Howmet Aerospace Inc (HWM)vsNorthrop Grumman Corporation (NOC)
HWM
Howmet Aerospace Inc
$232.94
-3.72%
INDUSTRIALS · Cap: $97.38B
NOC
Northrop Grumman Corporation
$724.84
+0.11%
INDUSTRIALS · Cap: $105.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Northrop Grumman Corporation generates 408% more annual revenue ($41.95B vs $8.25B). HWM leads profitability with a 18.3% profit margin vs 10.0%. HWM appears more attractively valued with a PEG of 0.80. HWM earns a higher WallStSmart Score of 69/100 (B-).
HWM
Strong Buy69
out of 100
Grade: B-
NOC
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.8%
Fair Value
$145.34
Current Price
$232.94
$87.60 premium
Margin of Safety
+25.0%
Fair Value
$904.66
Current Price
$724.84
$179.82 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 30 in profit
Large-cap with strong market position
Growing faster than its price suggests
Strong operational efficiency at 26.3%
Earnings expanding 20.3% YoY
Large-cap with strong market position
Every $100 of equity generates 26 in profit
Generating 3.2B in free cash flow
Areas to Watch
Trading at 17.5x book value
Premium valuation, high expectations priced in
Moderate valuation
Grey zone — moderate risk
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : HWM
The strongest argument for HWM centers on Return on Equity, Market Cap, PEG Ratio. Profitability is solid with margins at 18.3% and operating margin at 26.3%. Revenue growth of 14.6% demonstrates continued momentum.
Bull Case : NOC
The strongest argument for NOC centers on Market Cap, Return on Equity, Free Cash Flow.
Bear Case : HWM
The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 65.4x leaves little room for execution misses.
Bear Case : NOC
The primary concerns for NOC are P/E Ratio, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
HWM profiles as a mature stock while NOC is a value play — different risk/reward profiles.
HWM carries more volatility with a beta of 1.19 — expect wider price swings.
HWM is growing revenue faster at 14.6% — sustainability is the question.
NOC generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
HWM scores higher overall (69/100 vs 56/100), backed by strong 18.3% margins and 14.6% revenue growth. NOC offers better value entry with a 25.0% margin of safety. Both earn "Strong 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.
Howmet Aerospace Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.
Northrop Grumman Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Northrop Grumman Corporation (NYSE: NOC) is an American multinational aerospace and defense technology company.
Visit Website →Compare with Other AEROSPACE & DEFENSE Stocks
Want to dig deeper into these stocks?