Since the company began, Northrop Grumman has undergone three stock splits. The first was in 1984, the second in 2004 and the third in 2011. The 2011 split took place on March 31 and was a 10,000 for 9,035 split, notes StockSplitHistory.com.Continue Reading
Northrop Grumman's 10,000 for 9,035 split meant that, for each 9,035 shares of the company's stock owned before the split, each shareholder then owned 10,000 shares. The market capitalization before and after the Northrop Grumman split took place remained stable. This means that although a shareholder owned more shares of the stock, each share was valued at a lower price. A per-share basis, lower-priced stock often attracts a broader range of buyers.
During 2011, Northrop Grumman's beginning price per share was $64.78, according to 1stock1.com. The ending price was $63.69 after the Northrop Grumman and Huntington Ingalls Industries stock split. The resulting loss for the year was negative 1.68 percent.
As of 2015, the company has experienced significant growth since the split. The November 2015 price per share of stock was $186.42, notes 1stock1.com. The total return for an investment from 2005 to 2015 was 386.30 percent, and the average annual total return was 17.14 percent with dividends reinvested.Learn more about Investing