WallStSmart

Northrop Grumman Corporation (NOC)vsVSE Corporation (VSEC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Northrop Grumman Corporation generates 3672% more annual revenue ($41.95B vs $1.11B). NOC leads profitability with a 10.0% profit margin vs 1.1%. VSEC appears more attractively valued with a PEG of 3.00. NOC earns a higher WallStSmart Score of 56/100 (C).

NOC

Buy

56

out of 100

Grade: C

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

VSEC

Hold

42

out of 100

Grade: D

Growth: 6.7Profit: 5.0Value: 2.0Quality: 7.3
Piotroski: 5/9Altman Z: 2.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NOCUndervalued (+24.9%)

Margin of Safety

+24.9%

Fair Value

$904.35

Current Price

$691.21

$213.14 discount

UndervaluedFair: $904.35Overvalued
VSECSignificantly Overvalued (-1102.6%)

Margin of Safety

-1102.6%

Fair Value

$17.14

Current Price

$178.32

$161.18 premium

UndervaluedFair: $17.14Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

VSEC2 strengths · Avg: 9.0/10
Revenue GrowthGrowth
32.4%10/10

Revenue surging 32.4% year-over-year

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Areas to Watch

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

VSEC4 concerns · Avg: 2.5/10
Return on EquityProfitability
4.4%3/10

ROE of 4.4% — below average capital efficiency

Profit MarginProfitability
1.1%3/10

1.1% margin — thin

PEG RatioValuation
3.002/10

Expensive relative to growth rate

P/E RatioValuation
70.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : NOC

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

Bull Case : VSEC

The strongest argument for VSEC centers on Revenue Growth, Price/Book. Revenue growth of 32.4% demonstrates continued momentum.

Bear Case : NOC

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

Bear Case : VSEC

The primary concerns for VSEC are Return on Equity, Profit Margin, PEG Ratio. A P/E of 70.8x leaves little room for execution misses. Thin 1.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

NOC profiles as a value stock while VSEC is a hypergrowth play — different risk/reward profiles.

VSEC carries more volatility with a beta of 1.35 — expect wider price swings.

VSEC is growing revenue faster at 32.4% — sustainability is the question.

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

Bottom Line

NOC scores higher overall (56/100 vs 42/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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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VSE Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

VSE Corporation is a diversified aftermarket products and services company in the United States. The company is headquartered in Alexandria, Virginia.

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