Northrop Grumman Corporation

Valuation Analysis

About the Company

Northrop Grumman Corporation operates as an aerospace and defense technology company in the United States, Asia/Pacific, Europe, and internationally. It operates through four segments: Aeronautics Systems, Defense Systems, Mission Systems and Space Systems. The Aeronautics Systems segment designs, develops, produces, integrates, sustains, and modernizes aircraft systems. This segment also offers unmanned autonomous aircraft systems, including high-altitude long-endurance strategic, surveillance and reconnaissance systems; and strategic long-range strike aircraft, tactical fighter and air dominance aircraft, and airborne battle management and command and control systems. Its Defense Systems segment designs, develops, integrates, and produces strategic deterrent systems, tactical weapons, an

Northrop Grumman Corporation Stock at a Glance

Northrop Grumman Corporation (NOC) is currently trading at $550.33 with a market capitalization of $78.2B. The trailing P/E ratio stands at 17.24x, with a forward P/E of 18.26x. The 52-week range spans from $481.28 to $774.00; the current price is 28.9% below the yearly high. Year-over-year revenue growth stands at +4.4%. The net profit margin stands at 10.8%.

💰 Dividend

Northrop Grumman Corporation pays an annual dividend of $9.40 per share, representing a yield of 1.71%. The payout ratio stands at 28.97%.

📊 Analyst Rating

21 analysts rate Northrop Grumman Corporation (NOC) on consensus: Buy. The average price target is $696.95, implying +26.64% from the current price. Analyst price targets range from $603.00 to $815.00.

Northrop Grumman Corporation: The Investment Case in Detail

Northrop Grumman Corporation (NOC) operates in the Industrials — specifically Aerospace & Defense — and is headquartered in United States. Below is a structured read of the investment case built directly from the latest fundamentals, valuation multiples, analyst positioning and smart-money flows. Each section translates raw numbers into the investment logic they imply, so you can decide whether the risk/reward fits your portfolio.

The Bull Case

Earnings growth of 84.9% is outpacing revenue, a sign of operational leverage — fixed costs are being absorbed across a larger base. Return on equity of 28.51% places management among the most capital-efficient operators in the public market — every euro of shareholder capital is working hard. Wall Street consensus sits at Buy with an average price target implying roughly 26.64% upside from current levels — analyst sentiment is firmly constructive.

The Bear Case

Revenue growth has slowed to just 4.4%, which is below nominal GDP — the business is no longer outgrowing the broader economy.

Valuation in Context

At a PEG of 4.1, investors are paying more than three times the growth rate for each unit of earnings — that pricing assumes growth not only continues but accelerates from here.

What to Watch Next

• The price sits in the lower quartile of the 52-week range — value hunters often start scaling in around this zone if fundamentals hold.
• The analyst consensus price target implies 26.64% upside — if the next two quarters confirm the underlying thesis, target hikes typically follow.

Investment Thesis: Strengths & Weaknesses

Technical Snapshot

Price is below both the 50- and 200-day moving averages, with 50d below 200d — a bearish picture (death-cross alignment).

Risk Profile

The data points to higher leverage relative to equity.

Trading Data

💵 Dividend Info

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