RTX (RTX) Stock Analysis
This is a peer-relative look at RTX (RTX): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Capital Goods peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | RTX |
|---|---|
| Name | RTX Corporation |
| Country/Region | United States |
| GICS Sector | Industrials |
| GICS Industry Group | Capital Goods |
| GICS Industry | Aerospace & Defense |
| GICS Sub-Industry | Aerospace & Defense |
| Market Capitalization | 260.81 billion USD |
| Currency | USD |
| Exchange | NYSE |
| Listing Date | April 2, 1962 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| Total Return (1Y) | 29.82% | 20.73% |
| Total Return (3Y, Annualized) | 28.88% | 16.65% |
| Total Return (5Y, Annualized) | 20.08% | 10.84% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 25.02% | 42.81% |
| Beta (5Y) | 0.31 | 1.20 |
| Max Drawdown (5Y) | -32.84% | -48.46% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | 1.03 | 0.38 |
| Sortino Ratio (1Y) | 1.62 | 0.58 |
Profitability
ROE (TTM)
RTX (RTX) posts ROE of 11.57%, roughly around the peer group’s normal range. Shareholders’ equity is producing a return that looks broadly typical for the industry.
RTX
Capital Goods industry group
11.57%
Group distribution
- Max
- 42.07%
- Q3
- 19.97%
- RTX
- 11.57%
- Median
- 11.35%
- Q1
- 3.35%
- Min
- -19.79%
Largest peers
- BA
- 169.95%
- GEV
- 75.71%
- CAT
- 51.33%
- GE
- 48.23%
- ETN
- 20.85%
- DE
- 18.35%
- RTX
- 11.57%
Net Margin (TTM)
RTX (RTX) keeps 8.03% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.
RTX
Capital Goods industry group
8.03%
Group distribution
- Max
- 24.69%
- Q3
- 11.54%
- RTX
- 8.03%
- Median
- 5.80%
- Q1
- 0.73%
- Min
- -13.94%
Largest peers
- GEV
- 23.81%
- GE
- 17.72%
- ETN
- 13.99%
- CAT
- 13.33%
- DE
- 10.10%
- RTX
- 8.03%
- BA
- 2.46%
Operating Margin (TTM)
RTX (RTX) turns 13.18% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.
RTX
Capital Goods industry group
13.18%
Group distribution
- Max
- 29.84%
- Q3
- 16.03%
- RTX
- 13.18%
- Median
- 8.69%
- Q1
- 1.95%
- Min
- -17.50%
Largest peers
- GE
- 20.57%
- CAT
- 18.18%
- DE
- 17.48%
- ETN
- 16.11%
- RTX
- 13.18%
- GEV
- 5.46%
- BA
- 1.72%
Profitability Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| ROE (TTM) | 11.57% | 11.35% |
| ROA (TTM) | 4.05% | 5.15% |
| Net Margin (TTM) | 8.03% | 5.80% |
| Operating Margin (TTM) | 13.18% | 8.69% |
| Gross Margin (TTM) | 20.21% | 29.71% |
Growth
Revenue Growth
RTX (RTX) grew revenue 9.74%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.
EPS Growth
RTX (RTX) grew earnings per share 39.72%, in the upper peer quartile. Per-share profits are compounding faster than at most industry peers.
Growth Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 9.74% | 8.06% |
| Revenue Growth (3Y CAGR) | 9.72% | 6.41% |
| EPS Growth (YoY) | 39.72% | 4.71% |
| EPS Growth (3Y CAGR) | 12.32% | 5.63% |
Financial Strength
Current Ratio (MRQ)
RTX (RTX) has current ratio of 1.02, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.
RTX
Capital Goods industry group
1.02
Group distribution
- Max
- 5.24
- Q3
- 2.97
- Median
- 2.12
- Q1
- 1.45
- RTX
- 1.02
- Min
- 0.71
Largest peers
- DE
- 2.21
- CAT
- 1.35
- ETN
- 1.19
- BA
- 1.18
- RTX
- 1.02
- GE
- 0.98
- GEV
- 0.89
Debt / Equity (MRQ)
RTX (RTX) has debt-to-equity ratio of 0.57, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.
