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Here's How Much You'd Have If You Invested $1000 in Northrop Grumman a Decade Ago
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How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Northrop Grumman (NOC - Free Report) ten years ago? It may not have been easy to hold on to NOC for all that time, but if you did, how much would your investment be worth today?
Northrop Grumman's Business In-Depth
With that in mind, let's take a look at Northrop Grumman's main business drivers.
Originally formed in 1939 as Northrop Aircraft Incorporated and reincorporated in Delaware in 1985 as Northrop Corporation was a principal developer of flying wing technology. In 1994, the company acquired Grumman Corporation (Grumman), after which the company was renamed Northrop Grumman Corporation. Currently, this global security company supplies a broad array of products and services to the U.S. Department of Defense (DoD) including electronic systems, information technology, aircraft, space technology and systems integration services. Northrop Grumman has realigned its business units effective January 2020.Northrop Grumman's Aeronautics Systems unit focuses on the development, integration, production and support of manned aircraft and autonomous systems. In 2022, revenues came in at $10,531 million, contributing 28.9% to the company’s total revenues.
Its Defense Systems unit focuses on mission readiness along with battle management and missile systems. In 2022, revenues came in at $5,579 million, contributing 15.2% to the company’s total revenues.
The company's Mission Systems unit includes airborne sensors and networks, cyber and intelligence mission solutions, maritime/land systems and sensors, along with navigation, targeting and survivability. In 2022, revenues came in at $10,396 million, contributing 28.4% to the company’s total revenues.
Its Space Systems unit focuses on launch and strategic missiles as well as varied space related products that Northrop manufactures. In 2022, revenues came in at $12,275 million, contributing 33.5% to the company’s total revenues. However, total revenues of $36,602 million in 2022 were adjusted for inter-segment eliminations of up to $2,179 million.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Northrop Grumman ten years ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in April 2013 would be worth $6,556.23, or a gain of 555.62%, as of April 13, 2023, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 157.54% and gold's return of 23.93% over the same time frame.
Analysts are anticipating more upside for NOC.
Northrop Grumman ended the fourth quarter on a solid note, with sales and earnings surpassing the respective Zacks Consensus Estimate. It continues to witness strong demand for its products, driven by programs like F-35, Triton and SABR radar Global Hawk. Solid U.S. budgetary provisions make one confident about a solid contract inflow from Pentagon for it. It also holds a strong solvency position. Its shares have outperformed the industry in the past year. However, a comparative analysis of the stock’s trailing 12-month EV/Sales ratio reflects a relatively gloomy picture. The prolonged impact of COVID-19 may cause extended disruptions in its supply chain. Rising inflation across the United States might also hurt the stock. It expects further impacts related to the conflict in Ukraine and economic sanctions imposed on Russia.
The stock has jumped 5.32% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 1 higher, for fiscal 2023; the consensus estimate has moved up as well.
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Here's How Much You'd Have If You Invested $1000 in Northrop Grumman a Decade Ago
How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Northrop Grumman (NOC - Free Report) ten years ago? It may not have been easy to hold on to NOC for all that time, but if you did, how much would your investment be worth today?
Northrop Grumman's Business In-Depth
With that in mind, let's take a look at Northrop Grumman's main business drivers.
Originally formed in 1939 as Northrop Aircraft Incorporated and reincorporated in Delaware in 1985 as Northrop Corporation was a principal developer of flying wing technology. In 1994, the company acquired Grumman Corporation (Grumman), after which the company was renamed Northrop Grumman Corporation. Currently, this global security company supplies a broad array of products and services to the U.S. Department of Defense (DoD) including electronic systems, information technology, aircraft, space technology and systems integration services. Northrop Grumman has realigned its business units effective January 2020.Northrop Grumman's Aeronautics Systems unit focuses on the development, integration, production and support of manned aircraft and autonomous systems. In 2022, revenues came in at $10,531 million, contributing 28.9% to the company’s total revenues.
Its Defense Systems unit focuses on mission readiness along with battle management and missile systems. In 2022, revenues came in at $5,579 million, contributing 15.2% to the company’s total revenues.
The company's Mission Systems unit includes airborne sensors and networks, cyber and intelligence mission solutions, maritime/land systems and sensors, along with navigation, targeting and survivability. In 2022, revenues came in at $10,396 million, contributing 28.4% to the company’s total revenues.
Its Space Systems unit focuses on launch and strategic missiles as well as varied space related products that Northrop manufactures. In 2022, revenues came in at $12,275 million, contributing 33.5% to the company’s total revenues.
However, total revenues of $36,602 million in 2022 were adjusted for inter-segment eliminations of up to $2,179 million.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Northrop Grumman ten years ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in April 2013 would be worth $6,556.23, or a gain of 555.62%, as of April 13, 2023, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 157.54% and gold's return of 23.93% over the same time frame.
Analysts are anticipating more upside for NOC.
Northrop Grumman ended the fourth quarter on a solid note, with sales and earnings surpassing the respective Zacks Consensus Estimate. It continues to witness strong demand for its products, driven by programs like F-35, Triton and SABR radar Global Hawk. Solid U.S. budgetary provisions make one confident about a solid contract inflow from Pentagon for it. It also holds a strong solvency position. Its shares have outperformed the industry in the past year. However, a comparative analysis of the stock’s trailing 12-month EV/Sales ratio reflects a relatively gloomy picture. The prolonged impact of COVID-19 may cause extended disruptions in its supply chain. Rising inflation across the United States might also hurt the stock. It expects further impacts related to the conflict in Ukraine and economic sanctions imposed on Russia.
The stock has jumped 5.32% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 1 higher, for fiscal 2023; the consensus estimate has moved up as well.