# How Northrop Grumman (NOC) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/noc
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

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.

## Key findings

- **Right now:** Over 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.
- **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 years:** NOC 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%).
- **Long term:** NOC 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.
- **In a crash:** In 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%).
- **Diversification:** NOC 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.
- **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.

- $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.

## 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.

- 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.

- Type: Stock, Industrials (Aerospace & Defense)
- Trading since: October 17, 1986
- Market value: $76B
- Volatility (5 years): 26.1%; Sharpe ratio: 0.41
- Worst decline ever: −68.5%, from April 2, 1987 to July 27, 1990; back at its high by April 13, 1993

| Period | NOC total return |
| --- | --- |
| 1 month | +1.4% |
| 3 months | +2.4% |
| 6 months | −18.0% |
| year to date | −7.7% |
| 1 year | −9.8% |
| 3 years | +15.6% |
| 5 years | +44.5% |
| 10 years | +188% |

## 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.

- 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.

| Measure | NOC | Rank |
| --- | --- | --- |
| 1-year return | −9.8% | 2,338 of 3,287 (top 72%) |
| 3-year return | +15.6% | 2,080 of 3,017 (top 69%) |
| 5-year return | +44.5% | 1,152 of 2,893 (top 40%) |
| 10-year return | +188% | 912 of 2,202 (top 42%) |
| Volatility, 5 years | 26.1% | 416 of 2,893 (top 15%) |
| Sharpe ratio, 5 years | 0.41 | 1,197 of 2,893 (top 42%) |
| Worst decline, past 10 years | −37.8% | 98 of 2,187 (top 5%) |

### 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).

- 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%.

### Is there a better investment than NOC?

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.

- 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.

The 15 strongest of 496 investments that beat NOC over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with NOC | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| NOC: Northrop Grumman Corporation (this page) |  | +7.6% | 26.1% | 0.41 | −37.8% | +188% |  |  |
| [WMT](https://easycompare.io/research/wmt): Walmart Inc. | Discount Retail | +20.8% | 22.6% | 0.96 | −25.7% | +508% | -0.02 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [BRK-B](https://easycompare.io/research/brk-b): Berkshire Hathaway Inc. | Insurance | +13.4% | 17.1% | 0.82 | −29.6% | +274% | 0.10 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [JNJ](https://easycompare.io/research/jnj): Johnson & Johnson | Pharmaceuticals | +12.7% | 17.9% | 0.76 | −27.4% | +196% | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | International Equity | +17.0% | 11.1% | 1.48 | −32.4% | +194% | 0.17 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COST](https://easycompare.io/research/cost): Costco Wholesale Corporation | Discount Retail | +17.4% | 22.9% | 0.82 | −31.4% | +685% | -0.07 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [NVS](https://easycompare.io/research/nvs): Novartis AG | Pharmaceuticals | +17.1% | 20.7% | 0.87 | −26.8% | +226% | 0.27 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | Gold | +17.7% | 18.9% | 0.96 | −26.4% | +213% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [LIN](https://easycompare.io/research/lin): Linde plc | Chemicals | +11.5% | 20.9% | 0.63 | −32.6% | +394% | 0.21 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VIG](https://easycompare.io/research/vig): Vanguard Dividend Appreciation ETF | US Dividend Equity | +10.4% | 14.1% | 0.78 | −31.7% | +258% | 0.10 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COR](https://easycompare.io/research/cor): Cencora, Inc. | Health Care Distribution | +24.2% | 22.8% | 1.07 | −32.4% | +406% | 0.32 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [IWF](https://easycompare.io/research/iwf): iShares Russell 1000 Growth ETF | US Large-Cap Growth | +11.7% | 21.8% | 0.62 | −32.7% | +416% | -0.21 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [DFAC](https://easycompare.io/research/dfac): Dimensional - US Core Equity 2 ETF | US Total Market | +11.4% | 17.0% | 0.72 | −23.1% | — | 0.02 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| PJUL: Innovator U.S. Equity Power Buffer ETF | Broad Market | +10.5% | 8.6% | 1.20 | −18.2% | — | -0.04 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [WM](https://easycompare.io/research/wm): Waste Management, Inc. | Environmental Services | +9.3% | 19.2% | 0.56 | −30.1% | +344% | 0.06 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| FJAN: FT Vest U.S. Equity Buffer ETF - January | Multi-Asset | +11.1% | 10.5% | 1.05 | −13.6% | — | -0.13 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## 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.

- 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%).