RTX
Capital Goods industry group
0.57
Group distribution
- Max
- 2.31
- Q3
- 1.10
- Median
- 0.63
- RTX
- 0.57
- Q1
- 0.28
- Min
- 0.00
Largest peers
- BA
- 8.29
- DE
- 3.76
- CAT
- 2.31
- GE
- 1.13
- ETN
- 1.10
- RTX
- 0.57
- GEV
- 0.25
Financial Strength Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 1.02 | 2.12 |
| Debt / Equity (MRQ) | 0.57 | 0.63 |
| Net Debt / EBITDA | 2.10 | 2.03 |
Dividends
Dividend Yield (TTM)
RTX (RTX) has dividend yield of 1.40%, in the upper peer-yield quartile while still inside the industry range. The dividend offers more cash income per dollar of share price than most peers, though payout coverage still matters.
RTX
Capital Goods industry group
1.40%
Group distribution
- Max
- 2.64%
- RTX
- 1.40%
- Q3
- 1.06%
- Median
- 0.14%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- RTX
- 1.40%
- DE
- 1.11%
- ETN
- 1.05%
- CAT
- 0.70%
- GE
- 0.49%
- GEV
- 0.14%
- BA
- 0.00%
Dividend Payout Ratio (TTM)
RTX (RTX) has payout ratio of 51.03%, above the industry’s usual payout band. A larger share of earnings is going to dividends, so the cushion narrows if profit weakens.
RTX
Capital Goods industry group
51.03%
Group distribution
- Max
- 72.02%
- RTX
- 51.03%
- Q3
- 29.57%
- Median
- 6.31%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- RTX
- 51.03%
- ETN
- 41.29%
- DE
- 36.71%
- CAT
- 29.58%
- GE
- 19.58%
- GEV
- 5.11%
- BA
- 0.00%
Dividend Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 1.40% | 0.14% |
| Dividend Payout Ratio (TTM) | 51.03% | 6.31% |
Valuation
P/E Ratio (TTM)
RTX (RTX) trades at P/E ratio of 36.47, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.
RTX
Capital Goods industry group
36.47
Group distribution
- Max
- 77.51
- Q3
- 46.30
- RTX
- 36.47
- Median
- 31.73
- Q1
- 22.49
- Min
- 1.06
Largest peers
- BA
- 82.58
- CAT
- 43.10
- GE
- 40.32
- ETN
- 39.20
- RTX
- 36.47
- DE
- 33.21
- GEV
- 31.54
P/S Ratio (TTM)
RTX (RTX) trades at 2.89 on P/S ratio, roughly in the peer group’s normal range. The market is not making a strong cheap-or-rich statement about its revenue base.
RTX
Capital Goods industry group
2.89
Group distribution
- Max
- 9.90
- Q3
- 4.82
- RTX
- 2.89
- Median
- 2.65
- Q1
- 1.27
- Min
- 0.05
Largest peers
- GEV
- 7.36
- GE
- 6.98
- CAT
- 5.79
- ETN
- 5.49
- DE
- 3.35
- RTX
- 2.89
- BA
- 1.75
P/B Ratio (MRQ)
RTX (RTX) trades at 3.94 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.
RTX
Capital Goods industry group
3.94
Group distribution
- Max
- 12.69
- Q3
- 6.34
- RTX
- 3.94
- Median
- 3.69
- Q1
- 2.01
- Min
- -4.34
Largest peers
- BA
- 26.98
- CAT
- 21.97
- GEV
- 20.82
- GE
- 19.69
- ETN
- 7.93
- DE
- 5.78
- RTX
- 3.94
Valuation Metrics
| Metric | Current stock: RTX | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | 36.47 | 31.73 |
| P/S Ratio (TTM) | 2.89 | 2.65 |
| P/B Ratio (MRQ) | 3.94 | 3.69 |
| Free Cash Flow Yield (TTM) | 2.77% | 2.18% |