Relative Intelligence · Aerospace & Defense
How Northrop Grumman (NOC) compares with the whole market and its popular alternatives
Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on NOC alone. It places NOC (Northrop Grumman Corporation) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where NOC stands in the market, and of the alternatives worth a closer look.
Period covered: NOC's full trading record, from October 1986 through September 2026. All returns include reinvested dividends. Data as of October 20, 2026.
Data as of October 20, 2026. Full tables and charts read best on a larger screen.
On this page12 sections
Key findings
- Right nowOver the past 6 months, NOC fell 18.0% while the S&P 500 rose 9.1%. The slide is NOC's own: it is 29.8% below its high, against 1.3% for the S&P 500. At a glance ↓
- Stock or market?NOC held up far better than its industry: it rose 2.4% over the past 3 months while the aerospace & defense ETF ITA (iShares U.S. Aerospace & Defense ETF) fell 10.0%. The S&P 500 rose 3.9%. Its aerospace & defense peers did not move as one over the past 3 months: CACI (CACI International) rose 34.7%, while BA (Boeing) fell 9.1%.
- Past 1 to 3 yearsNOC has gone against the market, falling 9.8% over the past year while the S&P 500 rose 15.8%. The same gap shows up over 3 years (15.6% against 89.3%). By year ↓
- Long termNOC turned $10,000 into $28,800 over the past decade, against $42,100 in the S&P 500. That said, year by year, NOC has outpaced the S&P 500 69% of the time since 1997. Growth of $10,000 ↓
- In a crashIn the 2022 bear market, NOC fell 11.2%, against 24.5% for the S&P 500, and less than aerospace & defense peers such as RTX (21.9%). NOC fell less than the S&P 500 in two of the last three sell-offs, including the 2022 bear market (11.2% against 24.5%). Crash tests ↓
- DiversificationNOC is a real diversifier: a correlation of -0.07 with the S&P 500 over 5 years and -0.06 with the total US market, less closely than 99% of stocks worth at least $300 million. NOC's link to the S&P 500 has loosened: a correlation of -0.07 over the past 5 years, down from 0.58 in the 5 years before. Market capture ↓
- Better options
- Nearby categories and themes
- CTAS (Cintas, business services) and ADP (Automatic Data Processing, business services) earned more than NOC with less volatility over the past 5 years. CTAS returned 16.5% a year at 23.1% volatility, against 7.6% a year at 26.1%.
- Whole market
- 496 of the 3,633 stocks and funds worth at least $500 million earned more than NOC with less volatility over the past 5 years, among them VTI (Vanguard Morningstar Total Stock Market ETF), VOO (Vanguard S&P 500 ETF) and BRK-B (Berkshire Hathaway).
How much would $10,000 in NOC have grown?
This chart tracks a hypothetical $10,000 investment in NOC over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of NOC over the same span and NOC's popular alternatives, among those that traded for the entire period. A second view covers the past 5 years, the period the better options further down the page are judged on. It shows not only where each investment ended up but also how smooth or uneven the path was.
- $10,000 invested in NOC at the end of September 1997 would have grown to $159,080 by September 2026, more than the $132,907 it would have become in SPY, an S&P 500 fund.
- Six of the eight other investments on the chart ended ahead of NOC, and HEI finished highest, at $1,347,388.
Choose a period
From the end of September 1997 to the end of September 2026. The scale is logarithmic, so equal steps up the chart are equal percentage gains. Hover over a fund in the key to pick out its line. 367 of the 1,042 stocks and funds worth at least $500 million that traded the whole period ended ahead of NOC; the chart shows 5, closest alternatives first. The other 3 lines are popular alternatives, shown for context.
- HEI$1M+13,374% total · +18.4% a year
- CACI$609,098+5,991% total · +15.2% a year
- CRS$297,321+2,873% total · +12.4% a year
- RTX$288,741+2,787% total · +12.3% a year
- GD$272,943+2,629% total · +12.1% a year
- LMT$194,815+1,848% total · +10.8% a year
- NOC$159,080+1,491% total · +10.0% a year
- SPY (S&P 500)$132,907+1,229% total · +9.3% a year
- GE$54,821+448% total · +6.0% a year
- HXL$31,850+219% total · +4.1% a year
From the end of September 2021 to the end of September 2026. The scale is logarithmic, so equal steps up the chart are equal percentage gains. Hover over a fund in the key to pick out its line. 1,627 of the 3,628 stocks and funds worth at least $500 million that traded the whole period ended ahead of NOC; the chart shows 5, closest alternatives first. The other 3 lines are popular alternatives, shown for context.
- ATI$113,890+1,039% total · +62.7% a year
- PLTR$77,807+678% total · +50.7% a year
- RTX$24,048+140% total · +19.2% a year
- CACI$23,239+132% total · +18.4% a year
- HEI$23,110+131% total · +18.2% a year
- SPY (S&P 500)$19,000+90.0% total · +13.7% a year
- GD$18,801+88.0% total · +13.5% a year
- LMT$16,868+68.7% total · +11.0% a year
- SAIC$15,988+59.9% total · +9.8% a year
- NOC$14,559+45.6% total · +7.8% a year
NOC at a glance
This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout. These figures serve as the baseline for every comparison that follows.
- NOC is still 29.8% below its all-time high.
- NOC's deepest decline since it began trading in 1986 was 68.5%, from April 1987 to July 1990. It took about three years from the low to climb back to its old high.
- Over 29 full calendar years, NOC's best was 2013, when it returned 74.4%, and its worst was 2008, when it lost 41.2%. It lost money in seven of those years.
The company
- Market value
- $76B
- Industry
- Aerospace & Defense
- Price history from
- October 1986
Returns
- Past 1 year
- −9.8%total return
- Past 3 years
- +15.6%+4.9% a year
- Past 5 years
- +44.5%+7.6% a year
- Past 10 years
- +188%+11.2% a year
- Best calendar year
- +74.4%2013
- Worst calendar year
- −41.2%2008
- Losing years
- 7 of 29full calendar years
Risk
- Volatility
- 26.1%typical yearly swing, 5 years
- Sharpe ratio
- 0.41return per unit of risk, 5 years
- Worst decline ever
- −68.5%Apr 1987 to Jul 1990
- From its all-time high
- −29.8%below the peak
NOC against the whole market
Where NOC ranks among every stock and fund, and what across the market has done better.
How does NOC rank among all stocks?
This section ranks NOC on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history. Where the comparisons with its popular alternatives show how NOC stacks up against its peers, these rankings show where it stands in the market as a whole.
- NOC's worst decline of the past 10 years ranks in the top 4% of the 2,187 stocks worth at least $300 million, where the top fell the least.
Ranked against U.S.-listed stocks worth at least $300M that have enough history for each measure, so the count changes from row to row; smaller stocks are left out. Lower volatility and smaller declines rank higher.
| Measure | NOC | Rank | Standing |
|---|---|---|---|
| 1-year return | −9.8% | 2,338 of 3,287 | bottom 30% |
| 3-year return | +15.6% | 2,080 of 3,017 | bottom 32% |
| 5-year return | +44.5% | 1,152 of 2,893 | top 40% |
| 10-year return | +188% | 912 of 2,202 | top 41% |
| Volatility, 5 years | 26.1% | 416 of 2,893 | top 14% |
| Sharpe ratio, 5 years | 0.41 | 1,197 of 2,893 | top 41% |
| Worst decline, past 10 years | −37.8% | 98 of 2,187 | top 4% |
What has beaten NOC on both return and risk?
Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer). NOC sits where the dashed lines cross. Anything in the green box above and to the left earned more than NOC with smaller swings, a better trade-off over this period on both counts. Past results are no promise, but a name in the box is worth a closer look.
- 108 stocks and 388 ETFs worth at least $500 million sit in the green region: each earned more than NOC over the past 5 years with smaller price swings. That is 14% of the 3,633 screened.
- Among those with at least half NOC's swings, CAH has the best return for its risk: 42.1% a year at 24.7% volatility, 5% less than NOC's 26.1%, and a Sharpe ratio (return above cash per unit of volatility) of 1.55 against 0.41 for NOC.
- Among NOC's popular alternatives, RTX, GD and LMT are in the region. RTX earned 18.6% a year against 7.6% a year for NOC, at 24.3% volatility, 7% less than NOC's 26.1%.
Annual return is the annualized total return with dividends reinvested, and volatility the annualized swing in daily prices, both over 5 years. Labeled dots are the strongest picks from the table below and the names called out above, colored by how close they sit to NOC; faint dots are 93 more of the 496 in the green region (the strongest, one per fund family). 3,633 stocks and funds worth at least $500 million were screened. Hover over a dot for its figures.
- Popular alternatives
- Same and neighboring categories, and shared themes
- The whole market
- Others in the green region
- 1 with more than 1.6× NOC's volatility is in the table only
Is there a better investment than NOC?
Investments that beat NOC over the past 5 years on return, volatility, drawdowns, consistency, crash losses or fees, from its popular alternatives out to the whole market.
- Among NOC's popular alternatives, RTX, GD and LMT earned more than NOC with less volatility over the past 5 years. RTX returned 18.6% a year at 24.3% volatility, against 7.6% a year at 26.1%.
- Looking beyond its popular alternatives, CTAS (business services) and ADP (business services) earned more than NOC with less volatility over the past 5 years. CTAS returned 16.5% a year at 23.1% volatility, against 7.6% a year at 26.1%.
- Across the whole market, 496 of the 3,633 stocks and funds worth at least $500 million earned more than NOC with less volatility over the past 5 years, among them VTI, VOO and BRK-B.
How this works
The table below lists investments that beat NOC over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes. It checks NOC's popular alternatives first, then the rest of its own and neighboring categories, then every stock and fund worth at least $500 million, and shows the strongest few in each group. The full list of those with a higher return and lower volatility than NOC follows the table.
