American Airlines Group (AAL)vsNorthrop Grumman Corporation (NOC)
AAL
American Airlines Group
$14.64
-0.07%
INDUSTRIALS · Cap: $9.68B
NOC
Northrop Grumman Corporation
$563.68
+0.78%
INDUSTRIALS · Cap: $78.37B
Smart Verdict
WallStSmart Research — data-driven comparison
American Airlines Group generates 32% more annual revenue ($55.99B vs $42.37B). NOC leads profitability with a 10.8% profit margin vs 0.4%. AAL appears more attractively valued with a PEG of 0.82. NOC earns a higher WallStSmart Score of 63/100 (C+).
AAL
Hold45
out of 100
Grade: D+
NOC
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+30.7%
Fair Value
$20.72
Current Price
$14.64
$6.08 discount
Intrinsic value data unavailable for NOC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Growing faster than its price suggests
Generating 3.4B in free cash flow
Earnings expanding 84.9% YoY
Large-cap with strong market position
Every $100 of equity generates 27 in profit
Attractively priced relative to earnings
Areas to Watch
ROE of 0.0% — below average capital efficiency
0.4% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
4.4% revenue growth
Grey zone — moderate risk
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : AAL
The strongest argument for AAL centers on Debt/Equity, PEG Ratio, Free Cash Flow. Revenue growth of 10.8% demonstrates continued momentum. PEG of 0.82 suggests the stock is reasonably priced for its growth.
Bull Case : NOC
The strongest argument for NOC centers on EPS Growth, Market Cap, Return on Equity.
Bear Case : AAL
The primary concerns for AAL are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 47.2x leaves little room for execution misses. Thin 0.4% margins leave little buffer for downturns.
Bear Case : NOC
The primary concerns for NOC are Revenue Growth, Altman Z-Score, Piotroski F-Score.
Key Dynamics to Monitor
AAL carries more volatility with a beta of 1.28 — expect wider price swings.
AAL is growing revenue faster at 10.8% — sustainability is the question.
AAL generates stronger free cash flow (3.4B), providing more financial flexibility.
Monitor AIRLINES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NOC scores higher overall (63/100 vs 45/100). AAL offers better value entry with a 30.7% margin of safety. 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.
American Airlines Group
INDUSTRIALS · AIRLINES · USA
American Airlines Group Inc. is an American publicly traded airline holding company headquartered in Fort Worth, Texas.
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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