Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. Northrop Grumman's Revenue for the
three
months ended in Mar. 2026 was €8,547 Mil. Northrop Grumman's Total Assets for the quarter that ended in Mar. 2026 was €43,566 Mil. Therefore, Northrop Grumman's Asset Turnover for the quarter that ended in Mar. 2026 was 0.20.
Asset Turnover is linked to ROE % through Du Pont Formula. Northrop Grumman's annualizedROE % for the quarter that ended in Mar. 2026 was 20.85%. It is also linked to ROA % through Du Pont Formula. Northrop Grumman's annualizedROA % for the quarter that ended in Mar. 2026 was 6.95%.
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.
It is also linked to ROA % through Du Pont Formula:
Northrop Grumman's annulizedROA % for the quarter that ended in Mar. 2026 is
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
Be Aware
In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.
Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.
Northrop Grumman Asset Turnover Related Terms
Northrop Grumman Asset Turnover Historical Data
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The historical data trend for Northrop Grumman's Asset Turnover 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.
FRA:NTH vs RKLB, TDG, GD: Asset Turnover Comparison
For the Aerospace & Defense subindustry, Northrop Grumman's Asset Turnover, along with its competitors' market caps and Asset Turnover 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 Asset Turnover vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Northrop Grumman's Asset Turnover distribution charts can be found below:
* The bar in red indicates where Northrop Grumman's Asset Turnover falls into.
* 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.
Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.
Northrop Grumman (FRA:NTH) has a Asset Turnover of 0.20 as of Mar. 2026. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Northrop Grumman and its competitors.
Is Northrop Grumman's Asset Turnover too high?
Northrop Grumman's current Asset Turnover is 0.20. 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 Asset Turnover compare to RKLB and TDG?
Northrop Grumman's Asset Turnover of 0.20 can be compared against companies in the Aerospace & Defense industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Asset Turnover for an Aerospace & Defense company?
A good Asset Turnover depends on the Aerospace & Defense industry context. However, Asset Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Asset Turnover mean?
A high Asset Turnover can signal that a stock is expensive relative to its fundamentals. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Northrop Grumman and its competitors. Northrop Grumman's current Asset Turnover is 0.20. 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 €488.57, compared to a current price of €438.00 — trading 10.4% below its estimated fair value. The current Asset Turnover is 0.20. 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 Asset Turnover calculated?
Asset Turnover is calculated from a company's financial statements. For Northrop Grumman (FRA:NTH), the current Asset Turnover is 0.20 as of Mar. 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 €438.00 is trading 10.4% below its estimated GF Value™ of €488.57.
GuruFocus considers Northrop Grumman to be Modestly Undervalued.
Key valuation signals for FRA:NTH:
Asset Turnover: 0.20
GF Value™: €488.57 vs. price of €438.00 (10.4% below fair value)
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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