 million a year ago, reflecting increased demand for several defense technology product lines. Non-GAAP operating margin was 9.9% compared with 10% in the prior-year period. Cash and cash equivalents were $748 million at quarter-end compared with $1.11 billion as of Jan. 2, 2026. Long-term debt, net of the current portion, increased to $6.01 billion from $4.63 billion over the same period.Net cash provided by operating activities totaled $793 million for the quarter, up from $486 million in the prior-year period.Leidos returned $127 million to shareholders, including $72 million in share repurchases and $55 million in dividend payments. Leidos raised its 2026 revenue outlook to $18.20-$18.40 billion from the prior range of $18.00-$18.40 billion. The Zacks Consensus Estimate for revenues is pegged at $18.12 billion, which is below the company’s guided range.Non-GAAP earnings are now projected at $12.20-$12.50 per share compared with the previous range of $12.10-$12.50. The Zacks Consensus Estimate for earnings is pegged at $12.30 per share, which lies below the midpoint of the company’s guided range.The company also raised its cash flows provided by operating activities outlook to approximately $1.85 billion from approximately $1.80 billion. Leidos Holdings currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Teledyne Technologies Inc. TDY reported second-quarter 2026 adjusted earnings of $6.28 per share, which surpassed the Zacks Consensus Estimate of $5.78 by 8.7%. The bottom line also improved 20.8% from $5.20 recorded in the year-ago quarter.Total sales were $1.66 billion, which beat the Zacks Consensus Estimate of $1.57 billion by 5.9%. The top line also jumped 9.8% from $1.51 billion reported in the year-ago quarter.Northrop Grumman Corporation NOC reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.NOC’s total sales of $10.88 billion in the second quarter beat the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.AAR Corp. AIR reported fourth-quarter fiscal 2026 adjusted earnings of $1.53 per share, which topped the Zacks Consensus Estimate of $1.41 by 8.5%. The bottom line also improved 31.9% from the year-ago quarter’s level of $1.16.In the fourth quarter, AAR generated net sales of $928 million. The reported figure beat the Zacks Consensus Estimate of $892 million by 4%. The figure also increased 23% from $754.5 million recorded in the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Leidos Holdings, Inc. (LDOS) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report AAR Corp. (AIR) : Free Stock Analysis Report Teledyne Technologies Incorporated (TDY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Huntington Ingalls Industries, Inc. HII reported second-quarter 2026 earnings of $5.27 per share, up 36.5% year over year and 39.1% above the Zacks Consensus Estimate of $3.79.Revenues rose 10.9% to $3.42 billion and beat the consensus mark of $3.14 billion by 8.9%. Higher aircraft carrier, submarine and amphibious assault ship volumes drove growth.New contract awards totaled $6.7 billion, lifting backlog to $57.3 billion. Huntington Ingalls reported segmental operating income of $224 million compared with $172 million in the second quarter of 2026. The segmental operating margin expanded 100 basis points from the prior-year figure to 5.6%. Huntington Ingalls Industries, Inc. price-consensus-eps-surprise-chart | Huntington Ingalls Industries, Inc. Quote Newport News Shipbuilding remained the largest revenue contributor. Revenues increased to $1.85 billion from $1.60 billion, driven by higher aircraft carrier and submarine volumes. Segment operating income rose to $111 million from $82 million, while margin improved to 6% from 5.1% on contract adjustments, incentives and stronger volumes.Ingalls Shipbuilding revenues advanced to $845 million from $724 million, primarily due to higher amphibious assault ship volumes. Segment operating income increased to $58 million from $54 million, though margin declined to 6.9% from 7.5%.Mission Technologies revenues fell to $760 million from $791 million. Lower All-Domain Operations and Global Security volumes more than offset growth in Warfare Systems and Unmanned Systems. Segment operating income improved to $55 million from $36 million, while margin expanded to 7.2% from 4.6% on higher equity income from nuclear and environmental joint ventures. Cash flow remained pressured in the second quarter. Net cash used in operating activities was $31 million against net cash provided by operating activities of $823 million in the year-ago quarter. Free cash flow was negative $150 million against positive $730 million a year earlier. Net capital expenditures totaled $119 million in the quarter. On capital deployment, HII paid $55 million in dividends and did not repurchase shares during the quarter. The company ended June 2026 with $12 million in cash and cash equivalents and $1.7 billion in liquidity. Management