### 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.

- 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.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of NOC | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| NOC: Northrop Grumman Corporation (this page) | −9.8% | +15.6% | +44.5% | +188% |  |  | 0.41 |
| [LMT](https://easycompare.io/research/lmt): Lockheed Martin Corporation | +11.3% | +33.8% | +69.0% | +204% | 5/5 short-term, 3/3 long-term | all-weather | 0.56 |
| CACI: CACI International Inc | +15.4% | +85.8% | +115% | +499% | 4/5 short-term, 3/3 long-term | all-weather | 0.66 |
| ATI: ATI Inc. | +125% | +415% | +1,008% | +929% | 3/5 short-term, 3/3 long-term | consistent | 1.34 |
| [RTX](https://easycompare.io/research/rtx): RTX Corporation | +22.1% | +183% | +135% | +317% | 3/5 short-term, 3/3 long-term | consistent | 0.83 |
| [PLTR](https://easycompare.io/research/pltr): Palantir Technologies Inc. | +6.1% | +1,096% | +695% | — | 5/5 short-term, 2/3 long-term | consistent | 0.95 |
| SAIC: Science Applications International Corporation | +37.6% | +27.6% | +60.1% | +135% | 4/5 short-term, 2/3 long-term | consistent | 0.46 |
| HXL: Hexcel Corporation | +45.6% | +44.9% | +62.4% | +122% | 4/5 short-term, 2/3 long-term | consistent | 0.46 |
| MRCY: Mercury Systems, Inc. | −3.3% | +100% | +40.9% | +212% | 3/5 short-term, 2/3 long-term | consistent | 0.38 |
| [GD](https://easycompare.io/research/gd): General Dynamics Corporation | +4.0% | +55.4% | +83.3% | +184% | 3/5 short-term, 2/3 long-term | consistent | 0.69 |
| [GE](https://easycompare.io/research/ge): GE Aerospace | −0.4% | +261% | +366% | +139% | 3/5 short-term, 2/3 long-term | consistent | 1.15 |
| CRS: Carpenter Technology Corporation | +54.5% | +521% | +1,082% | +1,021% | 2/5 short-term, 3/3 long-term |  | 1.30 |
| [HEI](https://easycompare.io/research/hei): HEICO Corporation | −2.4% | +93.4% | +122% | +809% | 2/5 short-term, 3/3 long-term |  | 0.71 |
| [TDG](https://easycompare.io/research/tdg): TransDigm Group Incorporated | −12.2% | +62.5% | +114% | +543% | 2/5 short-term, 3/3 long-term |  | 0.69 |
| DRS: Leonardo DRS, Inc. | −14.2% | +82.9% | +228% | +3,294% | 1/5 short-term, 3/3 long-term |  | 0.77 |
| KTOS: Kratos Defense & Security Solutions, Inc. | −55.0% | +127% | +71.3% | +515% | 0/5 short-term, 3/3 long-term |  | 0.47 |
| CW: Curtiss-Wright Corporation | −11.6% | +148% | +283% | +512% | 0/5 short-term, 3/3 long-term |  | 1.08 |
| BWXT: BWX Technologies, Inc. | −35.0% | +79.8% | +145% | +289% | 0/5 short-term, 3/3 long-term |  | 0.70 |
| LDOS: Leidos Holdings, Inc. | −32.2% | +42.4% | +35.6% | +253% | 2/5 short-term, 2/3 long-term |  | 0.36 |
| [LHX](https://easycompare.io/research/lhx): L3Harris Technologies, Inc. | −13.0% | +49.6% | +13.0% | +229% | 0/5 short-term, 2/3 long-term |  | 0.22 |
| RKLB: Rocket Lab USA, Inc. | −24.4% | +1,144% | +300% | — | 0/5 short-term, 2/3 long-term |  | 0.74 |
| HII: Huntington Ingalls Industries, Inc. | −3.2% | +32.2% | +43.2% | +110% | 1/5 short-term, 1/3 long-term |  | 0.39 |
| AVAV: AeroVironment, Inc. | −67.7% | +0.7% | +27.1% | +426% | 0/5 short-term, 1/3 long-term |  | 0.37 |
| TXT: Textron Inc. | −6.3% | +1.9% | +4.1% | +97.9% | 2/5 short-term, 0/3 long-term |  | 0.17 |
| [BA](https://easycompare.io/research/ba): The Boeing Company | −12.2% | +5.8% | −11.9% | +52.4% | 1/5 short-term, 0/3 long-term |  | 0.12 |

### 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.

- 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.

| Year | NOC | SPY |
| --- | --- | --- |
| 2025 | +23.6% | +17.7% |
| 2024 | +1.9% | +24.9% |
| 2023 | −12.8% | +26.2% |
| 2022 | +43.0% | −18.2% |
| 2021 | +29.3% | +28.7% |
| 2020 | −9.9% | +18.3% |
| 2019 | +42.7% | +31.2% |
| 2018 | −18.9% | −4.6% |
| 2017 | +33.9% | +21.7% |
| 2016 | +25.2% | +12.0% |

## 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.

- 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.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −68.5% | April 2, 1987 | July 27, 1990 | April 13, 1993 | — |  |
| −67.0% | February 27, 1998 | March 2, 2000 | June 18, 2002 | +34.9% |  |
| −58.7% | November 6, 2007 | November 20, 2008 | June 29, 2011 | −49.3% | 2008 financial crisis |
| −39.7% | June 19, 2002 | March 11, 2003 | January 26, 2006 | −20.4% | dot-com bust |
| −37.8% | March 2, 2026 | October 7, 2026 | not yet | +14.1% |  |

### 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.

- 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%.