Annual return is the annualized total return with dividends reinvested. Annual return, volatility and the Sharpe ratio cover 5 years; the worst decline covers the past 10 years. Green marks a better figure than NOC's. "On the frontier" means no other option shown or tested earned more with less volatility. Funds that hold the same thing are shown once. Beyond the popular alternatives, nothing with more than 1.5× NOC's volatility counts as better.
These figures cover the past 5 years. Green marks a better figure than NOC's.
| Investment | Why it is better | Past 5 years | Downside | Long run | Fit | ||||
|---|---|---|---|---|---|---|---|---|---|
| Annual return?higher is better | Volatility?lower is calmer | Sharpe?return per unit of risk | Worst decline?past 10 years | 10Y returntotal | Corr. with NOC?lower diversifies more | Expenseper year | |||
| NOCNorthrop Grumman Corporation · this page | +7.6% | 26.1% | 0.41 | −37.8% | +188% | 1.00 | — | ||
 SPYState Street SPDR S&P 500 ETF · S&P 500 | +12.7% | 17.1% | 0.79 | −33.7% | +321% | -0.07 | 0.09% | ||
| Popular alternativesbest 6 shownThe investments people most often weigh against NOC. 13 of 24 passed at least one test. | |||||||||
 RTXRTX Corporation · Aerospace & Defense | Higher return, lower volatilityHigher return in most periods | +18.6% | 24.3% | 0.83 | −52.0% | +317% | 0.55 | — | |
 GDGeneral Dynamics Corporation · Aerospace & Defense | Higher return, lower volatilityHigher return in most periods | +12.9% | 20.8% | 0.69 | −51.6% | +184% | 0.62 | — | |
 LMTLockheed Martin Corporation · Aerospace & Defense | Higher return, lower volatilityHigher return in most periods | +11.1% | 24.2% | 0.56 | −36.7% | +204% | 0.66 | — | |
 HEIHEICO Corporation · Aerospace & Defense | Higher return, similar volatilityHigher return in most periods | +17.3% | 27.8% | 0.71 | −57.7% | +809% | 0.16 | — | |
ATIATI Inc. · Metals & Mining | On the frontierHigher return in most periods | +61.8% | 42.9% | 1.34 | −82.4% | +929% | 0.14 | — | |
 GEGE Aerospace · Aerospace & Defense | Higher return in most periods | +36.0% | 31.0% | 1.15 | −80.9% | +139% | 0.08 | — | |
| Same and neighboring categories, and shared themesbest 6 shownEverything else in Aerospace & Defense and the categories next to it (Business Services, Airlines, Metals & Mining, Industrial Machinery), plus NOC's specific themes. 53 of 121 passed at least one test. | |||||||||
 CTASCintas Corporation · Business Services | Higher return, lower volatilityHigher return in most periods | +16.5% | 23.1% | 0.78 | −48.4% | +808% | 0.21 | — | |
 ADPAutomatic Data Processing, Inc. · Business Services | Higher return, lower volatilityHigher return in most periods | +9.0% | 22.9% | 0.49 | −40.8% | +320% | 0.11 | — | |
ITAiShares U.S. Aerospace & Defense ETF · Aerospace & Defense | Higher return, lower volatilityHigher return in most periods | +14.6% | 20.4% | 0.78 | −51.0% | +258% | 0.45 | 0.37% | |
SNASnap-on Incorporated · Industrial Machinery | Higher return, lower volatilityHigher return in most periods | +12.9% | 23.6% | 0.63 | −47.4% | +195% | 0.16 | — | |
DCIDonaldson Company, Inc. · Industrial Machinery | Higher return, lower volatilityHigher return in most periods | +9.5% | 23.4% | 0.51 | −42.7% | +182% | 0.26 | — | |
 WABWestinghouse Air Brake Technologies Corporation · Industrial Machinery | Higher return, similar volatilityHigher return in most periods | +25.6% | 26.2% | 1.00 | −64.1% | +264% | 0.18 | — | |
| The whole marketbest 8 shownEvery other stock and fund worth at least $500 million. 1,176 of 3,488 passed at least one test. | |||||||||
 WMTWalmart Inc. · Discount Retail | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +20.8% | 22.6% | 0.96 | −25.7% | +508% | -0.02 | — | |
 BRK-BBerkshire Hathaway Inc. · Insurance | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +13.4% | 17.1% | 0.82 | −29.6% | +274% | 0.10 | — | |
 JNJJohnson & Johnson · Pharmaceuticals | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +12.7% | 17.9% | 0.76 | −27.4% | +196% | 0.33 | — | |
LVHIFranklin International Low Volatility High Dividend Index ETF · International Equity | On the frontierHigher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +17.0% | 11.1% | 1.48 | −32.4% | +194% | 0.17 | 0.40% | |
 COSTCostco Wholesale Corporation · Discount Retail | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +17.4% | 22.9% | 0.82 | −31.4% | +685% | -0.07 | — | |
 NVSNovartis AG · Pharmaceuticals | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +17.1% | 20.7% | 0.87 | −26.8% | +226% | 0.27 | — | |
 AMGNAmgen Inc. · Biotechnology | Higher return, similar volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +19.6% | 24.9% | 0.85 | −24.9% | +266% | 0.24 | — | |
DOCTFT Vest U.S. Equity Deep Buffer ETF - October · Multi-Asset | On the frontierSimilar return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +8.3% | 7.4% | 1.11 | −9.9% | — | -0.17 | 0.85% | |
What these numbers mean for NOC
- Annual return
- NOC returned 7.6% a year over the past 5 years with dividends reinvested, against 12.7% a year for the S&P 500. At that pace, $10,000 became about $14,400. Annual return is the steady yearly rate that would produce the same total result, so investments held over the same span compare fairly. Guide: What is performance and return? →
- Volatility
- NOC's volatility over the past 5 years was 26.1%, 1.5 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, NOC's return lands within 26.1% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump. Guide: Understanding and measuring risk (volatility) →
- Sharpe ratio
- NOC's Sharpe ratio over the past 5 years was 0.41, against 0.79 for the S&P 500, so NOC earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings. Guide: Balancing reward with risk (Sharpe ratio) →
- Worst decline
- NOC's worst fall from a peak to a low over the past 10 years was 37.8%, against 33.7% for the S&P 500. Losses and gains are not symmetric: climbing back from a 37.8% fall takes a 60.8% gain. Guide: Market crash risk and tail risk →
- Correlation
- Over the past 5 years, NOC's monthly returns had a correlation of -0.07 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are close to unrelated, or move in opposite directions, so it can steady a stock portfolio. In the table, the correlation column measures each option against NOC instead: the lower it is, the more that option would diversify a NOC holding. Guide: Correlation and diversification →
Show all 496 stocks and funds worth at least $500 million that earned more than NOC with less volatility
Out of 3,633 tested over 5 years. The strongest 100 are listed, best first, with funds that hold the same thing listed once.
