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NOC vs. TXT: A Head-to-Head Stock Comparison

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Here’s a clear look at NOC and TXT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolNOCTXT
Company NameNorthrop Grumman CorporationTextron Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryAerospace & DefenseAerospace & Defense
Market Capitalization87.28 billion USD15.48 billion USD
ExchangeNYSENYSE
Listing DateDecember 31, 1981February 21, 1973
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of NOC and TXT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

NOC vs. TXT: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolNOCTXT
5-Day Price Return2.62%3.36%
13-Week Price Return20.89%5.62%
26-Week Price Return19.05%20.21%
52-Week Price Return13.11%-0.15%
Month-to-Date Return0.04%2.79%
Year-to-Date Return29.89%13.54%
10-Day Avg. Volume0.66M1.35M
3-Month Avg. Volume0.77M1.50M
3-Month Volatility22.26%23.81%
Beta0.051.03

Profitability

Return on Equity (TTM)

NOC

26.09%

Aerospace & Defense Industry

Max
37.11%
Q3
20.14%
Median
11.72%
Q1
6.30%
Min
-6.24%

In the upper quartile for the Aerospace & Defense industry, NOC’s Return on Equity of 26.09% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

TXT

11.31%

Aerospace & Defense Industry

Max
37.11%
Q3
20.14%
Median
11.72%
Q1
6.30%
Min
-6.24%

TXT’s Return on Equity of 11.31% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

NOC vs. TXT: A comparison of their Return on Equity (TTM) against the Aerospace & Defense industry benchmark.

Net Profit Margin (TTM)

NOC

9.74%

Aerospace & Defense Industry

Max
13.66%
Q3
8.61%
Median
6.59%
Q1
4.92%
Min
1.01%

A Net Profit Margin of 9.74% places NOC in the upper quartile for the Aerospace & Defense industry, signifying strong profitability and more effective cost management than most of its peers.

TXT

5.80%

Aerospace & Defense Industry

Max
13.66%
Q3
8.61%
Median
6.59%
Q1
4.92%
Min
1.01%

TXT’s Net Profit Margin of 5.80% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

NOC vs. TXT: A comparison of their Net Profit Margin (TTM) against the Aerospace & Defense industry benchmark.

Operating Profit Margin (TTM)

NOC

10.39%

Aerospace & Defense Industry

Max
22.35%
Q3
12.83%
Median
9.29%
Q1
6.38%
Min
-2.15%

NOC’s Operating Profit Margin of 10.39% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

TXT

5.50%

Aerospace & Defense Industry

Max
22.35%
Q3
12.83%
Median
9.29%
Q1
6.38%
Min
-2.15%

TXT’s Operating Profit Margin of 5.50% is in the lower quartile for the Aerospace & Defense industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

NOC vs. TXT: A comparison of their Operating Profit Margin (TTM) against the Aerospace & Defense industry benchmark.

Profitability at a Glance

SymbolNOCTXT
Return on Equity (TTM)26.09%11.31%
Return on Assets (TTM)8.07%4.85%
Net Profit Margin (TTM)9.74%5.80%
Operating Profit Margin (TTM)10.39%5.50%
Gross Profit Margin (TTM)19.33%19.73%

Financial Strength

Current Ratio (MRQ)

NOC

1.04

Aerospace & Defense Industry

Max
3.35
Q3
2.03
Median
1.24
Q1
1.04
Min
0.77

NOC’s Current Ratio of 1.04 falls into the lower quartile for the Aerospace & Defense industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

TXT

1.70

Aerospace & Defense Industry

Max
3.35
Q3
2.03
Median
1.24
Q1
1.04
Min
0.77

TXT’s Current Ratio of 1.70 aligns with the median group of the Aerospace & Defense industry, indicating that its short-term liquidity is in line with its sector peers.

NOC vs. TXT: A comparison of their Current Ratio (MRQ) against the Aerospace & Defense industry benchmark.

Debt-to-Equity Ratio (MRQ)

NOC

1.02

Aerospace & Defense Industry

Max
1.72
Q3
0.96
Median
0.63
Q1
0.37
Min
0.03

NOC’s leverage is in the upper quartile of the Aerospace & Defense industry, with a Debt-to-Equity Ratio of 1.02. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

TXT

0.50

Aerospace & Defense Industry

Max
1.72
Q3
0.96
Median
0.63
Q1
0.37
Min
0.03

TXT’s Debt-to-Equity Ratio of 0.50 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NOC vs. TXT: A comparison of their Debt-to-Equity Ratio (MRQ) against the Aerospace & Defense industry benchmark.

