WallStSmart

Huntington Ingalls Industries Inc (HII)vsNorthrop Grumman Corporation (NOC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Northrop Grumman Corporation generates 236% more annual revenue ($41.95B vs $12.48B). NOC leads profitability with a 10.0% profit margin vs 4.9%. HII appears more attractively valued with a PEG of 1.74. HII earns a higher WallStSmart Score of 58/100 (C).

HII

Buy

58

out of 100

Grade: C

Growth: 7.3Profit: 5.5Value: 10.0Quality: 5.8
Piotroski: 5/9Altman Z: 2.25

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

HIIUndervalued (+45.5%)

Margin of Safety

+45.5%

Fair Value

$720.72

Current Price

$402.56

$318.16 discount

UndervaluedFair: $720.72Overvalued
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

HII2 strengths · Avg: 8.0/10
Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

EPS GrowthGrowth
28.1%8/10

Earnings expanding 28.1% YoY

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

HII3 concerns · Avg: 3.7/10
PEG RatioValuation
1.744/10

Expensive relative to growth rate

P/E RatioValuation
26.1x4/10

Moderate valuation

Profit MarginProfitability
4.9%3/10

4.9% margin — thin

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 : HII

The strongest argument for HII centers on Revenue Growth, EPS Growth. Revenue growth of 15.7% demonstrates continued momentum.

Bull Case : NOC

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

Bear Case : HII

The primary concerns for HII are PEG Ratio, P/E Ratio, Profit Margin. Thin 4.9% margins leave little buffer for downturns.

Bear Case : NOC

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

Key Dynamics to Monitor

HII profiles as a growth stock while NOC is a value play — different risk/reward profiles.

HII carries more volatility with a beta of 0.28 — expect wider price swings.

HII is growing revenue faster at 15.7% — sustainability is the question.

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

Bottom Line

HII scores higher overall (58/100 vs 56/100) and 15.7% revenue growth. 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.

Huntington Ingalls Industries Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Huntington Ingalls Industries (HII) is the largest military shipbuilding company in the United States as well as a provider of professional services to partners in government and industry.

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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