| # | Investment | Found in | Annual return | Volatility | Sharpe | Worst decline | 10Y return | Corr. with NOC | Expense |
|---|---|---|---|---|---|---|---|---|---|
| 1 | WMTWalmart Inc. · Discount Retail | Whole market | +20.8% | 22.6% | 0.96 | −25.7% | +508% | -0.02 | — |
| 2 | BRK-BBerkshire Hathaway Inc. · Insurance | Whole market | +13.4% | 17.1% | 0.82 | −29.6% | +274% | 0.10 | — |
| 3 | JNJJohnson & Johnson · Pharmaceuticals | Whole market | +12.7% | 17.9% | 0.76 | −27.4% | +196% | 0.33 | — |
| 4 | LVHIFranklin International Low Volatility High Dividend Index ETF · International Equity | Whole market | +17.0% | 11.1% | 1.48 | −32.4% | +194% | 0.17 | 0.40% |
| 5 | COSTCostco Wholesale Corporation · Discount Retail | Whole market | +17.4% | 22.9% | 0.82 | −31.4% | +685% | -0.07 | — |
| 6 | NVSNovartis AG · Pharmaceuticals | Whole market | +17.1% | 20.7% | 0.87 | −26.8% | +226% | 0.27 | — |
| 7 |  GLDSPDR Gold Shares · Gold | Whole market | +17.7% | 18.9% | 0.96 | −26.4% | +213% | 0.35 | 0.40% |
| 8 |  LINLinde plc · Chemicals | Whole market | +11.5% | 20.9% | 0.63 | −32.6% | +394% | 0.21 | — |
| 9 |  VIGVanguard Dividend Appreciation ETF · US Dividend Equity | Whole market | +10.4% | 14.1% | 0.78 | −31.7% | +258% | 0.10 | 0.04% |
| 10 |  CORCencora, Inc. · Health Care Distribution | Whole market | +24.2% | 22.8% | 1.07 | −32.4% | +406% | 0.32 | — |
| 11 |  IWFiShares Russell 1000 Growth ETF · US Large-Cap Growth | Whole market | +11.7% | 21.8% | 0.62 | −32.7% | +416% | -0.21 | 0.18% |
| 12 |  DFACDimensional - US Core Equity 2 ETF · US Total Market | Whole market | +11.4% | 17.0% | 0.72 | −23.1% | — | 0.02 | 0.21% |
| 13 | PJULInnovator U.S. Equity Power Buffer ETF · Broad Market | Whole market | +10.5% | 8.6% | 1.20 | −18.2% | — | -0.04 | 0.79% |
| 14 |  WMWaste Management, Inc. · Environmental Services | Whole market | +9.3% | 19.2% | 0.56 | −30.1% | +344% | 0.06 | — |
| 15 | FJANFT Vest U.S. Equity Buffer ETF - January · Multi-Asset | Whole market | +11.1% | 10.5% | 1.05 | −13.6% | — | -0.13 | 0.85% |
| 16 |  FASTFastenal Company · Industrial Distribution | Whole market | +15.8% | 24.6% | 0.72 | −30.7% | +576% | 0.16 | — |
| 17 |  EDConsolidated Edison, Inc. · Electric Utilities | Whole market | +12.0% | 18.8% | 0.70 | −30.9% | +114% | 0.30 | — |
| 18 | SPMOInvesco S&P 500 Momentum ETF · US Momentum Equity | Whole market | +18.7% | 20.8% | 0.93 | −30.9% | +499% | -0.13 | 0.13% |
| 19 | IUSGiShares Core S&P U.S. Growth ETF · US Growth Equity | Whole market | +12.9% | 21.2% | 0.68 | −32.4% | +405% | -0.18 | 0.04% |
| 20 | DFIVDimensional - International Value ETF · International Equity | Whole market | +14.8% | 16.4% | 0.93 | −25.4% | — | 0.14 | 0.27% |
| 21 | AVLVAvantis U.S. Large Cap Value ETF · US Large-Cap Value | Whole market | +14.0% | 16.9% | 0.86 | −19.5% | — | 0.11 | 0.15% |
| 22 | OEFiShares S&P 100 ETF · US Large-Cap Equity | Whole market | +14.3% | 17.8% | 0.84 | −31.4% | +367% | -0.14 | 0.20% |
| 23 | NINiSource Inc · Gas Utilities | Whole market | +15.1% | 20.3% | 0.80 | −30.9% | +158% | 0.21 | — |
| 24 | DFATDimensional - US Targeted Value ETF · US Small-Cap Equity | Whole market | +9.6% | 21.0% | 0.54 | −26.1% | — | 0.14 | 0.33% |
| 25 | SPHQInvesco S&P 500 Quality ETF · US Quality Equity | Whole market | +12.0% | 16.7% | 0.76 | −31.6% | +300% | -0.06 | 0.20% |
| 26 | DFAIDimensional - International Core Equity Market ETF · Developed International Equity | Whole market | +9.7% | 16.0% | 0.66 | −27.4% | — | 0.07 | 0.18% |
| 27 | BUFRFT Vest Laddered Buffer ETF · Buffered Equity | Whole market | +9.9% | 10.5% | 0.96 | −13.7% | — | -0.07 | 0.10% |
| 28 |  RYRoyal Bank of Canada · Banks | Whole market | +17.3% | 18.2% | 0.97 | −40.0% | +352% | -0.16 | — |
| 29 | BBJPJPMorgan BetaBuilders Japan ETF · International Equity | Whole market | +9.3% | 18.6% | 0.57 | −32.7% | — | 0.00 | 0.19% |
| 30 | DBEFXtrackers MSCI EAFE Hedged Equity ETF · International Equity | Whole market | +13.1% | 13.8% | 0.96 | −32.5% | +206% | -0.02 | 0.35% |
| 31 | IOOiShares Global 100 ETF · Global Equity | Whole market | +15.7% | 17.2% | 0.94 | −31.4% | +361% | -0.09 | 0.40% |
| 32 | DIVOAmplify CWP Enhanced Dividend Income ETF · Equity Income | Whole market | +11.1% | 11.9% | 0.95 | −30.0% | — | 0.24 | 0.56% |
| 33 |  CAHCardinal Health, Inc. · Health Care Distribution | Whole market | +42.1% | 24.7% | 1.55 | −46.1% | +349% | 0.16 | — |
| 34 | JAVAJPMorgan Active Value ETF · US Large-Cap Value | Whole market | +11.5% | 14.5% | 0.82 | −16.5% | — | — | 0.44% |
| 35 | ACTEnact Holdings Inc. · Insurance | Whole market | +20.5% | 24.3% | 0.89 | −20.2% | — | 0.06 | — |
| 36 | DBMFiMGP DBi Managed Futures Strategy ETF · Alternatives | Whole market | +9.8% | 12.4% | 0.82 | −20.4% | — | 0.13 | 0.85% |
| 37 | TSPAT. Rowe Price U.S. Equity Research ETF · Broad Market | Whole market | +13.1% | 17.1% | 0.81 | −24.7% | — | -0.09 | 0.34% |
| 38 | TDIVFirst Trust NASDAQ Technology Dividend Index Fund · Technology Equity | Whole market | +16.2% | 21.3% | 0.81 | −32.0% | +388% | -0.11 | 0.50% |
| 39 |  MPLXMPLX Lp · Oil & Gas Midstream | Whole market | +23.5% | 18.8% | 1.22 | −75.2% | +350% | 0.11 | — |
| 40 | IDMOInvesco S&P International Developed Momentum ETF · International Equity | Whole market | +13.3% | 18.2% | 0.78 | −31.3% | +229% | 0.05 | 0.25% |
| 41 | GARPiShares MSCI USA Quality GARP ETF · Broad Market | Whole market | +17.5% | 22.5% | 0.83 | −31.4% | — | -0.20 | 0.15% |
| 42 | FTLSFirst Trust Long/Short Equity ETF · Broad Market | Whole market | +10.2% | 10.4% | 0.99 | −20.6% | +158% | -0.04 | 0.95% |
| 43 | PTLCPacer Trendpilot US Large Cap ETF · Broad Market | Whole market | +9.5% | 11.8% | 0.83 | −26.6% | +188% | -0.03 | 0.60% |
| 44 | SPUSSP Funds S&P 500 Sharia Industry Exclusions ETF · Technology | Whole market | +15.0% | 19.5% | 0.82 | −30.8% | — | -0.15 | 0.45% |
| 45 | DIVIFranklin International Core Dividend Tilt Index ETF · International | Whole market | +13.4% | 15.5% | 0.89 | −27.7% | +184% | 0.06 | 0.09% |
| 46 | BCIabrdn Bloomberg All Commodity Strategy K-1 Free ETF · Alternatives | Whole market | +10.1% | 16.7% | 0.66 | −32.7% | — | 0.22 | 0.26% |
| 47 | ACIOAptus Collared Income Opportunity ETF · Dividend & Income | Whole market | +9.3% | 11.1% | 0.86 | −14.2% | — | -0.06 | 0.79% |
| 48 | FTHIFirst Trust BuyWrite Income ETF · Dividend & Income | Whole market | +10.3% | 13.3% | 0.81 | −32.7% | +126% | -0.01 | 0.75% |
| 49 | SCHYSchwab International Dividend Equity ETF · International | Whole market | +9.5% | 13.3% | 0.75 | −24.0% | — | 0.20 | 0.08% |
| 50 | PWBInvesco Large Cap Growth ETF · Broad Market | Whole market | +14.8% | 22.2% | 0.74 | −32.4% | +409% | -0.17 | 0.55% |
| 51 | HFXINYLI FTSE International Equity Currency Neutral ETF · International | Whole market | +11.4% | 15.3% | 0.79 | −32.4% | +180% | 0.00 | 0.19% |
| 52 | CHCOCity Holding Company · Banks - Regional | Whole market | +15.9% | 22.8% | 0.77 | −32.3% | +286% | 0.19 | — |
| 53 | INFLHorizon Kinetics Inflation Beneficiaries ETF · Broad Market | Whole market | +11.8% | 17.8% | 0.72 | −21.3% | — | 0.32 | 0.85% |
| 54 | QGROAmerican Century U.S. Quality Growth ETF · Broad Market | Whole market | +9.9% | 21.2% | 0.55 | −32.6% | — | -0.13 | 0.29% |
| 55 |  JPMJPMorgan Chase & Co. · Banks | Whole market | +17.3% | 24.3% | 0.78 | −43.6% | +537% | 0.05 | — |
| 56 | TDVGT. Rowe Price Dividend Growth ETF · Dividend & Income | Whole market | +9.6% | 13.8% | 0.73 | −19.2% | — | 0.08 | 0.50% |
| 57 |  ABBVAbbVie Inc. · Pharmaceuticals | Whole market | +26.1% | 23.4% | 1.11 | −45.1% | +603% | 0.24 | — |
| 58 | DBJPXtrackers MSCI Japan Hedged Equity ETF · International | Whole market | +20.9% | 19.2% | 1.09 | −31.3% | +348% | -0.04 | 0.45% |
| 59 | PPHVanEck Pharmaceutical ETF · Healthcare | Whole market | +11.6% | 15.8% | 0.78 | −29.7% | +153% | 0.15 | 0.36% |
| 60 | PTNQPacer Trendpilot 100 ETF · Technology | Whole market | +9.7% | 14.1% | 0.73 | −28.1% | +305% | -0.23 | 0.65% |