| Crash | Dates | NOC fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | −27.6% | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −58.7% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −2.7% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −24.7% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −9.1% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −4.3% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −29.0% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −26.1% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −11.2% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −1.6% | −3.4% |

### 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.

- 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.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| NOC: Northrop Grumman Corporation (this page) | 49.0% | 32.0% | 0.35 |
| [LMT](https://easycompare.io/research/lmt): Lockheed Martin Corporation | 58.0% | 48.0% | 0.52 |
| CACI: CACI International Inc | 94.0% | 62.0% | 0.79 |
| ATI: ATI Inc. | 141% | 116% | 1.37 |
| [RTX](https://easycompare.io/research/rtx): RTX Corporation | 94.0% | 91.0% | 0.89 |
| SAIC: Science Applications International Corporation | 44.0% | 36.0% | 0.59 |
| HXL: Hexcel Corporation | 94.0% | 135% | 1.27 |
| MRCY: Mercury Systems, Inc. | 84.0% | 82.0% | 0.97 |
| [GD](https://easycompare.io/research/gd): General Dynamics Corporation | 68.0% | 68.0% | 0.71 |
| [GE](https://easycompare.io/research/ge): GE Aerospace | 85.0% | 106% | 1.21 |
| CRS: Carpenter Technology Corporation | 155% | 137% | 1.68 |
| [HEI](https://easycompare.io/research/hei): HEICO Corporation | 118% | 85.0% | 1.15 |
| [TDG](https://easycompare.io/research/tdg): TransDigm Group Incorporated | 112% | 97.0% | 1.25 |
| DRS: Leonardo DRS, Inc. | 125% | 4.0% | 0.66 |
| KTOS: Kratos Defense & Security Solutions, Inc. | 133% | 135% | 0.98 |
| CW: Curtiss-Wright Corporation | 103% | 77.0% | 1.20 |
| BWXT: BWX Technologies, Inc. | 82.0% | 68.0% | 0.87 |
| LDOS: Leidos Holdings, Inc. | 78.0% | 73.0% | 0.73 |
| [LHX](https://easycompare.io/research/lhx): L3Harris Technologies, Inc. | 72.0% | 65.0% | 0.70 |
| HII: Huntington Ingalls Industries, Inc. | 71.0% | 90.0% | 0.60 |
| AVAV: AeroVironment, Inc. | 120% | 114% | 0.90 |
| TXT: Textron Inc. | 103% | 155% | 1.33 |
| [BA](https://easycompare.io/research/ba): The Boeing Company | 93.0% | 152% | 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).

- 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.

| Investment | Correlation with NOC | 5Y return | Volatility | Sharpe | Rose in NOC's 7 down years |
| --- | --- | --- | --- | --- | --- |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | 0.17 | +119% | 11.1% | 1.48 | 1 of 7 |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.07 | +225% | 19.1% | 1.34 | 2 of 7 |
| EMLP: First Trust North American Energy Infrastructure Fund | 0.26 | +101% | 14.5% | 1.04 | 1 of 7 |
| HDV: iShares Core High Dividend ETF | 0.38 | +83.3% | 13.0% | 1.00 | 1 of 7 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | -0.28 | +323% | 36.9% | 0.97 | 2 of 7 |
| DBEF: Xtrackers MSCI EAFE Hedged Equity ETF | -0.02 | +85.0% | 13.8% | 0.96 | 2 of 7 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.35 | +126% | 18.9% | 0.96 | 3 of 7 |
| SPMO: Invesco S&P 500 Momentum ETF | -0.13 | +136% | 20.8% | 0.93 | 2 of 7 |

## 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.

## More research

- [Lockheed Martin (LMT) Performance, Alternatives and Market Rank](https://easycompare.io/research/lmt)
- [RTX Performance, Alternatives and Market Rank](https://easycompare.io/research/rtx)
- [Palantir Technologies (PLTR) Performance, Alternatives and Market Rank](https://easycompare.io/research/pltr)
- [General Dynamics (GD) Performance, Alternatives and Market Rank](https://easycompare.io/research/gd)
- [GE Aerospace (GE) Performance, Alternatives and Market Rank](https://easycompare.io/research/ge)
- [HEICO (HEI) Performance, Alternatives and Market Rank](https://easycompare.io/research/hei)
- [TransDigm Group (TDG) Performance, Alternatives and Market Rank](https://easycompare.io/research/tdg)
- [L3Harris Technologies (LHX) Performance, Alternatives and Market Rank](https://easycompare.io/research/lhx)
- [Boeing (BA) Performance, Alternatives and Market Rank](https://easycompare.io/research/ba)
- [Schwab U.S. Dividend Equity ETF (SCHD) Performance, Alternatives and Market Rank](https://easycompare.io/research/schd)
- [NVIDIA (NVDA) Performance, Alternatives and Market Rank](https://easycompare.io/research/nvda)
- [Apple (AAPL) Performance, Alternatives and Market Rank](https://easycompare.io/research/aapl)

## Explore further

- Full page with charts: https://easycompare.io/research/noc
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against NOC live: https://betterthanspy.com/?b=NOC&utm_source=easycompare&utm_medium=research