Stock Analysis on Net
Stock Analysis on Net

Northrop Grumman Corp. (NYSE:NOC)

This company has been moved to the archive! The financial data has not been updated since April 27, 2023.

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Northrop Grumman Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Mar 31, 2023 31.60% = 10.81% × 2.92
Dec 31, 2022 31.97% = 11.19% × 2.86
Sep 30, 2022 39.63% = 12.93% × 3.06
Jun 30, 2022 41.56% = 13.54% × 3.07
Mar 31, 2022 43.39% = 13.76% × 3.15
Dec 31, 2021 54.19% = 16.45% × 3.29
Sep 30, 2021 40.51% = 10.92% × 3.71
Jun 30, 2021 40.71% = 10.79% × 3.77
Mar 31, 2021 42.91% = 10.90% × 3.94
Dec 31, 2020 30.14% = 7.17% × 4.20
Sep 30, 2020 23.41% = 5.47% × 4.28
Jun 30, 2020 24.68% = 5.51% × 4.48
Mar 31, 2020 24.86% = 5.21% × 4.77
Dec 31, 2019 25.49% = 5.47% × 4.66
Sep 30, 2019 30.96% = 7.43% × 4.17
Jun 30, 2019 36.08% = 8.40% × 4.30
Mar 31, 2019 37.21% = 8.18% × 4.55
Dec 31, 2018 39.44% = 8.58% × 4.60
Sep 30, 2018 — = — × 4.17
Jun 30, 2018 — = — × 4.54
Mar 31, 2018 — = — × 4.53

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q1 2023 is the decrease in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

Northrop Grumman Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Mar 31, 2023 31.60% = 12.89% × 0.84 × 2.92
Dec 31, 2022 31.97% = 13.38% × 0.84 × 2.86
Sep 30, 2022 39.63% = 15.70% × 0.82 × 3.06
Jun 30, 2022 41.56% = 16.23% × 0.83 × 3.07
Mar 31, 2022 43.39% = 16.33% × 0.84 × 3.15
Dec 31, 2021 54.19% = 19.64% × 0.84 × 3.29
Sep 30, 2021 40.51% = 12.42% × 0.88 × 3.71
Jun 30, 2021 40.71% = 12.09% × 0.89 × 3.77
Mar 31, 2021 42.91% = 12.10% × 0.90 × 3.94
Dec 31, 2020 30.14% = 8.67% × 0.83 × 4.20
Sep 30, 2020 23.41% = 6.94% × 0.79 × 4.28
Jun 30, 2020 24.68% = 6.91% × 0.80 × 4.48
Mar 31, 2020 24.86% = 6.57% × 0.79 × 4.77
Dec 31, 2019 25.49% = 6.64% × 0.82 × 4.66
Sep 30, 2019 30.96% = 9.05% × 0.82 × 4.17
Jun 30, 2019 36.08% = 10.11% × 0.83 × 4.30
Mar 31, 2019 37.21% = 10.31% × 0.79 × 4.55
Dec 31, 2018 39.44% = 10.73% × 0.80 × 4.60
Sep 30, 2018 — = — × — × 4.17
Jun 30, 2018 — = — × — × 4.54
Mar 31, 2018 — = — × — × 4.53

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q1 2023 is the decrease in profitability measured by net profit margin ratio.

Five-Component Disaggregation of ROE

Northrop Grumman Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Mar 31, 2023 31.60% = 0.84 × 0.92 × 16.69% × 0.84 × 2.92
Dec 31, 2022 31.97% = 0.84 × 0.92 × 17.33% × 0.84 × 2.86
Sep 30, 2022 39.63% = 0.82 × 0.93 × 20.59% × 0.82 × 3.06
Jun 30, 2022 41.56% = 0.82 × 0.93 × 21.29% × 0.83 × 3.07
Mar 31, 2022 43.39% = 0.82 × 0.93 × 21.53% × 0.84 × 3.15
Dec 31, 2021 54.19% = 0.78 × 0.94 × 26.62% × 0.84 × 3.29
Sep 30, 2021 40.51% = 0.78 × 0.91 × 17.40% × 0.88 × 3.71
Jun 30, 2021 40.71% = 0.79 × 0.91 × 17.01% × 0.89 × 3.77
Mar 31, 2021 42.91% = 0.79 × 0.90 × 16.91% × 0.90 × 3.94
Dec 31, 2020 30.14% = 0.86 × 0.86 × 11.74% × 0.83 × 4.20
Sep 30, 2020 23.41% = 0.86 × 0.84 × 9.68% × 0.79 × 4.28
Jun 30, 2020 24.68% = 0.87 × 0.84 × 9.44% × 0.80 × 4.48
Mar 31, 2020 24.86% = 0.88 × 0.83 × 8.99% × 0.79 × 4.77
Dec 31, 2019 25.49% = 0.88 × 0.83 × 9.09% × 0.82 × 4.66
Sep 30, 2019 30.96% = 0.86 × 0.87 × 12.20% × 0.82 × 4.17
Jun 30, 2019 36.08% = 0.87 × 0.87 × 13.32% × 0.83 × 4.30
Mar 31, 2019 37.21% = 0.86 × 0.87 × 13.74% × 0.79 × 4.55
Dec 31, 2018 39.44% = 0.86 × 0.87 × 14.30% × 0.80 × 4.60
Sep 30, 2018 — = — × — × — × — × 4.17
Jun 30, 2018 — = — × — × — × — × 4.54
Mar 31, 2018 — = — × — × — × — × 4.53

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q1 2023 is the decrease in operating profitability measured by EBIT margin ratio.