| 61 | FTXHFirst Trust Nasdaq Pharmaceuticals ETF · Healthcare | Whole market | +11.9% | 16.9% | 0.75 | −32.1% | +153% | 0.14 | 0.60% |
| 62 | SIXHETC 6 Meridian Hedged Equity Index Option ETF · Broad Market | Whole market | +10.2% | 10.2% | 1.00 | −11.7% | — | 0.26 | 0.31% |
| 63 | EWJViShares MSCI Japan Value ETF · International | Whole market | +14.9% | 18.2% | 0.86 | −30.1% | — | 0.09 | 0.15% |
| 64 |  VVisa Inc. · Payment Processing | Whole market | +12.8% | 22.9% | 0.64 | −36.4% | +429% | -0.10 | — |
| 65 | DXJWisdomTree Japan Hedged Equity Fund · International Equity | Whole market | +26.6% | 19.1% | 1.34 | −39.1% | +428% | 0.07 | 0.48% |
| 66 |  KOThe Coca-Cola Company · Food & Beverages | Whole market | +14.7% | 16.8% | 0.91 | −37.0% | +204% | 0.26 | — |
| 67 |  MAMastercard Incorporated · Payment Processing | Whole market | +12.4% | 23.8% | 0.61 | −41.0% | +541% | 0.02 | — |
| 68 | WTPIWisdomTree Equity Premium Income Fund · Alternatives | Whole market | +9.1% | 12.2% | 0.78 | −28.4% | +121% | -0.03 | 0.44% |
| 69 |  PMPhilip Morris International Inc. · Tobacco | Whole market | +21.0% | 23.4% | 0.94 | −42.9% | +242% | 0.16 | — |
| 70 |  MRKMerck & Co., Inc. · Pharmaceuticals | Whole market | +16.3% | 24.8% | 0.74 | −43.4% | +241% | 0.14 | — |
| 71 | LGHHCM Defender 500 Index ETF · Broad Market | Whole market | +9.4% | 16.7% | 0.63 | −29.6% | — | -0.05 | 1.00% |
| 72 | DGICADonegal Group Inc. · Insurance - Property & Casualty | Whole market | +9.9% | 23.5% | 0.52 | −30.3% | +78.9% | -0.03 | — |
| 73 |  WELLWelltower Inc. · Healthcare REITs | Whole market | +26.0% | 23.8% | 1.09 | −63.3% | +379% | -0.09 | — |
| 74 |  TDThe Toronto-Dominion Bank · Banks | Whole market | +15.8% | 20.0% | 0.84 | −42.0% | +310% | -0.02 | — |
| 75 |  TJXThe TJX Companies, Inc. · Specialty Retail | Whole market | +19.9% | 22.3% | 0.93 | −42.5% | +361% | 0.04 | — |
| 76 |  BTIBritish American Tobacco p.l.c. · Tobacco | Whole market | +18.7% | 22.0% | 0.90 | −56.1% | +98.2% | 0.40 | — |
| 77 |  CBChubb Limited · Property & Casualty Insurance | Whole market | +15.7% | 20.4% | 0.82 | −42.6% | +248% | 0.19 | — |
| 78 |  MOAltria Group, Inc. · Tobacco | Whole market | +17.8% | 21.4% | 0.88 | −53.7% | +140% | 0.26 | — |
| 79 |  BNYBank of New York Mellon Corp · Banks | Whole market | +22.7% | 24.4% | 0.97 | −50.5% | +341% | 0.02 | — |
| 80 |  WMBThe Williams Companies, Inc. · Oil & Gas Midstream | Whole market | +24.6% | 24.0% | 1.04 | −68.1% | +288% | 0.20 | — |
| 81 |  CMCanadian Imperial Bank of Commerce · Banks | Whole market | +19.2% | 21.6% | 0.93 | −47.3% | +395% | -0.08 | — |
| 82 |  TRVThe Travelers Companies, Inc. · Property & Casualty Insurance | Whole market | +22.4% | 22.3% | 1.02 | −46.3% | +347% | 0.18 | — |
| 83 |  EPDEnterprise Products Partners L.P. · Oil & Gas Midstream | Whole market | +16.4% | 17.1% | 0.98 | −58.1% | +178% | 0.13 | — |
| 84 |  SCHDSchwab U.S. Dividend Equity ETF · US Dividend Equity | Whole market | +9.7% | 14.3% | 0.72 | −33.4% | +252% | 0.30 | 0.06% |
| 85 |  BMOBank of Montreal · Banks | Whole market | +13.6% | 21.4% | 0.71 | −51.0% | +295% | -0.09 | — |
| 86 |  MFCManulife Financial Corporation · Life Insurance | Whole market | +22.6% | 24.0% | 0.97 | −57.5% | +373% | -0.17 | — |
| 87 |  BNSThe Bank of Nova Scotia · Banks | Whole market | +12.9% | 19.9% | 0.71 | −46.9% | +187% | -0.05 | — |
| 88 |  KMIKinder Morgan, Inc. · Oil & Gas Midstream | Whole market | +18.7% | 22.5% | 0.88 | −55.1% | +163% | 0.22 | — |
| 89 |  VTVanguard Total World Stock ETF · Global Equity | Whole market | +10.3% | 16.2% | 0.69 | −34.2% | +223% | -0.04 | 0.06% |
| 90 |  SOThe Southern Company · Electric Utilities | Whole market | +11.3% | 18.8% | 0.67 | −38.4% | +170% | 0.18 | — |
| 91 |  CMECME Group Inc. · Capital Markets | Whole market | +11.2% | 20.8% | 0.62 | −37.4% | +319% | 0.28 | — |
| 92 |  AFLAflac Incorporated · Life Insurance | Whole market | +19.0% | 20.8% | 0.95 | −54.9% | +335% | 0.18 | — |
| 93 |  ENBEnbridge Inc. · Oil & Gas Midstream | Whole market | +9.1% | 18.9% | 0.56 | −44.1% | +103% | 0.19 | — |
| 94 |  RSGRepublic Services, Inc. · Environmental Services | Whole market | +13.9% | 18.5% | 0.80 | −34.0% | +446% | 0.07 | — |
| 95 |  ORLYO'Reilly Automotive, Inc. · Specialty Retail | Whole market | +15.9% | 23.4% | 0.75 | −42.0% | +393% | 0.35 | — |
| 96 |  MSIMotorola Solutions, Inc. · Communications Equipment | Whole market | +14.8% | 23.6% | 0.71 | −32.8% | +625% | 0.28 | — |
| 97 |  IBNICICI Bank Limited · Banks | Whole market | +9.2% | 23.5% | 0.49 | −55.0% | +318% | 0.02 | — |
| 98 |  GSKGSK plc · Pharmaceuticals | Whole market | +9.5% | 24.5% | 0.49 | −37.6% | +95.1% | 0.19 | — |
| 99 |  NGGNational Grid plc · Electric Utilities | Whole market | +11.8% | 22.6% | 0.61 | −39.2% | +118% | 0.20 | — |
| 100 |  ETREntergy Corporation · Electric Utilities | Whole market | +19.2% | 22.4% | 0.90 | −42.0% | +311% | 0.16 | — |
NOC against its popular alternatives
The investments people most often weigh against NOC, compared period by period and year by year.
How do NOC's risk and return compare with its alternatives?
This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings. Investments toward the upper left earned more for a smoother ride, and those toward the lower right earned less for a rougher one. The dashed lines cross at NOC, which divides the map into what did better or worse on each measure.
- RTX, GD and LMT were both more rewarding and calmer than NOC over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, NOC returned 7.6% a year, less than the S&P 500's 12.7%, with higher volatility (26.1% against 17.1%).
Green points earned more than NOC with less volatility; red points earned less with more. Hover over a point for its figures. Total returns with dividends reinvested, annualized.
All figures
| Investment | Annual return | Volatility |
|---|---|---|
| CRS Carpenter Technology Corporation | +63.9% | 46.5% |
| ATI ATI Inc. | +61.8% | 42.9% |
| PLTR Palantir Technologies Inc. | +51.4% | 67.0% |
| GE GE Aerospace | +36.0% | 31.0% |
| RKLB Rocket Lab USA, Inc. | +32.0% | 78.8% |
| CW Curtiss-Wright Corporation | +30.8% | 28.7% |
| DRS Leonardo DRS, Inc. | +26.8% | 42.8% |
| BWXT BWX Technologies, Inc. | +19.6% | 34.1% |
| RTX RTX Corporation | +18.6% | 24.3% |
| HEI HEICO Corporation | +17.3% | 27.8% |
| CACI CACI International Inc | +16.6% | 29.9% |
| TDG TransDigm Group Incorporated | +16.4% | 28.0% |
| GD General Dynamics Corporation | +12.9% | 20.8% |
| SPY S&P 500State Street SPDR S&P 500 ETF | +12.7% | 17.1% |
| KTOS Kratos Defense & Security Solutions, Inc. | +11.4% | 53.1% |
| LMT Lockheed Martin Corporation | +11.1% | 24.2% |
| HXL Hexcel Corporation | +10.2% | 32.2% |
| SAIC Science Applications International Corporation | +9.9% | 30.7% |
| NOC This pageNorthrop Grumman Corporation | +7.6% | 26.1% |
| HII Huntington Ingalls Industries, Inc. | +7.4% | 32.2% |
| MRCY Mercury Systems, Inc. | +7.1% | 47.9% |
| LDOS Leidos Holdings, Inc. | +6.3% | 27.8% |
| AVAV AeroVironment, Inc. | +4.9% | 58.4% |
| LHX L3Harris Technologies, Inc. | +2.5% | 24.9% |
| TXT Textron Inc. | +0.8% | 27.6% |
| BA The Boeing Company | −2.5% | 36.8% |
Has NOC consistently beaten its popular alternatives?
This section compares NOC with the investments people most often weigh against it, checking each one over eight periods from one month to ten years. Counting how often an alternative earned more than NOC helps separate lasting outperformance from a single strong stretch.
- Ten of the 24 popular alternatives, led by LMT, CACI and ATI, outperformed NOC in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- LMT and CACI outperformed NOC in every long-term period and in all but one short-term period, the most consistent record in the group.
- LMT earned more for the risk it took than NOC (a higher Sharpe ratio) and fell less in its worst decline of the past 10 years.
