This valuation method assumes that the stock valuation will revert to its historical (10-Year) mean in terms of PS Ratio. The reason we use PS Ratio instead of PE Ratio or PB Ratio is because PS Ratio is independent of profit margin, and can be applied to a broader range of situations.
Median PS Value is calculated as trailing twelve months (TTM) Revenue per Share times 10-Year median PS Ratio. Northrop Grumman's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $258.608. Northrop Grumman's 10-Year median PS Ratio is 1.7304. Therefore, the Median PS Value for today is $447.50.
As of today (2024-04-25), Northrop Grumman's share price is $474.57. Northrop Grumman's Median PS Value is $447.50. Therefore, Northrop Grumman's Price to Median PS Value for today is 1.06.
The historical rank and industry rank for Northrop Grumman's Median PS Value or its related term are showing as below:
NOC'
s Price-to-Median-PS-Value Range Over the Past 10 Years
Min: 0.93 Med: 1.34 Max: 2.77
Current: 1.06
During the past 13 years, the highest Price to Median PS Value of Northrop Grumman was 2.77. The lowest was 0.93. And the median was 1.34.
NOC's Price-to-Median-PS-Value is ranked better than 57.41% of 162
companies
in the Aerospace & Defense industry
Industry Median: 1.2
vs NOC: 1.06
Northrop Grumman Median PS Value Historical Data
The historical data trend for Northrop Grumman's Median PS Value can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Competitive Comparison of Northrop Grumman's Median PS Value
For the Aerospace & Defense subindustry, Northrop Grumman's Price-to-Median-PS-Value, along with its competitors' market caps and Price-to-Median-PS-Value data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Northrop Grumman's Price-to-Median-PS-Value Distribution in the Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Northrop Grumman's Price-to-Median-PS-Value distribution charts can be found below:
* The bar in red indicates where Northrop Grumman's Price-to-Median-PS-Value falls into.
Northrop Grumman Median PS Value Calculation
Northrop Grumman's Median PS Value for today is calculated as
10-Year Median PS Ratio is 1.7304.
Northrop Grumman's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $258.608.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Northrop Grumman (NYSE:NOC) Median PS Value Explanation
This valuation method assumes that the stock valuation will revert to its historical (10-Year) mean in terms of PS Ratio. The reason we use PS Ratio instead of PE Ratio or PB Ratio
is because PS Ratio is independent of profit margin, and can be applied to a broader range of situations.
It also assumes that over time the profit margin is constant. If a company increases its profit margin to a sustainable level, this value might under-estimate its value. If it has permanent declined profit margins, this may over-estimate the company's value.
Northrop Grumman's Price to Median PS Value for today is calculated as
Price to Median PS Value
=
Share Price
/
Median PS Value
=
474.57
/
447.50
=
1.06
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Northrop Grumman Median PS Value Related Terms
Thank you for viewing the detailed overview of Northrop Grumman's Median PS Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Northrop Grumman (Northrop Grumman) Business Description
Northrop Grumman is a diversified defense contractor providing aeronautics, defense, mission, and space systems. The company's aerospace segment creates the fuselage for the massive F-35 program and produces autonomous and piloted aircraft such as Global Hawk drones and the new B-21 bomber. Defense systems makes artillery and missile ammunition and guidance systems, missile defense systems, and conducts maintenance and upgrades on numerous military aircraft. Mission systems creates and integrates a variety of radar, navigation, and communication systems for avionics, weapons control, and countermeasures on a range of platforms from helicopters to destroyers. Finally, space systems produces satellites, sensors, space structures, and manufactures long-range missiles and rocket motors.
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