Two-Component Disaggregation of ROA

Northrop Grumman Corp., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Mar 31, 2023 10.81% = 12.89% × 0.84
Dec 31, 2022 11.19% = 13.38% × 0.84
Sep 30, 2022 12.93% = 15.70% × 0.82
Jun 30, 2022 13.54% = 16.23% × 0.83
Mar 31, 2022 13.76% = 16.33% × 0.84
Dec 31, 2021 16.45% = 19.64% × 0.84
Sep 30, 2021 10.92% = 12.42% × 0.88
Jun 30, 2021 10.79% = 12.09% × 0.89
Mar 31, 2021 10.90% = 12.10% × 0.90
Dec 31, 2020 7.17% = 8.67% × 0.83
Sep 30, 2020 5.47% = 6.94% × 0.79
Jun 30, 2020 5.51% = 6.91% × 0.80
Mar 31, 2020 5.21% = 6.57% × 0.79
Dec 31, 2019 5.47% = 6.64% × 0.82
Sep 30, 2019 7.43% = 9.05% × 0.82
Jun 30, 2019 8.40% = 10.11% × 0.83
Mar 31, 2019 8.18% = 10.31% × 0.79
Dec 31, 2018 8.58% = 10.73% × 0.80
Sep 30, 2018 — = — × —
Jun 30, 2018 — = — × —
Mar 31, 2018 — = — × —

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q1 2023 is the decrease in profitability measured by net profit margin ratio.

Four-Component Disaggregation of ROA

Northrop Grumman Corp., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Mar 31, 2023 10.81% = 0.84 × 0.92 × 16.69% × 0.84
Dec 31, 2022 11.19% = 0.84 × 0.92 × 17.33% × 0.84
Sep 30, 2022 12.93% = 0.82 × 0.93 × 20.59% × 0.82
Jun 30, 2022 13.54% = 0.82 × 0.93 × 21.29% × 0.83
Mar 31, 2022 13.76% = 0.82 × 0.93 × 21.53% × 0.84
Dec 31, 2021 16.45% = 0.78 × 0.94 × 26.62% × 0.84
Sep 30, 2021 10.92% = 0.78 × 0.91 × 17.40% × 0.88
Jun 30, 2021 10.79% = 0.79 × 0.91 × 17.01% × 0.89
Mar 31, 2021 10.90% = 0.79 × 0.90 × 16.91% × 0.90
Dec 31, 2020 7.17% = 0.86 × 0.86 × 11.74% × 0.83
Sep 30, 2020 5.47% = 0.86 × 0.84 × 9.68% × 0.79
Jun 30, 2020 5.51% = 0.87 × 0.84 × 9.44% × 0.80
Mar 31, 2020 5.21% = 0.88 × 0.83 × 8.99% × 0.79
Dec 31, 2019 5.47% = 0.88 × 0.83 × 9.09% × 0.82
Sep 30, 2019 7.43% = 0.86 × 0.87 × 12.20% × 0.82
Jun 30, 2019 8.40% = 0.87 × 0.87 × 13.32% × 0.83
Mar 31, 2019 8.18% = 0.86 × 0.87 × 13.74% × 0.79
Dec 31, 2018 8.58% = 0.86 × 0.87 × 14.30% × 0.80
Sep 30, 2018 — = — × — × — × —
Jun 30, 2018 — = — × — × — × —
Mar 31, 2018 — = — × — × — × —

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q1 2023 is the decrease in operating profitability measured by EBIT margin ratio.

Disaggregation of Net Profit Margin

Northrop Grumman Corp., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Mar 31, 2023 12.89% = 0.84 × 0.92 × 16.69%
Dec 31, 2022 13.38% = 0.84 × 0.92 × 17.33%
Sep 30, 2022 15.70% = 0.82 × 0.93 × 20.59%
Jun 30, 2022 16.23% = 0.82 × 0.93 × 21.29%
Mar 31, 2022 16.33% = 0.82 × 0.93 × 21.53%
Dec 31, 2021 19.64% = 0.78 × 0.94 × 26.62%
Sep 30, 2021 12.42% = 0.78 × 0.91 × 17.40%
Jun 30, 2021 12.09% = 0.79 × 0.91 × 17.01%
Mar 31, 2021 12.10% = 0.79 × 0.90 × 16.91%
Dec 31, 2020 8.67% = 0.86 × 0.86 × 11.74%
Sep 30, 2020 6.94% = 0.86 × 0.84 × 9.68%
Jun 30, 2020 6.91% = 0.87 × 0.84 × 9.44%
Mar 31, 2020 6.57% = 0.88 × 0.83 × 8.99%
Dec 31, 2019 6.64% = 0.88 × 0.83 × 9.09%
Sep 30, 2019 9.05% = 0.86 × 0.87 × 12.20%
Jun 30, 2019 10.11% = 0.87 × 0.87 × 13.32%
Mar 31, 2019 10.31% = 0.86 × 0.87 × 13.74%
Dec 31, 2018 10.73% = 0.86 × 0.87 × 14.30%
Sep 30, 2018 — = — × — × —
Jun 30, 2018 — = — × — × —
Mar 31, 2018 — = — × — × —

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in net profit margin ratio over Q1 2023 is the decrease in operating profitability measured by EBIT margin ratio.