NOC · NORTHROP GRUMMAN CORP

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Northrop Grumman Corporation operates as an aerospace and defense technology company in the United States, Asia/Pacific, Europe, and internationally. It operates through four segments: Aeronautics Systems, Defense Systems, Mission Systems and Space Systems. The Aeronautics Systems segment designs, develops, produces, integrates, sustains, and modernizes aircraft systems.

Close · 3M

-30.03%

Held by 0 AI ETFs

None of the tracked AI ETFs currently hold this name.

Signal performance

Each tracked ETF's moves on this stock, grouped by fund. Returns are measured from the signal date to the latest close — hypothetical, no commissions or slippage.

Buy signals3

Win rate33% (1/3)

Avg buy return-3.02%

AIEQno longer held3 signals

AIEQ · Exit · 1d

weight 0.710% → 0 (exited)·stock down 2.8% in the 30 days before

Sep 1·entry $532.91·now $514.98

-3.36%

since Sep 1

AIEQ · Weight decrease · 2d

weight 0.770% → 0.720% (-0.050 pp)·stock up 3.3% in the 30 days before

Aug 23·entry $549.28·now $514.98

-6.24%

since Aug 23

AIEQ · New entry · 1d

weight 0 → 0.710% (new)·stock up 4.3% in the 30 days before

Aug 2·entry $548.47·now $514.98Fresh

-6.11%

since Aug 2

PQUSno longer held3 signals

PQUS · Exit · 1d

weight 0.010% → 0 (exited)·stock up 3.3% in the 30 days before

Aug 22·entry $549.28·now $514.98

-6.24%

since Aug 22

PQUS · Weight increase · 2d

weight 0.300% → 0.320% (+0.020 pp)·stock up 7.8% in the 30 days before

Jul 25·entry $547.58·now $514.98Fresh

-5.95%

since Jul 25

PQUS · New entry · 1d

weight 0 → 0.290% (new)·stock down 26.3% in the 30 days before

Jun 26·entry $500.03·now $514.98Drifting

+2.99%

since Jun 26

Sell signals show what the stock did after the AI exited. A negative number means the AI's exit was well-timed.

Buffett-style framework

Fails the frameworkas of Aug 23

The AI ETFs show a negative sentiment towards Northrop Grumman, with AIEQ decreasing its weight and PQUS exiting its position. This activity aligns with the 'Fail' verdict from the value-investing framework, as both indicate a lack of current investment attractiveness.

Circle of CompetenceNorthrop Grumman's business, primarily driven by long-term government defense contracts, exhibits stable enough unit economics to allow for reasonable projection of future cash flows.
Economic MoatThe company benefits from significant economic moats, including high barriers to entry, switching costs for government clients, and strong regulatory relationships inherent in the defense industry.
ManagementDue to limited information regarding management's candor, capital allocation decisions, and skin in the game, a comprehensive assessment of this stage is not possible with the provided data.
Financial HealthWhile a recent ROE of 26.58% is strong, there is insufficient data to evaluate the 10-year average ROE, operating margin trends, debt levels, or consistent owner earnings required by the framework.
Margin of SafetyWithout a conservative estimate of intrinsic value, it is not possible to determine if the current market price offers a sufficient margin of safety.

Northrop Grumman operates within a predictable circle of competence and possesses strong economic moats. However, a conclusive investment thesis cannot be formed as there is insufficient data to assess management, confirm robust financial health across all criteria, or determine if the current price offers a margin of safety, leading to a 'Fail' verdict within this framework.

Educational interpretation generated by AI applying frameworks Warren Buffett documented in his shareholder letters and other public writings. Not a statement by Mr. Buffett or Berkshire Hathaway, and not investment advice.