Northrop Grumman has a strong focus on producing hardware for classified programs and currently enjoys exposure to some hefty military development programs that are early in their life cycle.
Northrop Grumman has won the Ground Based Strategic Deterrent and B-21 bomber programs, both of which should drive material top-line growth over the next few decades.
Bears
Northrop Grumman depends on US military funding for its sales, which is an inherently political and thus uncertain process.
Northrop Grumman is a diversified defense contractor providing aeronautics, defense, and space systems. The company’s aerospace segment creates the fuselage for the massive F-35 program and produces autonomous and piloted aircraft such as Global Hawk drones and the new B-21 bomber. Defense systems makes artillery and missile ammunition and guidance systems, missile defense systems, and maintains and upgrades numerous military aircraft. Mission systems creates and integrates a variety of radar, navigation, and communication systems for avionics, weapons control, and countermeasures on a range of platforms from helicopters to destroyers. Finally, space systems produces satellites, sensors, space structures, and manufactures long-range missiles and rocket motors.