Northrop GrummanFRA:NTH -1.74%86 PB Ratio is 4.23 as of Jun. 26, 2026, which is 22% below its 10-year median of 5.43. GuruFocus rates FRA:NTH with a GF Score™ of 86/100 and a GF Value™ of €492.60 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 339 Aerospace & Defense companies, Northrop Grumman ranks worse than 55.16% on this metric.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2026-06-26), Northrop Grumman's share price is €441.00. Northrop Grumman's Book Value per Share for the quarter that ended in Mar. 2026 was €104.23. Hence, Northrop Grumman's PB Ratio of today is 4.23.
Good Sign:
Northrop Grumman Corp stock PB Ratio (=4.14) is close to 10-year low of 4.01.
The historical rank and industry rank for Northrop Grumman's PB Ratio or its related term are showing as below:
FRA:NTH'
s PB Ratio Range Over the Past 10 Years
Min: 4.01 Med: 5.43 Max: 8.69
Current: 4.14
During the past 13 years, Northrop Grumman's highest PB Ratio was 8.69. The lowest was 4.01. And the median was 5.43.
FRA:NTH's PB Ratio is ranked worse than 55.16% of 339
companies
in the Aerospace & Defense industry
Industry Median: 3.59
vs FRA:NTH: 4.14
During the past 12 months, Northrop Grumman's average Book Value Per Share Growth Rate was 15.90% per year.
During the past 3 years, the average Book Value Per Share Growth Rate was 5.50% per year.
During the past 5 years, the average Book Value Per Share Growth Rate was 11.50% per year.
During the past 10 years, the average Book Value Per Share Growth Rate was 16.00% per year.
During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of Northrop Grumman was 23.90% per year. The lowest was -14.90% per year. And the median was 5.80% per year.
The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.
Be Aware
Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.
Northrop Grumman PB Ratio Related Terms
Northrop Grumman PB Ratio Historical Data
* Premium members only.
The historical data trend for Northrop Grumman's PB Ratio 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.
For the Aerospace & Defense subindustry, Northrop Grumman's PB Ratio, along with its competitors' market caps and PB Ratio 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 PB Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Northrop Grumman's PB Ratio distribution charts can be found below:
* The bar in red indicates where Northrop Grumman's PB Ratio falls into.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.
* 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.
It can also be calculated from the numbers for the whole company:
A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.
Northrop Grumman (FRA:NTH) has a PB Ratio of 4.23 as of Jun. 26, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on Northrop Grumman and its competitors. This is 22% below median its historical median of 5.43. Over the past decade, Northrop Grumman's PB Ratio has ranged from 4.01 to 8.69. According to the industry distribution chart, Northrop Grumman ranks #187 out of 339 companies in the Aerospace & Defense industry, placing it in the top 55.2%.
Is Northrop Grumman's PB Ratio too high?
Northrop Grumman's current PB Ratio of 4.23 is 22% below median its 10-year median of 5.43. Over the past 10 years, this metric has ranged from a low of 4.01 to a high of 8.69. The Aerospace & Defense industry median PB Ratio is 3.59. Northrop Grumman's value of 4.23 is 17.8% above this industry median. Based on the distribution chart, Northrop Grumman ranks #187 out of 339 companies in the Aerospace & Defense industry, which is below the industry midpoint. Overall, Northrop Grumman has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Northrop Grumman's PB Ratio compare to RKLB and TDG?
According to the Aerospace & Defense industry distribution chart, Northrop Grumman ranks #187 out of 339 companies for PB Ratio. This places Northrop Grumman in the lower half of its industry. The industry median PB Ratio is 3.59. Northrop Grumman's value of 4.23 is 17.8% above this benchmark. Historically, Northrop Grumman's own PB Ratio has ranged from 4.01 to 8.69 over the past decade. While the company's 10-year median is 5.43 vs. the industry median of 3.59, Northrop Grumman has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PB Ratio for an Aerospace & Defense company?
The median PB Ratio among Aerospace & Defense companies is 3.59, based on 339 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Northrop Grumman's current PB Ratio of 4.23 is 17.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on Northrop Grumman and its competitors. For the Aerospace & Defense industry, the median PB Ratio is 3.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Northrop Grumman's current PB Ratio is 4.23, which is 22% below median its own 10-year median of 5.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Northrop Grumman stock overvalued right now?
Based on GuruFocus' analysis, Northrop Grumman (FRA:NTH) is currently considered Modestly Undervalued. The stock's GF Value™ is €492.60, compared to a current price of €441.00 — trading 10.5% below its estimated fair value. The current PB Ratio is 4.23, which is 22% below median its 10-year median of 5.43 and 17.8% above the Aerospace & Defense industry median of 3.59. Northrop Grumman's overall GF Score™ is 86/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For Northrop Grumman (FRA:NTH), the current PB Ratio is 4.23 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Northrop Grumman (FRA:NTH) Overvalued in 2026?
Based on GuruFocus' analysis, Northrop Grumman stock appears to be undervalued.
The current stock price of €441.00 is trading 10.5% below its estimated GF Value™ of €492.60.
GuruFocus considers Northrop Grumman to be Modestly Undervalued.
Key valuation signals for FRA:NTH:
PB Ratio: 4.23 (22% below median its 10-year median of 5.43)
GF Value™: €492.60 vs. price of €441.00 (10.5% below fair value)
Industry Position: 17.8% above the Aerospace & Defense median (#187 of 339)
No single metric tells the full story. See the FRA:NTH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Northrop Grumman is a diversified defense contractor providing aeronautics, defense, and space systems. The company's aerospace segment produces autonomous and piloted aircraft such as Global Hawk drones and the new B-21 bomber, creates the fuselage for the massive F-35 program, and maintains and upgrades numerous other military aircraft. Defense systems makes artillery and missile ammunition and guidance systems, long-range missiles, and missile defense systems. 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. Space systems produces satellites, sensors, space structures, and rocket motors.
86GF Score
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