The southern terminus is in Albemarle, from which it runs northeast into the town of Badin, then turns northwest to terminate in New London.

The entire 12.8 miles (20.6 km) route lies within Stanly County.

NC 740 is a two-lane rural highway; starting in Albemarle, it goes northeast to the factory town of Badin.

NC 740 through Badin is decorated with many town banners and street lights; most of the stoplights are found on the street corners rather than suspended from overhead wires.

After it goes through the town, NC 740 skirts along the banks of Badin Lake before going northwest to New London, where it ends.