NOC Stock Analysis: Northrop Grumman | NYSE
Aerospace & Defense | NYSE, USA | Market Cap: 74.623m USD | 12M Return: -4.7% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 532M
EPS Trend: 73.3%
Qual. Beats: 0
Rev. Trend: 90.0%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Northrop Grumman Corporation (NYSE: NOC) is a major U.S. aerospace and defense technology company headquartered in Falls Church, Virginia, and founded in 1939. It operates through four business segments: Aeronautics Systems, Defense Systems, Mission Systems, and Space Systems. The company designs, develops, and produces a broad portfolio of products including military aircraft, autonomous unmanned systems, strategic missiles and missile defense solutions, radar and electronic warfare systems, satellites, spacecraft, and launch vehicles. It serves customers in the United States, Asia/Pacific, Europe, and other international markets.
The company operates in the Aerospace & Defense sub-industry (GICS Industrials sector), which is characterized by long-term government contracts, particularly with the U.S. Department of Defense, and high barriers to entry due to stringent regulatory and security requirements. Northrop Grummans business model relies on a mix of prime contracting and systems integration across air, land, sea, space, and cyber domains, with revenue largely tied to U.S. national defense spending and allied nations military procurement.
- B-21 Raider production ramp accelerates Aeronautics revenue growth
- Sentinel ICBM cost growth pressures segment profit margins
- Space Systems backlog expands on missile defense and satellite awards
| Net Income: 4.50b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 4.54 > 1.0 |
| NWC/Revenue: 5.23% < 20% (prev 0.97%; Δ 4.27% < -1%) |
| CFO/TA 0.10 > 3% & CFO 5.08b > Net Income 4.50b |
| Net Debt (15.9b) to EBITDA (5.84b): 2.72 < 3 |
| Current Ratio: 1.17 > 1.5 & < 3 |
| Outstanding Shares: last quarter (142.4m) vs 12m ago -1.11% < -2% |
| Gross Margin: 20.06% > 18% (prev 19.33%; Δ 0.73% > 0.5%) |
| Asset Turnover: 85.60% > 50% (prev 81.90%; Δ 3.70% > 0%) |
| Interest Coverage Ratio: 6.63 > 6 (EBIT TTM 4.37b / Interest Expense TTM 659.0m) |
| A: 0.04 (Total Current Assets 15.6b - Total Current Liabilities 13.3b) / Total Assets 50.8b |
| B: 0.35 (Retained Earnings 17.8b / Total Assets 50.8b) |
| C: 0.09 (EBIT TTM 4.37b / Avg Total Assets 50.1b) |
| D: 0.54 (Book Value of Equity 17.9b / Total Liabilities 32.9b) |
| Altman-Z'' = 2.59 = A |
| DSRI: 1.04 (Receivables 10.3b/9.33b, Revenue 42.9b/40.5b) |
| GMI: 0.96 (GM 19.33% / 20.06%) |
| AQI: 0.96 (AQ_t 0.45 / AQ_t-1 0.47) |
| SGI: 1.06 (Revenue 42.9b / 40.5b) |
| TATA: -0.01 (NI 4.50b - CFO 5.08b) / TA 50.8b) |
| Beneish M = -3.01 (Cap -4..+1) = AA |
As of July 24, 2026, the stock is trading at USD 533.48 with a total of 1,083,308 shares traded. Over the past week, the price has changed by +2.86%, over one month by +3.95%, over three months by -8.82% and over the past year by -4.69%.
Current recommended Stop Loss: 513.70 (which is 3.7% or 1.2 ATR below the current price).
Northrop Grumman has received a consensus analysts rating of 3.96. Therefore, it is recommended to buy NOC.
- StrongBuy: 10
- Buy: 4
- Hold: 11
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 649.9 | 21.8% |
P/E Trailing = 16.0538
P/E Forward = 18.315
P/S = 1.7398
P/B = 4.2523
P/EG = 3.8158
Revenue TTM = 42.9b USD
EBIT TTM = 4.37b USD
EBITDA TTM = 5.84b USD
Long Term Debt = 15.2b USD (from longTermDebt, last fiscal year)
Short Term Debt = 865.0m USD (from shortTermDebt, last fiscal year)
Debt = 18.2b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.91b
Net Debt = 15.9b USD (calculated: Debt 18.2b - CCE 2.31b)
Enterprise Value = 90.5b USD (74.6b + Debt 18.2b - CCE 2.31b)
Interest Coverage Ratio = 6.63 (Ebit TTM 4.37b / Interest Expense TTM 659.0m)
EV/FCF = 24.82x (Enterprise Value 90.5b / FCF TTM 3.65b)
FCF Yield = 4.03% (FCF TTM 3.65b / Enterprise Value 90.5b)
FCF Margin = 8.50% (FCF TTM 3.65b / Revenue TTM 42.9b)
Net Margin = 10.48% (Net Income TTM 4.50b / Revenue TTM 42.9b)
Gross Margin = 20.06% ((Revenue TTM 42.9b - Cost of Revenue TTM 34.3b) / Revenue TTM)
Gross Margin QoQ = 19.50% (prev 19.84%)
Tobins Q-Ratio = 1.78 (Enterprise Value 90.5b / Total Assets 50.8b)
Interest Expense / Debt = 3.62% (Interest Expense 659.0m / Debt 18.2b)
Taxrate = 14.54% (765.0m / 5.26b)
NOPAT = 3.73b (EBIT 4.37b * (1 - 14.54%))
Current Ratio = 1.17 (Total Current Assets 15.6b / Total Current Liabilities 13.3b)
Debt / Equity = 1.02 (Debt 18.2b / totalStockholderEquity, last quarter 17.9b)
Debt / EBITDA = 2.72 (Net Debt 15.9b / EBITDA 5.84b)
Debt / FCF = 4.36 (Net Debt 15.9b / FCF TTM 3.65b)
Total Stockholder Equity = 16.9b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.97% (Net Income 4.50b / Total Assets 50.8b)
RoE = 26.58% (Net Income TTM 4.50b / Total Stockholder Equity 16.9b)
RoCE = 13.61% (EBIT 4.37b / Capital Employed (Equity 16.9b + L.T.Debt 15.2b))
RoIC = 10.33% (NOPAT 3.73b / Invested Capital 36.1b)
WACC = 4.85% (E(74.6b)/V(92.8b) * Re(5.28%) + D(18.2b)/V(92.8b) * Rd(3.62%) * (1-Tc(0.15)))
Discount Rate = 5.28% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -96.57 | Cagr: -2.08%
[DCF] Terminal Value 77.97% ; FCFF base≈2.71b ; Y1≈3.11b ; Y5≈4.57b
[DCF] Fair Price = 372.6 (EV 68.8b - Net Debt 15.9b = Equity 52.9b / Shares 142.1m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 73.31 | EPS CAGR: 6.09% | SUE: 0.62 | # QB: 0
Revenue Correlation: 90.03 | Revenue CAGR: 2.97% | SUE: 0.27 | # QB: 0
EPS current Quarter (2026-09-30): EPS=7.18 | Chg30d=+2.60% | Revisions=+0% | Analysts=9
EPS current Year (2026-12-31): EPS=28.90 | Chg30d=+3.43% | Revisions=+25% | GrowthEPS=+9.7% | GrowthRev=+5.0%
EPS next Year (2027-12-31): EPS=30.36 | Chg30d=+0.75% | Revisions=+25% | GrowthEPS=+5.1% | GrowthRev=+6.7%
[Analyst] Revisions Ratio: +29% (up=3, down=1)