reaffirmed its full-year expectations and maintained its medium-term growth framework. For 2026, HII continues to project shipbuilding revenues of $10.20-$10.40 billion with a shipbuilding operating margin of 6.0-6.5%.Mission Technologies revenues are still expected at $3.0-$3.2 billion, with segment operating margin around 5% and EBITDA margin of 8.4-8.6%.The company also reiterated free cash flow guidance of $500-$600 million and capital expenditures of 4-5% of sales. Huntington Ingalls currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Teledyne Technologies Inc. TDY reported second-quarter 2026 adjusted earnings of $6.28 per share, which surpassed the Zacks Consensus Estimate of $5.78 by 8.7%. The bottom line also improved 20.8% from $5.20 recorded in the year-ago quarter.Total sales were $1.66 billion, which beat the Zacks Consensus Estimate of $1.57 billion by 5.9%. The top line also jumped 9.8% from $1.51 billion reported in the year-ago quarter.Northrop Grumman Corporation NOC reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.NOC’s total sales of $10.88 billion in the second quarter beat the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.AAR Corp. AIR reported fourth-quarter fiscal 2026 adjusted earnings of $1.53 per share, which topped the Zacks Consensus Estimate of $1.41 by 8.5%. The bottom line also improved 31.9% from the year-ago quarter’s level of $1.16.In the fourth quarter, AAR generated net sales of $928 million. The reported figure beat the Zacks Consensus Estimate of $892 million by 4%. The figure also increased 23% from $754.5 million recorded in the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Huntington Ingalls Industries, Inc. (HII) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report AAR Corp. (AIR) : Free Stock Analysis Report Teledyne Technologies Incorporated (TDY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Hexcel Corporation HXL reported second-quarter 2026 adjusted earnings of 66 cents per share, which improved 32% from the year-ago quarter’s figure of 50 cents. The bottom line also surpassed the Zacks Consensus Estimate of 56 cents by 17.9%.The company reported GAAP earnings of 64 cents per share, which surpassed the year-ago quarter’s earnings of 17 cents. The company’s net sales totaled $529.3 million, which beat the Zacks Consensus Estimate of $522 million by 1.5%. The top line also witnessed an improvement of 8% from the year-ago quarter’s figure of $489.9 million. Hexcel Corporation price-consensus-eps-surprise-chart | Hexcel Corporation Quote Hexcel's gross margin was 26.1%, which increased 330 basis points from the prior-year quarter. The improvement can be attributed to favorable cost leverage driven by higher sales.Selling, general and administrative expenses increased 9.8% year over year to $47.2 million.Meanwhile, research and development expenses rose 21% year over year to $17.3 million.HXL’s adjusted operating income was $72.6 million compared with $30 million in the year-ago period. Commercial Aerospace: Net sales increased 18.3% year over year to $346.6 million, driven by sales growth from Airbus A350, as well as Boeing 787 programs. This market contributed 66% to total revenues in the first half of 2026.Defense, Space & Other: Net sales decreased 7.2% year over year to $182.7 million due to the divestment of the Austrian-based industrial business. This market contributed 34% to total revenues in the first half of 2026. As of June 30, 2026, Hexcel’s cash and cash equivalents were $62.2 million compared with $71 million as of Dec. 31, 2025.The company’s long-term debt totaled $959.4 million as of June 30, 2026, down from $993 million as of 2025-end.HXL’s cash flow from operating activities was $96.7 million against a cash outflow of $5.2 million in the prior year. Hexcel expects to generate sales in the range of $2.03-$2.13 billion for 2026. The Zacks Consensus Estimate is pegged at $2.08 billion, which lies above the midpoint of the company’s sales guidance.HXL also expects its adjusted earnings per share to be in the range of $2.30-$2.40 for 2026. The Zacks Consensus Estimate is currently pegged at $2.26 per share, which is below the company’s guided range.Hexcel expects to generate a free cash flow of more than $195 million in 2026. It also expects capital expenditure to be less than $100 million. Hexcel currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Teledyne Technologies Inc. TDY reported second-quarter 2026 adjusted earnings of $6.28 per share, which surpassed the Zacks Consensus Estimate of $5.78 by 8.7%. The bottom line also improved 20.8% from $5.20 recorded in the year-ago quarter.Total sales were $1.66 billion, which beat the Zacks Consensus Estimate of $1.57 billion by 5.9%. The top line also jumped 9.8% from $1.51 billion reported in the year-ago quarter.Northrop Grumman Corporation NOC reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.NOC’s total sales