A green cell means the alternative earned more than NOC over that period. "Qualified" marks those that did so in at least 3 of 5 short-term periods and 2 of 3 long-term periods.
| Investment | Periods outperformed | Short term | Long term | Risk · 5 years | Fund | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1M | 3M | 6M | YTD | 1Y | 3Y | 5Y | 10Y | Volatilitylower is calmer | Sharpehigher is better | Worst declinepast 10 years | Expense | Assets | Overlapsame sectors | ||
| NOC Northrop Grumman Corporation (this page) | — | +1.4% | +2.4% | −18.0% | −7.7% | −9.8% | +15.6% | +44.5% | +188% | 26.1% | 0.41 | −37.8% | — | $76B | — |
| LMT QualifiedLockheed Martin Corporation | 5/5 short3/3 longAll-weather | +2.5% | +8.4% | −4.4% | +12.4% | +11.3% | +33.8% | +69.0% | +204% | 24.2% | 0.56 | −36.7% | — | $127B | — |
| CACI QualifiedCACI International Inc | 4/5 short3/3 longAll-weather | −4.0% | +34.7% | +16.4% | +13.1% | +15.4% | +85.8% | +115% | +499% | 29.9% | 0.66 | −42.9% | — | $13B | — |
| ATI QualifiedATI Inc. | 3/5 short3/3 long | −3.2% | −1.7% | +11.6% | +53.6% | +125% | +415% | +1,008% | +929% | 42.9% | 1.34 | −82.4% | — | $25B | — |
| RTX QualifiedRTX Corporation | 3/5 short3/3 long | −0.5% | −0.2% | −0.5% | +4.4% | +22.1% | +183% | +135% | +317% | 24.3% | 0.83 | −52.0% | — | $261B | — |
| PLTR QualifiedPalantir Technologies Inc. | 5/5 short2/3 long | +5.2% | +42.8% | +32.0% | +14.7% | +6.1% | +1,096% | +695% | — | 67.0% | 0.95 | −84.6% | — | $443B | — |
| SAIC QualifiedScience Applications International Corporation | 4/5 short2/3 long | +1.6% | +20.3% | +43.5% | +35.3% | +37.6% | +27.6% | +60.1% | +135% | 30.7% | 0.46 | −45.9% | — | $5.7B | — |
| HXL QualifiedHexcel Corporation | 4/5 short2/3 long | +5.0% | −13.5% | +2.4% | +19.5% | +45.6% | +44.9% | +62.4% | +122% | 32.2% | 0.46 | −68.5% | — | $6.9B | — |
| MRCY QualifiedMercury Systems, Inc. | 3/5 short2/3 long | −13.0% | −21.3% | −11.4% | −2.0% | −3.3% | +100% | +40.9% | +212% | 47.9% | 0.38 | −71.7% | — | $4.5B | — |
| GD QualifiedGeneral Dynamics Corporation | 3/5 short2/3 long | −2.2% | −6.6% | +4.7% | +2.1% | +4.0% | +55.4% | +83.3% | +184% | 20.8% | 0.69 | −51.6% | — | $93B | — |
| GE QualifiedGE Aerospace | 3/5 short2/3 long | −5.9% | −12.0% | −1.0% | −6.1% | −0.4% | +261% | +366% | +139% | 31.0% | 1.15 | −80.9% | — | $311B | — |
| CRS SteelCarpenter Technology Corporation | 2/5 short3/3 long | −7.5% | −32.8% | −17.5% | +10.3% | +54.5% | +521% | +1,082% | +1,021% | 46.5% | 1.30 | −74.7% | — | $18B | — |
| HEI Aerospace & DefenseHEICO Corporation | 2/5 short3/3 long | +0.7% | −10.3% | +4.5% | −7.3% | −2.4% | +93.4% | +122% | +809% | 27.8% | 0.71 | −57.7% | — | $43B | — |
| TDG Aerospace & DefenseTransDigm Group Incorporated | 2/5 short3/3 long | +3.0% | −5.1% | −10.3% | −15.9% | −12.2% | +62.5% | +114% | +543% | 28.0% | 0.69 | −62.6% | — | $63B | — |
| DRS Aerospace & DefenseLeonardo DRS, Inc. | 1/5 short3/3 long | −10.6% | −23.4% | −23.0% | −1.8% | −14.2% | +82.9% | +228% | +3,294% | 42.8% | 0.77 | −67.5% | — | $9.1B | — |
| KTOS Aerospace & DefenseKratos Defense & Security Solutions, Inc. | 0/5 short3/3 long | −19.8% | −15.2% | −44.2% | −50.9% | −55.0% | +127% | +71.3% | +515% | 53.1% | 0.47 | −72.7% | — | $7.3B | — |
| CW Aerospace & DefenseCurtiss-Wright Corporation | 0/5 short3/3 long | −12.8% | −30.1% | −32.1% | −13.4% | −11.6% | +148% | +283% | +512% | 28.7% | 1.08 | −48.7% | — | $18B | — |
| BWXT Aerospace & DefenseBWX Technologies, Inc. | 0/5 short3/3 long | −9.0% | −20.7% | −41.0% | −25.9% | −35.0% | +79.8% | +145% | +289% | 34.1% | 0.70 | −47.7% | — | $12B | — |
| LDOS Information Technology ServicesLeidos Holdings, Inc. | 2/5 short2/3 long | −0.4% | +19.7% | −17.0% | −29.8% | −32.2% | +42.4% | +35.6% | +253% | 27.8% | 0.36 | −49.5% | — | $16B | — |
| LHX Aerospace & DefenseL3Harris Technologies, Inc. | 0/5 short2/3 long | +0.7% | −10.9% | −28.0% | −17.3% | −13.0% | +49.6% | +13.0% | +229% | 24.9% | 0.22 | −38.2% | — | $46B | — |
| RKLB Aerospace & DefenseRocket Lab USA, Inc. | 0/5 short2/3 long | −27.2% | −22.6% | −43.1% | −33.0% | −24.4% | +1,144% | +300% | — | 78.8% | 0.74 | −83.0% | — | $30B | — |
| HII Aerospace & DefenseHuntington Ingalls Industries, Inc. | 1/5 short1/3 long | −1.4% | +1.3% | −30.0% | −21.2% | −3.2% | +32.2% | +43.2% | +110% | 32.2% | 0.39 | −49.7% | — | $11B | — |
| AVAV Aerospace & DefenseAeroVironment, Inc. | 0/5 short1/3 long | −26.9% | −17.5% | −40.4% | −54.1% | −67.7% | +0.7% | +27.1% | +426% | 58.4% | 0.37 | −71.3% | — | $6.0B | — |
| TXT Aerospace & DefenseTextron Inc. | 2/5 short0/3 long | −2.8% | −15.0% | −15.6% | −11.3% | −6.3% | +1.9% | +4.1% | +97.9% | 27.6% | 0.17 | −70.0% | — | $13B | — |
| BA Aerospace & DefenseThe Boeing Company | 1/5 short0/3 long | −5.3% | −9.1% | −15.4% | −16.4% | −12.2% | +5.8% | −11.9% | +52.4% | 36.8% | 0.12 | −77.9% | — | $151B | — |
How did NOC do year by year?
This table shows each investment's total return in every full calendar year since 1997, along with where NOC ranked among its popular alternatives each year. Annual results reveal how consistently each one kept pace with NOC and how far its good and bad years diverged, detail that multiyear averages tend to smooth over.
- Ranked against its popular alternatives each year, NOC finished in the top quarter in nine of 29 years and in the bottom quarter in four. In 2025, it ranked 18 of 25.
- NOC finished ahead of the S&P 500 in 19 of its 29 full calendar years.
- Among its popular alternatives, TDG came out ahead of NOC most often, in 12 of the 19 years both traded.
Newest year first. Green marks a year in which the fund came out ahead of NOC; gray means the two finished within a fraction of a point. The rank row places NOC among the alternatives that traded the full year; dark green is the top quarter and red the bottom quarter.
