Illinois Tool Works Inc. (ITW) vs Northrop Grumman Corporation (NOC)
ITW leads on 10 of 17 compared metrics, though NOC is the cheaper stock.
A side-by-side comparison of Illinois Tool Works Inc. and Northrop Grumman Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 30, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).
ITW
Illinois Tool Works Inc.
$267.47Industrials
NOC
Northrop Grumman Corporation
$496.02Industrials
Total return — ITW vs NOC
growth of $100 · last 30yITW +1484.5%NOC +1505.2%NOC compounded faster
ITW NOC
ITW vs NOC: by the numbers
- •ITW is the larger company ($76.95B vs $70.45B market cap).
- •NOC trades at the lower earnings multiple (15.52 vs 24.83 P/E).
- •ITW converts more revenue to profit (19.32% vs 10.80% net margin).
- •ITW grew revenue faster over the past five years (4.71% vs 2.56% CAGR).
- •ITW pays the higher dividend yield (2.41% vs 1.99%).
Which is better, ITW or NOC?
Metric tally: ITW 10 · NOC 7It depends on what you're optimizing for:
ValueNOC(lower P/E)
GrowthITW(faster 5Y revenue CAGR)
IncomeITW(higher dividend yield)
QualityITW(higher ROIC)
Metrics side by side
Valuation
| Metric | ITW | NOC |
|---|---|---|
| P/E ratio | 24.83 | 15.52● |
| Forward P/E | 23.66 | 16.46● |
| P/S ratio | 4.77 | 1.67● |
| P/B ratio | 23.95 | 4.13● |
| PEG ratio | 2.59● | 7.41 |
| EV / EBITDA | 18.61 | 13.81● |
| FCF yield | 3.54% | 4.68%● |
Profitability
| Metric | ITW | NOC |
|---|---|---|
| Gross margin | 44.12%● | 20.52% |
| Operating margin | 26.42%● | 11.08% |
| Net margin | 19.32%● | 10.80% |
| ROE | 97.06%● | 26.74% |
| ROIC | 24.49%● | 9.21% |
Dividends
| Metric | ITW | NOC |
|---|---|---|
| Dividend yield | 2.41%● | 1.99% |
| Payout ratio | 61.22% | 33.91% |
Growth (annualized)
| Metric | ITW | NOC |
|---|---|---|
| Revenue CAGR (5Y) | 4.71%● | 2.56% |
| EPS CAGR (5Y) | 9.58%● | 8.84% |
| FCF CAGR (5Y) | 1.38%● | -3.15% |
| Total return CAGR (5Y) | 6.05% | 8.34%● |
Frequently asked
- Which is better, ITW or NOC?
- It depends on your goal. value: NOC (lower P/E); growth: ITW (faster 5Y revenue CAGR); income: ITW (higher dividend yield); quality: ITW (higher ROIC). Across all compared metrics, ITW leads 10 to 7.
- Is ITW or NOC cheaper?
- On trailing earnings, NOC is cheaper: ITW trades at a 24.83 P/E and NOC at 15.52.
- Which has grown faster, ITW or NOC?
- Over the past five years, ITW grew revenue faster — ITW at a 4.71% CAGR versus NOC at 2.56%.
- Does ITW or NOC pay a bigger dividend?
- ITW yields 2.41% and NOC yields 1.99% based on trailing dividends and the latest price.
- Is ITW or NOC more profitable?
- ITW runs the higher net margin — ITW at 19.32% versus NOC at 10.80%.
- Which has been the better investment, ITW or NOC?
- Over the past 10-year, ITW delivered the higher annualized total return — ITW at 12.70% versus NOC at 10.37%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Illinois Tool Works P/E ratioNorthrop Grumman P/E ratioIllinois Tool Works dividend yieldNorthrop Grumman dividend yieldIllinois Tool Works ROENorthrop Grumman ROEIllinois Tool Works operating marginNorthrop Grumman operating marginIllinois Tool Works revenue growthNorthrop Grumman revenue growthIllinois Tool Works free cash flowNorthrop Grumman free cash flow
Illinois Tool Works & Northrop Grumman appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 30, 2026.