of $10.88 billion in the second quarter beat the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.AAR Corp. AIR reported fourth-quarter fiscal 2026 adjusted earnings of $1.53 per share, which topped the Zacks Consensus Estimate of $1.41 by 8.5%. The bottom line also improved 31.9% from the year-ago quarter’s level of $1.16.In the fourth quarter, AAR generated net sales of $928 million. The reported figure beat the Zacks Consensus Estimate of $892 million by 4%. The figure also increased 23% from $754.5 million recorded in the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Hexcel Corporation (HXL) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report AAR Corp. (AIR) : Free Stock Analysis Report Teledyne Technologies Incorporated (TDY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

L3Harris Technologies, Inc. LHX reported second-quarter 2026 earnings (from continuing operations) of $3.13 per share, which outpaced the Zacks Consensus Estimate of $2.80 by 11.8%. The bottom line also increased 12.6% from the year-ago quarter’s $2.78. L3Harris’ revenues totaled $5.88 billion, which topped the Zacks Consensus Estimate of $5.79 billion by 1.5%. The top line also improved 8.4% from the year-ago quarter’s $5.43 billion.The year-over-year increase in the top line was driven by growth across all segments, reflecting new program ramp-up and strong execution against a record backlog. L3Harris Technologies Inc price-consensus-eps-surprise-chart | L3Harris Technologies Inc Quote Space & Mission Systems revenues increased 7% to $2.97 billion. The segment’s operating income edged up to $290 million from $289 million.The operating margin declined 60 basis points to 9.8%. Improved program execution and a $23 million net gain from segment investments were outweighed by the absence of a $75 million asset-sale gain recognized in the prior-year quarter.Communications & Spectrum Dominance revenues advanced 4% to $1.94 billion. Segment operating income climbed 14% to $522 million.The operating margin expanded 230 basis points to 26.9%. Higher international volumes and a $16 million net segment investment gain supported profitability. Missile Solutions revenues rose 14% to $1.05 billion. Operating income increased to $130 million from $116 million. However, the operating margin contracted 20 basis points to 12.3% because the year-ago quarter included a favorable contract resolution. As of July 3, 2026, L3Harris had $1.52 billion in cash and cash equivalents compared with $1.07 billion as of Jan. 2, 2026.The long-term debt as of the same date was $9.18 billion compared with $10.44 billion as of Jan. 2, 2026.The net cash provided by operating activities was $784 million during the first six months of 2026 compared with $598 million in the prior-year period. L3Harris raised its 2026 revenue outlook to $23.2-$23.7 billion from $23-$23.5 billion. The Zacks Consensus Estimate for 2026 revenues is pegged at $23.55 billion, which is higher than the midpoint of the company’s guided range.LHX now expects earnings of $11.80-$12 per share, up from its previous projection of $11.40-$11.60. The Zacks Consensus for 2026 earnings is pegged at $11.54 per share, which is lower than the company’s guided range.It continues to anticipate adjusted free cash flow of $3 billion and $3.6 billion in operating cash flow.Space & Mission Systems revenues are projected at nearly $11.7 billion, above the prior estimate of $11.5 billion. Communications & Spectrum Dominance revenues are expected to be about $8 billion, while Missile Solutions revenues are forecast at roughly $4.1 billion. L3Harris currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Northrop Grumman Corporation NOC reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.NOC’s total sales of $10.88 billion in the second quarter outperformed the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.RTX Corporation’s RTX second-quarter 2026 adjusted earnings per share (EPS) of $1.89 beat the Zacks Consensus Estimate of $1.66 by 13.9%. The bottom line improved 21.1% from the year-ago quarter’s level of $1.56.Revenues rose 14.5% year over year to $24.71 billion and outpaced the consensus mark of $22.83 billion by 8.2%.Textron Inc. TXT reported second-quarter 2026 adjusted earnings of $1.62 per share, which surpassed the Zacks Consensus Estimate of $1.52 by 6.6%. The bottom line also rose 4.5% from $1.55 in the year-ago quarter. The company reported total revenues of $3.83 billion, which beat the Zacks Consensus Estimate of $3.82 billion by 0.15%. The top line also increased 3% from the year-ago quarter’s level of $3.72 billion. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report L3Harris Technologies Inc (LHX) : Free Stock Analysis Report Northrop Grumman Corporation (NOC) : Free Stock Analysis Report Textron Inc. (TXT) : Free Stock Analysis Report RTX Corporation (RTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research