| Investment | Years ahead of NOC | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 | 2000 | 1999 | 1998 | 1997 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NOC This pageNorthrop Grumman Corporation | — | +23.6% | +1.9% | −12.8% | +43.0% | +29.3% | −9.9% | +42.7% | −18.9% | +33.9% | +25.2% | +30.5% | +31.4% | +74.4% | +19.6% | +2.9% | +19.7% | +28.5% | −41.2% | +18.4% | +14.6% | +12.6% | +15.7% | +0.3% | −2.4% | +23.7% | +57.3% | −24.2% | −35.3% | +41.5% |
| Rank among alternatives | Top quarter in 9 of 29 | 18 of 25 | 19 of 25 | 23 of 25 | 2 of 25 | 3 of 25 | 15 of 23 | 12 of 23 | 19 of 23 | 11 of 23 | 13 of 23 | 4 of 23 | 6 of 23 | 4 of 22 | 6 of 22 | 10 of 21 | 11 of 20 | 11 of 20 | 12 of 20 | 11 of 19 | 9 of 17 | 8 of 17 | 13 of 17 | 15 of 17 | 5 of 17 | 3 of 17 | 4 of 17 | 12 of 15 | 13 of 14 | 5 of 14 |
| SPY S&P 500State Street SPDR S&P 500 ETF | 9 of 29 | +17.7% | +24.9% | +26.2% | −18.2% | +28.7% | +18.3% | +31.2% | −4.6% | +21.7% | +12.0% | +1.2% | +13.5% | +32.3% | +16.0% | +1.9% | +15.1% | +26.4% | −36.8% | +5.1% | +15.9% | +4.8% | +10.7% | +28.2% | −21.6% | −11.7% | −9.8% | +20.4% | +28.7% | +33.5% |
| LMT Lockheed Martin Corporation | 13 of 29 | +2.5% | +10.0% | −4.3% | +40.5% | +3.1% | −6.5% | +52.5% | −16.4% | +30.0% | +18.4% | +16.2% | +33.8% | +68.1% | +19.5% | +20.7% | −3.9% | −7.6% | −18.6% | +16.0% | +47.0% | +16.5% | +10.0% | −10.0% | +24.7% | +39.0% | +57.9% | −46.9% | −12.6% | +9.5% |
| CACI CACI International Inc | 14 of 29 | +31.9% | +24.8% | +7.7% | +11.7% | +8.0% | −0.3% | +73.6% | +8.8% | +6.5% | +34.0% | +7.7% | +17.7% | +33.1% | −1.6% | +4.7% | +9.3% | +8.3% | +0.7% | −20.8% | −1.5% | −15.8% | +40.1% | +36.4% | −9.8% | +243% | +1.8% | +34.0% | −14.8% | −5.6% |
| ATI ATI Inc. | 13 of 26 | +109% | +21.1% | +52.3% | +87.5% | −5.0% | −18.8% | −5.1% | −9.8% | +51.5% | +43.9% | −66.7% | −0.5% | +20.2% | −35.1% | −12.2% | +25.0% | +79.8% | −70.0% | −4.2% | +153% | +68.2% | +66.5% | +122% | −60.8% | +10.3% | −26.5% | — | — | — |
| RTX RTX Corporation | 10 of 29 | +61.4% | +40.8% | −14.4% | +20.0% | +23.3% | −16.7% | +44.1% | −14.5% | +19.3% | +17.3% | −14.3% | +3.4% | +42.0% | +15.3% | −4.8% | +16.4% | +33.4% | −28.4% | +24.6% | +13.8% | +10.2% | +10.9% | +55.5% | −2.6% | −16.8% | +22.7% | +21.1% | +51.8% | +11.7% |
| PLTR Palantir Technologies Inc. | 3 of 5 | +135% | +340% | +167% | −64.7% | −22.7% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| SAIC Science Applications International Corporation | 5 of 12 | −8.7% | −9.0% | +13.6% | +34.9% | −10.2% | +10.8% | +39.1% | −15.5% | −8.2% | +89.5% | −5.3% | +54.0% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| HXL Hexcel Corporation | 11 of 29 | +19.2% | −14.2% | +26.2% | +14.4% | +6.8% | −33.7% | +28.9% | −6.5% | +21.1% | +11.9% | +12.9% | −7.1% | +65.8% | +11.3% | +33.9% | +39.4% | +75.5% | −69.5% | +39.5% | −3.6% | +24.5% | +95.6% | +147% | −2.5% | −65.5% | +60.7% | −33.6% | −66.4% | +53.5% |
| MRCY Mercury Systems, Inc. | 13 of 27 | +73.8% | +14.8% | −18.3% | −18.7% | −37.5% | +27.4% | +46.1% | −7.9% | +69.9% | +64.6% | +37.1% | +27.2% | +19.0% | −30.8% | −27.7% | +67.0% | +74.5% | −60.8% | +20.6% | −35.3% | −30.5% | +19.2% | −18.4% | −22.0% | −15.8% | +32.7% | +149% | — | — |
| GD General Dynamics Corporation | 14 of 29 | +30.4% | +3.5% | +7.1% | +21.7% | +43.8% | −13.1% | +14.8% | −21.3% | +19.9% | +28.5% | +1.8% | +47.3% | +41.0% | +8.2% | −3.9% | +6.7% | +21.6% | −34.2% | +21.4% | +32.1% | +10.6% | +17.4% | +16.0% | +1.1% | +3.6% | +50.5% | −9.2% | +38.6% | +25.3% |
| GE GE Aerospace | 12 of 29 | +85.7% | +64.9% | +95.8% | −10.9% | +9.7% | −2.7% | +54.0% | −55.4% | −42.9% | +4.6% | +27.5% | −6.7% | +37.9% | +21.3% | +1.3% | +24.3% | −1.9% | −53.9% | +2.7% | +9.3% | −1.4% | +20.7% | +30.7% | −37.7% | −15.1% | −6.0% | +53.6% | +41.0% | +51.0% |
| CRS Carpenter Technology Corporation | 14 of 29 | +86.2% | +142% | +94.5% | +29.5% | +2.7% | −39.4% | +42.1% | −29.2% | +43.4% | +22.0% | −37.4% | −19.8% | +22.1% | +1.7% | +30.0% | +52.6% | +35.9% | −72.1% | +48.0% | +46.5% | +21.7% | +99.5% | +142% | −50.7% | −18.9% | +34.3% | −15.0% | −27.2% | +35.3% |
| HEI HEICO Corporation | 18 of 29 | +36.2% | +33.1% | +16.6% | +6.7% | +9.1% | +16.2% | +47.5% | +28.6% | +53.0% | +42.3% | −9.7% | +4.5% | +63.2% | +1.1% | +43.6% | +44.3% | +14.5% | −28.6% | +40.7% | +50.4% | +14.9% | +38.1% | +73.2% | −29.5% | +6.7% | −28.3% | −30.8% | +66.7% | +78.9% |
| TDG TransDigm Group Incorporated | 12 of 19 | +12.2% | +32.3% | +66.6% | +1.8% | +2.8% | +10.5% | +84.4% | +23.8% | +19.8% | +19.1% | +16.4% | +39.9% | +36.8% | +56.1% | +32.9% | +51.6% | +67.3% | −25.7% | +70.4% | — | — | — | — | — | — | — | — | — | — |
| DRS Leonardo DRS, Inc. | 12 of 29 | +6.6% | +61.2% | +56.8% | +35.7% | −3.3% | +87.7% | +101% | −16.2% | +166% | +63.2% | −85.8% | +72.6% | +37.7% | −45.4% | −22.0% | +10.7% | +209% | −63.6% | −2.7% | −37.1% | −28.9% | −14.6% | +183% | −62.3% | −33.2% | −36.0% | +28.2% | −11.4% | −65.1% |
| KTOS Kratos Defense & Security Solutions, Inc. | 9 of 26 | +188% | +30.0% | +96.6% | −46.8% | −29.3% | +52.3% | +27.8% | +33.1% | +43.1% | +80.5% | −18.3% | −34.6% | +52.7% | −15.8% | −54.7% | +24.8% | −24.6% | −40.4% | −17.5% | −44.1% | −46.0% | −36.5% | +147% | −10.7% | −81.4% | −16.9% | — | — | — |
| CW Curtiss-Wright Corporation | 16 of 29 | +55.7% | +59.7% | +34.0% | +21.0% | +19.9% | −16.8% | +38.7% | −15.8% | +24.5% | +44.4% | −2.2% | +14.3% | +91.4% | −6.0% | +7.5% | +7.1% | −5.2% | −32.9% | +36.2% | +36.9% | −4.3% | +28.4% | +42.3% | +34.9% | +3.9% | +27.8% | −1.8% | +6.3% | +46.4% |
| BWXT BWX Technologies, Inc. | 8 of 15 | +56.4% | +46.5% | +33.9% | +23.3% | −19.4% | −1.5% | +64.5% | −36.1% | +53.6% | +26.2% | +48.2% | −10.2% | +32.0% | +8.9% | −5.6% | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| LDOS Leidos Holdings, Inc. | 9 of 19 | +26.5% | +34.5% | +4.5% | +20.0% | −14.2% | +8.9% | +88.8% | −16.7% | +28.4% | +27.0% | +35.0% | −3.2% | +64.2% | −5.3% | −22.5% | −16.3% | −2.8% | −3.2% | +13.1% | — | — | — | — | — | — | — | — | — | — |
| LHX L3Harris Technologies, Inc. | 15 of 29 | +42.3% | +1.9% | +3.7% | −0.5% | +15.0% | −2.8% | +49.2% | −3.4% | +40.8% | +20.7% | +24.0% | +5.5% | +46.7% | +40.3% | −18.4% | −2.7% | +31.5% | −38.4% | +38.0% | +7.5% | +40.3% | +64.0% | +46.1% | −13.0% | +0.2% | +15.4% | +4.6% | −18.1% | +36.6% |
| RKLB Rocket Lab USA, Inc. | 3 of 5 | +174% | +361% | +46.7% | −69.3% | +21.5% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| HII Huntington Ingalls Industries, Inc. | 6 of 14 | +84.2% | −25.7% | +15.2% | +26.3% | +12.1% | −30.4% | +34.0% | −18.2% | +29.5% | +47.2% | +14.4% | +26.1% | +109% | +38.9% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| AVAV AeroVironment, Inc. | 8 of 18 | +57.2% | +22.1% | +47.1% | +38.1% | −28.6% | +40.8% | −9.1% | +21.0% | +109% | −9.0% | +8.2% | −6.5% | +34.0% | −30.9% | +17.3% | −7.7% | −21.0% | +52.1% | — | — | — | — | — | — | — | — | — | — | — |
| TXT Textron Inc. | 13 of 29 | +14.1% | −4.8% | +13.7% | −8.2% | +59.9% | +8.6% | −2.9% | −18.6% | +16.7% | +15.8% | 0.0% | +14.7% | +48.7% | +34.5% | −21.5% | +26.1% | +36.7% | −80.0% | +54.4% | +24.0% | +6.3% | +32.2% | +37.1% | +6.9% | −8.5% | −37.8% | +2.6% | +24.3% | +34.8% |
| BA The Boeing Company | 14 of 29 | +22.7% | −32.1% | +36.8% | −5.4% | −5.9% | −33.9% | +3.3% | +11.5% | +94.7% | +11.3% | +14.1% | −2.5% | +84.7% | +5.2% | +15.2% | +23.6% | +31.8% | −50.1% | −0.1% | +28.4% | +37.9% | +24.9% | +30.4% | −13.4% | −40.4% | +61.2% | +28.7% | −32.5% | −7.1% |
Risk and diversification
How NOC has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.
What were NOC's worst declines?
A drawdown is the decline from a peak to the lowest point before a new high. This section presents NOC's five deepest drawdowns since it began trading in 1986, alongside the S&P 500's return over the same dates, and how long each took to recover. Together, these figures show how much an investor could have lost and how long it took to get back to even.
