WallStSmart

Danaher Corporation (DHR)vsNorthrop Grumman Corporation (NOC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Northrop Grumman Corporation generates 71% more annual revenue ($41.95B vs $24.57B). DHR leads profitability with a 14.7% profit margin vs 10.0%. DHR appears more attractively valued with a PEG of 1.23. DHR earns a higher WallStSmart Score of 60/100 (C).

DHR

Buy

60

out of 100

Grade: C

Growth: 4.0Profit: 6.0Value: 7.3Quality: 6.3
Piotroski: 4/9Altman Z: 2.36

NOC

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 7.5Value: 6.7Quality: 6.0
Piotroski: 3/9Altman Z: 1.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DHRSignificantly Overvalued (-38.6%)

Margin of Safety

-38.6%

Fair Value

$135.07

Current Price

$187.15

$52.08 premium

UndervaluedFair: $135.07Overvalued
NOCUndervalued (+24.9%)

Margin of Safety

+24.9%

Fair Value

$904.35

Current Price

$691.21

$213.14 discount

UndervaluedFair: $904.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DHR4 strengths · Avg: 8.3/10
Market CapQuality
$134.43B9/10

Large-cap with strong market position

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.2%8/10

Strong operational efficiency at 22.2%

Free Cash FlowQuality
$1.75B8/10

Generating 1.7B in free cash flow

NOC3 strengths · Avg: 8.7/10
Market CapQuality
$97.36B9/10

Large-cap with strong market position

Return on EquityProfitability
26.2%9/10

Every $100 of equity generates 26 in profit

Free Cash FlowQuality
$3.23B8/10

Generating 3.2B in free cash flow

Areas to Watch

DHR3 concerns · Avg: 3.7/10
P/E RatioValuation
37.7x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

NOC4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Debt/EquityHealth
1.183/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
5.362/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : DHR

The strongest argument for DHR centers on Market Cap, Price/Book, Operating Margin. PEG of 1.23 suggests the stock is reasonably priced for its growth.

Bull Case : NOC

The strongest argument for NOC centers on Market Cap, Return on Equity, Free Cash Flow.

Bear Case : DHR

The primary concerns for DHR are P/E Ratio, Revenue Growth, Return on Equity.

Bear Case : NOC

The primary concerns for NOC are Altman Z-Score, Debt/Equity, Piotroski F-Score.

Key Dynamics to Monitor

DHR carries more volatility with a beta of 0.96 — expect wider price swings.

NOC is growing revenue faster at 9.6% — sustainability is the question.

NOC generates stronger free cash flow (3.2B), providing more financial flexibility.

Monitor DIAGNOSTICS & RESEARCH industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DHR scores higher overall (60/100 vs 56/100). NOC offers better value entry with a 24.9% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Danaher Corporation

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

Danaher Corporation is an American globally diversified conglomerate with its headquarters in Washington, D.C.. The company designs, manufactures, and markets professional, medical, industrial, and commercial products and services. The company's 3 platforms are Life Sciences, Diagnostics, and Environmental & Applied Solutions.

Northrop Grumman Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Northrop Grumman Corporation (NYSE: NOC) is an American multinational aerospace and defense technology company.

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