# Northrop Grumman Corporation (NOC) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Industrials / Aerospace & Defense. Price $514.98, market value $73.2 billion.

## Valuation
- **P/E (trailing): 16.4×** (5-yr avg 18.7×, 3-yr avg 22.9×). Northrop Grumman Corporation trades at 16.4× trailing earnings, close to its own five-year average of 18.7×. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 16.9×, higher than trailing, so analysts expect earnings to fall.
- **PEG: 6.48**. A PEG of 6.48 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 1.7×**. Each dollar of revenue is priced at 1.7×.
- **Price / book: 4.1×**. The shares trade at 4.1× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 13.8×**. Enterprise value is 13.8× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 5.0%** (5-yr avg 3.3%). Free cash flow equals 5.0% of the market value, above its five-year average of 3.3%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 6.1%**. The inverse of the P/E: 6.1% of the price is earned each year.

## Profitability
- **Operating margin: 10.7%**. 10.7% of revenue is left after running the business.
- **Net margin: 10.0%**. 10.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 25.1%**. 25.1% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 13.0%**. Return on all capital, debt included, is 13.0%.
- **Return on assets: 8.8%**. Each dollar of assets produces 8.8% of profit.

## Growth
- **Revenue growth (1 yr): 2.2%** (3-yr 4.7%/yr, 5-yr 2.7%/yr). Revenue grew 2.2% over the last year, against 2.7% a year compounded over five years.
- **EPS growth (1 yr): 2.6%** (3-yr -2.6%/yr, 5-yr 8.9%/yr). Earnings per share rose 2.6%, roughly in step with revenue.
- **Free-cash-flow growth (3 yr): 31.1%/yr**. Free cash flow has compounded at 31.1% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.94**. Debt is 0.94 times equity, moderate leverage.
- **Net debt / EBITDA: 1.8×**. It would take 1.8 years of operating earnings to repay net borrowings, within the comfortable range.
- **Altman Z-score: 2.83**. A Z-score of 2.83 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 1.92%** ($9.40 per share, trailing). Northrop Grumman Corporation yields 1.92%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 31%** (37% of free cash flow). 31% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 26**. 26 straight years of increases (the data covers 26 years, so this may be longer): a record very few companies hold.
- **Dividend growth (5 yr): 9.7%/yr** (1-yr 11.7%). The dividend has grown 9.7% a year over five years.

## Analyst view
- **Analyst consensus: buy** (21 analysts). 21 analysts cover Northrop Grumman Corporation; the consensus is buy, with an average price target of $647.14 (+26% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -10.1%** (YTD -9.0%, 3-mo -5.4%). The shares are down 10.1% over twelve months including dividends.
- **From 52-week high: -33.5%** (7.5% above the low). Trading 33% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 34**. An RSI of 34 is neutral.
- **Beta (1 yr): 0.08** (volatility 27%). Beta of 0.08 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=NOC · Page: https://foliofundamentals.com/stocks/noc

Not investment advice.