- In all four of NOC's worst declines, the S&P 500 held up better over the same dates.
- Not every decline was the market's doing: NOC fell 67.0% from February 1998 to March 2000, while the S&P 500 rose 34.9%.
- The slowest recovery came after NOC fell 39.7% from June 2002 to March 2003; it did not regain that peak until January 2006, three years later.
Green means NOC fell less than the S&P 500 over the same dates. Based on daily closing prices with dividends reinvested.
| During | NOC fell | S&P 500, same dates | Peak | Low | Time to the low | Back at the peak | Time to recover |
|---|---|---|---|---|---|---|---|
| No named crash | −68.5% | — | Apr 1987 | Jul 1990 | 3.3 years | Apr 1993 | 2.8 years |
| No named crash | −67.0% | +34.9% | Feb 1998 | Mar 2000 | 2.1 years | Jun 2002 | 2.3 years |
| 2008 financial crisis | −58.7% | −49.3% | Nov 2007 | Nov 2008 | 12 months | Jun 2011 | 2.6 years |
| Dot-com bust | −39.7% | −20.4% | Jun 2002 | Mar 2003 | 9 months | Jan 2006 | 2.8 years |
| No named crash | −37.8% | +14.1% | Mar 2026 | Oct 2026 | 7 months | Not yet | — |
How did NOC do in stock market crashes?
This section measures how far NOC, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000. A smaller decline means an investment held up better, and comparing results across crashes shows whether that resilience was consistent or a one-off.
- Among its popular alternatives, LMT held up best, falling less than NOC in six of the ten crashes they both traded through.
- NOC fell less than the S&P 500 in six of the ten crashes it has traded through. The clearest case was the dot-com bust, when NOC fell 27.6% and the S&P 500 fell 47.5%.
Newest crash first. Each figure is the fund's deepest fall within the crash window; green means a smaller fall than NOC.
| Investment | Held up better | 2023 regional bank crisisMar 2023 | 2022 bear marketJan 2022 | Covid crashFeb 2020 | Late-2018 sell-offSep 2018 | February 2018 volatility shockFeb 2018 | 2015 China and oil sell-offAug 2015 | 2011 euro debt crisisJul 2011 | 2010 flash crashMay 2010 | 2008 financial crisisOct 2007 | Dot-com bustMar 2000 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| NOC This pageNorthrop Grumman Corporation | — | −1.6% | −11.2% | −26.1% | −29.0% | −4.3% | −9.1% | −24.7% | −2.7% | −58.7% | −27.6% |
| SPY S&P 500State Street SPDR S&P 500 ETF | 4 of 10 | −3.4% | −24.5% | −33.7% | −19.3% | −6.5% | −12.8% | −17.9% | −1.5% | −55.2% | −47.5% |
| LMT Lockheed Martin Corporation | 6 of 10 | −0.8% | −16.9% | −35.9% | −29.4% | −5.2% | −8.5% | −17.3% | −1.9% | −50.5% | −24.5% |
| CACI CACI International Inc | 5 of 10 | −3.4% | −18.9% | −41.4% | −26.0% | −3.0% | −21.9% | −24.0% | 0.0% | −30.0% | −43.5% |
| ATI ATI Inc. | 1 of 10 | −8.7% | −30.9% | −74.4% | −28.7% | −4.5% | −65.6% | −48.4% | 0.0% | −86.7% | −73.7% |
| RTX RTX Corporation | 3 of 10 | −1.5% | −21.9% | −50.5% | −27.7% | −7.1% | −15.4% | −23.1% | −2.5% | −52.0% | −52.1% |
| PLTR Palantir Technologies Inc. | 0 of 2 | −9.6% | −63.1% | — | — | — | — | — | — | — | — |
| SAIC Science Applications International Corporation | 1 of 6 | −2.6% | −15.4% | −45.9% | −27.7% | −9.3% | −24.1% | — | — | — | — |
| HXL Hexcel Corporation | 1 of 10 | −6.2% | −19.6% | −61.3% | −21.0% | −6.0% | −29.2% | −25.1% | −3.5% | −82.8% | −86.7% |
| MRCY Mercury Systems, Inc. | 1 of 10 | −6.8% | −41.8% | −34.0% | −24.8% | −10.3% | −16.1% | −36.3% | −5.0% | −84.5% | −75.5% |
| GD General Dynamics Corporation | 3 of 10 | −3.6% | −15.3% | −43.2% | −28.4% | −7.1% | −18.1% | −21.8% | −2.2% | −61.0% | −32.4% |
| GE GE Aerospace | 1 of 10 | −2.8% | −40.7% | −51.5% | −50.7% | −7.6% | −12.3% | −22.1% | −2.5% | −82.7% | −61.9% |
| CRS Carpenter Technology Corporation | 2 of 10 | −8.7% | −41.9% | −66.2% | −43.6% | −3.8% | −36.5% | −28.1% | 0.0% | −84.7% | −70.2% |
| HEI HEICO Corporation | 1 of 10 | −3.7% | −18.8% | −52.4% | −22.6% | −7.3% | −14.6% | −27.3% | −3.0% | −61.4% | −53.9% |
| TDG TransDigm Group Incorporated | 3 of 9 | −8.1% | −24.9% | −61.7% | −16.3% | −8.1% | −23.4% | −20.6% | −3.2% | −51.7% | — |
| DRS Leonardo DRS, Inc. | 1 of 10 | −4.6% | −52.8% | −62.7% | −17.0% | −7.6% | −74.5% | −56.4% | −10.2% | −78.2% | −93.4% |
| KTOS Kratos Defense & Security Solutions, Inc. | 1 of 10 | −3.1% | −57.5% | −51.1% | −19.8% | −7.4% | −41.5% | −47.3% | −3.9% | −80.6% | −97.5% |
| CW Curtiss-Wright Corporation | 2 of 10 | −4.4% | −20.5% | −47.8% | −29.6% | −9.6% | −12.9% | −19.3% | −1.7% | −59.2% | −33.7% |
| BWXT BWX Technologies, Inc. | 0 of 7 | −3.1% | −18.1% | −40.1% | −41.6% | −6.2% | −16.0% | −31.1% | — | — | — |
| LDOS Leidos Holdings, Inc. | 3 of 9 | −1.9% | −19.8% | −40.9% | −27.2% | −6.4% | −30.5% | −31.7% | 0.0% | −20.9% | — |
| LHX L3Harris Technologies, Inc. | 3 of 10 | −2.6% | −22.2% | −33.2% | −26.3% | −4.9% | −19.9% | −22.8% | −2.9% | −56.1% | −45.2% |
| RKLB Rocket Lab USA, Inc. | 0 of 2 | −8.9% | −68.1% | — | — | — | — | — | — | — | — |
| HII Huntington Ingalls Industries, Inc. | 0 of 7 | −2.1% | −13.0% | −34.8% | −32.0% | −7.5% | −13.4% | −33.3% | — | — | — |
| AVAV AeroVironment, Inc. | 2 of 9 | −4.1% | −31.7% | −27.0% | −42.2% | −7.6% | −28.1% | −22.3% | −3.0% | −24.4% | — |
| TXT Textron Inc. | 0 of 10 | −8.1% | −25.9% | −54.5% | −38.9% | −6.0% | −29.0% | −39.9% | −9.4% | −94.7% | −49.9% |
| BA The Boeing Company | 3 of 10 | −2.9% | −48.7% | −71.9% | −24.7% | −5.7% | −26.8% | −20.5% | −1.8% | −70.0% | −57.1% |
How closely does NOC move with the S&P 500?
Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell. An investment that captures more of the gains than the losses has compounded ahead of the market over time. This section compares NOC with its popular alternatives on both measures, and on beta (how strongly each has moved with the market), over the past 10 years.
- Over the past 10 years, NOC captured 49% of the S&P 500's gains in rising months and 32% of its losses in falling months, with a beta of 0.35. That is a defensive profile: it gave up some of the market's upside in exchange for smaller losses.
- Only DRS had a higher capture ratio (upside capture divided by downside capture) than NOC's 1.55, out of 22 popular alternatives with the same record.
- DRS took just 4% of the S&P 500's losses, against 32% for NOC, while still keeping 125% of its gains.
Monthly total returns over the past 10 years, measured against SPY. 100% capture or a beta of 1.00 means moving in line with the S&P 500. Green marks a better figure than NOC's: more upside, less downside or a higher capture ratio. Sorted by capture ratio.
| Investment | Upside capture | Downside capture | Capture ratio | Beta |
|---|---|---|---|---|
| NOC This pageNorthrop Grumman Corporation | 49% | 32% | 1.55 | 0.35 |
| DRS Leonardo DRS, Inc. | 125% | 4% | 27.82 | 0.66 |
| CACI CACI International Inc | 94% | 62% | 1.50 | 0.79 |
| HEI HEICO Corporation | 118% | 85% | 1.39 | 1.15 |
| CW Curtiss-Wright Corporation | 103% | 77% | 1.33 | 1.20 |
| LMT Lockheed Martin Corporation | 58% | 48% | 1.22 | 0.52 |
| ATI ATI Inc. | 141% | 116% | 1.22 | 1.37 |
| SAIC Science Applications International Corporation | 44% | 36% | 1.22 | 0.59 |
| BWXT BWX Technologies, Inc. | 82% | 68% | 1.21 | 0.87 |
| TDG TransDigm Group Incorporated | 112% | 97% | 1.15 | 1.25 |
| CRS Carpenter Technology Corporation | 155% | 137% | 1.13 | 1.68 |
| LHX L3Harris Technologies, Inc. | 72% | 65% | 1.11 | 0.70 |
| LDOS Leidos Holdings, Inc. | 78% | 73% | 1.06 | 0.73 |
| AVAV AeroVironment, Inc. | 120% | 114% | 1.05 | 0.90 |
| RTX RTX Corporation | 94% | 91% | 1.02 | 0.89 |
| MRCY Mercury Systems, Inc. | 84% | 82% | 1.02 | 0.97 |
| GD General Dynamics Corporation | 68% | 68% | 1.00 | 0.71 |
| KTOS Kratos Defense & Security Solutions, Inc. | 133% | 135% | 0.99 | 0.98 |
| GE GE Aerospace | 85% | 106% | 0.80 | 1.21 |
| HII Huntington Ingalls Industries, Inc. | 71% | 90% | 0.79 | 0.60 |
| HXL Hexcel Corporation | 94% | 135% | 0.69 | 1.27 |
| TXT Textron Inc. | 103% | 155% | 0.66 | 1.33 |
| BA The Boeing Company | 93% | 152% | 0.61 | 1.42 |
What diversifies NOC?
Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions). This section lists large ETFs and stocks whose returns have had a low correlation with NOC's. Because such investments tend not to fall at the same time, pairing NOC with them can reduce a portfolio's overall swings.
- Moving a fifth of the money in NOC into SMH would have cut the portfolio's volatility by 23% over the past 5 years and raised its annual return (+7.8% for NOC alone, +15.2% for the mix).
- Among large ETFs, LVHI, DXJ and EMLP have moved largely independently of NOC over the past 5 years, with correlations of 0.26 or lower, and each still earned a positive 5-year return.
- Among large stocks, CAH, CLS and FIX have moved largely independently of NOC over the past 5 years, with correlations of 0.16 or lower, and each still earned a positive 5-year return.
Only ETFs with at least $1.0B in assets and stocks worth at least $10B, with a correlation below 0.5 over the past 5 years and a positive return, are included, ranked by Sharpe ratio; funds that hold the same thing are shown once. The year columns are the years in which NOC lost money. The last two columns show a portfolio that is 80% NOC and 20% the other investment, rebalanced monthly.
ETFs
| Investment | Correlation | 5Y return | Sharpe | 2023 | 2020 | 2018 | 2008 | 2002 | 1999 | 1998 | 80/20 mix volatility | 80/20 mix annual return |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NOC Northrop Grumman Corporation (this page) | 1.00 | +44.5% | 0.41 | −12.8% | −9.9% | −18.9% | −41.2% | −2.4% | −24.2% | −35.3% | 25.1% | +7.8% |
| LVHI InternationalFranklin International Low Volatility High Dividend Index ETF | 0.17 | +119% | 1.48 | +17.4% | −9.0% | −5.2% | — | — | — | — | 20.5% | +10.1% |
| DXJ InternationalWisdomTree Japan Hedged Equity Fund | 0.07 | +225% | 1.34 | +42.0% | +3.9% | −19.8% | −20.8% | — | — | — | 20.4% | +12.0% |
| EMLP Broad MarketFirst Trust North American Energy Infrastructure Fund | 0.26 | +101% | 1.04 | +8.0% | −13.4% | −8.7% | — | — | — | — | 21.1% | +9.8% |
| HDV Dividend & IncomeiShares Core High Dividend ETF | 0.38 | +83.3% | 1.00 | +1.8% | −6.5% | −3.0% | — | — | — | — | 21.4% | +9.1% |
| SMH TechnologyVanEck Semiconductor ETF | -0.28 | +323% | 0.97 | +73.4% | +55.5% | −9.1% | −44.7% | −47.0% | — | — | 19.4% | +15.3% |
| DBEF InternationalXtrackers MSCI EAFE Hedged Equity ETF | -0.02 | +85.0% | 0.96 | +20.1% | +2.1% | −9.5% | — | — | — | — | 20.2% | +9.6% |
| GLD CommoditiesSPDR Gold Shares | 0.35 | +126% | 0.96 | +12.7% | +24.8% | −1.9% | +4.9% | — | — | — | 21.6% | +10.4% |
| SPMO Broad MarketInvesco S&P 500 Momentum ETF | -0.13 | +136% | 0.93 | +17.6% | +28.2% | −0.9% | — | — | — | — | 20.0% | +11.5% |
Stocks
| Investment | Correlation | 5Y return | Sharpe | 2023 | 2020 | 2018 | 2008 | 2002 | 1999 | 1998 | 80/20 mix volatility | 80/20 mix annual return |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NOC Northrop Grumman Corporation (this page) | 1.00 | +44.5% | 0.41 | −12.8% | −9.9% | −18.9% | −41.2% | −2.4% | −24.2% | −35.3% | 25.1% | +7.8% |
| CAH Medical - DistributionCardinal Health, Inc. | 0.16 | +479% | 1.55 | +34.1% | +10.1% | −24.5% | −39.6% | −8.3% | −36.8% | +51.7% | 21.6% | +14.2% |
| CLS Hardware, Equipment & PartsCelestica Inc. | -0.24 | +3,143% | 1.47 | +160% | −2.4% | −16.3% | −20.5% | −65.1% | +350% | — | 20.8% | +27.8% |
| FIX Engineering & ConstructionComfort Systems USA, Inc. | 0.12 | +1,636% | 1.46 | +79.6% | +6.7% | +0.8% | −15.2% | −9.4% | −58.7% | −9.5% | 23.0% | +22.9% |
| MCK Medical - DistributionMcKesson Corporation | 0.21 | +413% | 1.44 | +24.1% | +27.1% | −28.4% | −40.4% | −27.2% | −71.3% | +46.9% | 21.8% | +13.6% |
| MPC Oil & Gas Refining & MarketingMarathon Petroleum Corporation | 0.12 | +690% | 1.41 | +30.4% | −27.4% | −8.2% | — | — | — | — | 21.9% | +16.3% |
Common questions
What was NOC's worst drawdown?
NOC's deepest decline since it began trading in 1986 was 68.5%, from April 1987 to July 1990. It took about three years from the low to climb back to its old high.
What were NOC's best and worst years?
Over 29 full calendar years, NOC's best year was 2013, when it returned 74.4%. Its worst was 2008, with a return of -41.2%.
Is there a better investment than NOC?
Among NOC's popular alternatives, RTX, GD and LMT earned more than NOC with less volatility over the past 5 years. RTX returned 18.6% a year at 24.3% volatility, against 7.6% a year at 26.1%. Looking beyond its popular alternatives, CTAS (business services) and ADP (business services) earned more than NOC with less volatility over the past 5 years. CTAS returned 16.5% a year at 23.1% volatility, against 7.6% a year at 26.1%.
Is NOC more volatile than the S&P 500?
Yes. NOC's volatility over the past 5 years was 26.1%, 1.5 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, NOC's return lands within 26.1% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.
What is NOC's Sharpe ratio?
NOC's Sharpe ratio over the past 5 years was 0.41, against 0.79 for the S&P 500, so NOC earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.
How correlated is NOC with the S&P 500?
Over the past 5 years, NOC's monthly returns had a correlation of -0.07 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are close to unrelated, or move in opposite directions, so it can steady a stock portfolio. In the table, the correlation column measures each option against NOC instead: the lower it is, the more that option would diversify a NOC holding.
What are the best alternatives to NOC?
Of the 24 popular alternatives we compared, ten outperformed NOC in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: LMT, CACI and ATI.
Did NOC outperform the S&P 500?
NOC finished ahead of the S&P 500 (SPY) in 19 of 29 full calendar years. In 2025, it returned +23.6%, against +17.7% for the index.
How did NOC do in stock market crashes?
NOC fell less than the S&P 500 (SPY) in six of the ten major crashes it has traded through, and further in four. The clearest case was the dot-com bust, when NOC fell 27.6% and the S&P 500 fell 47.5%.
What diversifies NOC?
These had a low correlation with NOC over the past 5 years and still earned a positive 5-year return: among large ETFs, LVHI (correlation 0.17), DXJ (correlation 0.07) and EMLP (correlation 0.26); among large stocks, CAH (correlation 0.16), CLS (correlation -0.24) and FIX (correlation 0.12). A correlation near zero means the two have moved largely independently.
How we measure
- Short-term periods are 1M, 3M, 6M, YTD, 1Y; long-term periods are 3Y, 5Y, 10Y. An investment outperformed in a period when its total return, with dividends reinvested, was higher than NOC's. Returns within 0.5 points or 3% of NOC's, whichever is larger, count as a tie.
- "Qualified" means outperforming in at least 3 of 5 short-term periods and 2 of 3 long-term periods. "All-weather" means outperforming in every long-term period and all but one short-term period.
- Popular alternatives are the funds and stocks most often compared with this one. We include only those that trade today, are not leveraged or inverse, and hold at least $200 million.
- Volatility is the annualized standard deviation of daily returns over 5 years, a measure of how much the price typically swings in a year. The Sharpe ratio is the return above cash for each unit of that volatility.
- A decline, or drawdown, runs from a peak to the lowest close before the next high. The worst decline ever uses all the price history we have; comparisons between funds use the past 10 years so that younger funds are judged on the same stretch.
- Sector overlap is the share of assets two funds hold in the same sectors. Correlation and the mixed-portfolio figures use monthly returns.
- Upside and downside capture follow Morningstar's definition: the compound monthly return in the months the S&P 500 rose (or fell), divided by the S&P 500's compound return in those months. Beta measures how strongly monthly returns have moved with the S&P 500. All three use the same window for every investment.
- Figures are computed from daily adjusted prices and update after each trading day. Past performance does not predict future results.
More research
Popular alternatives to NOC
- LMTLockheed Martin
- RTXRTX
PLTRPalantir Technologies- GDGeneral Dynamics
- GEGE Aerospace
- HEIHEICO
TDGTransDigm Group
LHXL3Harris Technologies
BABoeing
NVDA
AAPL