Interest Coverage Ratio (TTM)

NOC

9.08

Aerospace & Defense Industry

Max
36.57
Q3
19.08
Median
7.25
Q1
2.65
Min
-7.63

NOC’s Interest Coverage Ratio of 9.08 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

TXT

10.72

Aerospace & Defense Industry

Max
36.57
Q3
19.08
Median
7.25
Q1
2.65
Min
-7.63

TXT’s Interest Coverage Ratio of 10.72 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

NOC vs. TXT: A comparison of their Interest Coverage Ratio (TTM) against the Aerospace & Defense industry benchmark.

Financial Strength at a Glance

SymbolNOCTXT
Current Ratio (MRQ)1.041.70
Quick Ratio (MRQ)0.850.71
Debt-to-Equity Ratio (MRQ)1.020.50
Interest Coverage Ratio (TTM)9.0810.72

Growth

Revenue Growth

NOC vs. TXT: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

NOC vs. TXT: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

NOC

1.41%

Aerospace & Defense Industry

Max
2.72%
Q3
1.45%
Median
0.48%
Q1
0.08%
Min
0.00%

NOC’s Dividend Yield of 1.41% is consistent with its peers in the Aerospace & Defense industry, providing a dividend return that is standard for its sector.

TXT

0.07%

Aerospace & Defense Industry

Max
2.72%
Q3
1.45%
Median
0.48%
Q1
0.08%
Min
0.00%

TXT’s Dividend Yield of 0.07% is in the lower quartile for the Aerospace & Defense industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

NOC vs. TXT: A comparison of their Dividend Yield (TTM) against the Aerospace & Defense industry benchmark.

Dividend Payout Ratio (TTM)

NOC

31.28%

Aerospace & Defense Industry

Max
110.40%
Q3
50.43%
Median
17.11%
Q1
0.46%
Min
0.00%

NOC’s Dividend Payout Ratio of 31.28% is within the typical range for the Aerospace & Defense industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

TXT

1.85%

Aerospace & Defense Industry

Max
110.40%
Q3
50.43%
Median
17.11%
Q1
0.46%
Min
0.00%

TXT’s Dividend Payout Ratio of 1.85% is within the typical range for the Aerospace & Defense industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

NOC vs. TXT: A comparison of their Dividend Payout Ratio (TTM) against the Aerospace & Defense industry benchmark.

Dividend at a Glance

SymbolNOCTXT
Dividend Yield (TTM)1.41%0.07%
Dividend Payout Ratio (TTM)31.28%1.85%

Valuation

Price-to-Earnings Ratio (TTM)

NOC

22.12

Aerospace & Defense Industry

Max
67.20
Q3
55.74
Median
33.28
Q1
27.49
Min
15.02

In the lower quartile for the Aerospace & Defense industry, NOC’s P/E Ratio of 22.12 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

TXT

18.95

Aerospace & Defense Industry

Max
67.20
Q3
55.74
Median
33.28
Q1
27.49
Min
15.02

In the lower quartile for the Aerospace & Defense industry, TXT’s P/E Ratio of 18.95 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

NOC vs. TXT: A comparison of their Price-to-Earnings Ratio (TTM) against the Aerospace & Defense industry benchmark.

Price-to-Sales Ratio (TTM)

NOC

2.15

Aerospace & Defense Industry

Max
9.06
Q3
4.87
Median
2.47
Q1
1.61
Min
0.33

NOC’s P/S Ratio of 2.15 aligns with the market consensus for the Aerospace & Defense industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

TXT

1.10

Aerospace & Defense Industry

Max
9.06
Q3
4.87
Median
2.47
Q1
1.61
Min
0.33

In the lower quartile for the Aerospace & Defense industry, TXT’s P/S Ratio of 1.10 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

NOC vs. TXT: A comparison of their Price-to-Sales Ratio (TTM) against the Aerospace & Defense industry benchmark.

Price-to-Book Ratio (MRQ)

NOC

4.65

Aerospace & Defense Industry

Max
14.90
Q3
8.93
Median
4.70
Q1
3.03
Min
0.83

NOC’s P/B Ratio of 4.65 is within the conventional range for the Aerospace & Defense industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

TXT

1.95

Aerospace & Defense Industry

Max
14.90
Q3
8.93
Median
4.70
Q1
3.03
Min
0.83

TXT’s P/B Ratio of 1.95 is in the lower quartile for the Aerospace & Defense industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

NOC vs. TXT: A comparison of their Price-to-Book Ratio (MRQ) against the Aerospace & Defense industry benchmark.

Valuation at a Glance

SymbolNOCTXT
Price-to-Earnings Ratio (TTM)22.1218.95
Price-to-Sales Ratio (TTM)2.151.10
Price-to-Book Ratio (MRQ)4.651.95
Price-to-Free Cash Flow Ratio (TTM)27.8920.92