AAL vs. RTX: A Head-to-Head Stock Comparison

Updated on August 29, 2025

Here’s a clear look at AAL and RTX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	AAL	RTX
Company Name	American Airlines Group Inc.	RTX Corporation
Country	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry	Passenger Airlines	Aerospace & Defense
Market Capitalization	8.66 billion USD	213.95 billion USD
Exchange	NasdaqGS	NYSE
Listing Date	September 27, 2005	April 2, 1962
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of AAL and RTX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AAL vs. RTX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	AAL	RTX
5-Day Price Return	4.46%	2.25%
13-Week Price Return	12.80%	19.11%
26-Week Price Return	-13.79%	29.65%
52-Week Price Return	28.60%	34.66%
Month-to-Date Return	14.27%	1.44%
Year-to-Date Return	-24.67%	38.13%
10-Day Avg. Volume	60.20M	3.58M
3-Month Avg. Volume	62.29M	5.26M
3-Month Volatility	55.24%	19.04%
Beta	1.41	0.66

Profitability

Return on Equity (TTM)

AAL

265.62%

Passenger Airlines Industry

Max: 49.96%
Q3: 28.15%
Median: 15.41%
Q1: 8.29%
Min: -11.01%

AAL’s Return on Equity of 265.62% is exceptionally high, placing it well beyond the typical range for the Passenger Airlines industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

RTX

10.03%

Aerospace & Defense Industry

Max: 43.89%
Q3: 22.42%
Median: 12.50%
Q1: 5.21%
Min: -6.24%

RTX’s Return on Equity of 10.03% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

AAL vs. RTX: A comparison of their Return on Equity (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Net Profit Margin (TTM)

AAL

1.05%

Passenger Airlines Industry

Max: 17.65%
Q3: 8.90%
Median: 5.80%
Q1: 2.02%
Min: -3.12%

Falling into the lower quartile for the Passenger Airlines industry, AAL’s Net Profit Margin of 1.05% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

RTX

7.35%

Aerospace & Defense Industry

Max: 14.54%
Q3: 8.08%
Median: 6.17%
Q1: 2.49%
Min: -1.63%

RTX’s Net Profit Margin of 7.35% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

AAL vs. RTX: A comparison of their Net Profit Margin (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Operating Profit Margin (TTM)

AAL

3.82%

Passenger Airlines Industry

Max: 22.47%
Q3: 12.33%
Median: 8.62%
Q1: 4.43%
Min: -2.88%

AAL’s Operating Profit Margin of 3.82% is in the lower quartile for the Passenger Airlines industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

RTX

9.95%

Aerospace & Defense Industry

Max: 16.63%
Q3: 10.38%
Median: 8.29%
Q1: 6.21%
Min: 0.95%

RTX’s Operating Profit Margin of 9.95% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

AAL vs. RTX: A comparison of their Operating Profit Margin (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Profitability at a Glance

Symbol	AAL	RTX
Return on Equity (TTM)	265.62%	10.03%
Return on Assets (TTM)	0.90%	3.73%
Net Profit Margin (TTM)	1.05%	7.35%
Operating Profit Margin (TTM)	3.82%	9.95%
Gross Profit Margin (TTM)	64.95%	20.05%

Financial Strength

Current Ratio (MRQ)

AAL

0.58

Passenger Airlines Industry

Max: 1.46
Q3: 0.94
Median: 0.76
Q1: 0.54
Min: 0.17

AAL’s Current Ratio of 0.58 aligns with the median group of the Passenger Airlines industry, indicating that its short-term liquidity is in line with its sector peers.

RTX

1.01

Aerospace & Defense Industry

Max: 3.09
Q3: 1.98
Median: 1.23
Q1: 1.03
Min: 0.02

RTX’s Current Ratio of 1.01 falls into the lower quartile for the Aerospace & Defense industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AAL vs. RTX: A comparison of their Current Ratio (MRQ) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AAL

157.71

Passenger Airlines Industry

Max: 9.80
Q3: 4.82
Median: 1.30
Q1: 0.89
Min: 0.00

With a Debt-to-Equity Ratio of 157.71, AAL operates with exceptionally high leverage compared to the Passenger Airlines industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

RTX

0.67

Aerospace & Defense Industry

Max: 1.70
Q3: 1.04
Median: 0.68
Q1: 0.41
Min: 0.00

RTX’s Debt-to-Equity Ratio of 0.67 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AAL vs. RTX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Interest Coverage Ratio (TTM)

AAL

1.75

Passenger Airlines Industry

Max: 22.60
Q3: 16.29
Median: 6.75
Q1: 1.94
Min: -8.55

In the lower quartile for the Passenger Airlines industry, AAL’s Interest Coverage Ratio of 1.75 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

RTX

4.32

Aerospace & Defense Industry

Max: 36.57
Q3: 19.90
Median: 7.04
Q1: 2.40
Min: -7.63

RTX’s Interest Coverage Ratio of 4.32 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

AAL vs. RTX: A comparison of their Interest Coverage Ratio (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Financial Strength at a Glance

Symbol	AAL	RTX
Current Ratio (MRQ)	0.58	1.01
Quick Ratio (MRQ)	0.44	0.75
Debt-to-Equity Ratio (MRQ)	157.71	0.67
Interest Coverage Ratio (TTM)	1.75	4.32

Growth

Revenue Growth

AAL vs. RTX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AAL vs. RTX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AAL

0.00%

Passenger Airlines Industry

Max: 6.71%
Q3: 3.95%
Median: 1.10%
Q1: 0.00%
Min: 0.00%

AAL currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

RTX

1.61%

Aerospace & Defense Industry

Max: 2.03%
Q3: 1.22%
Median: 0.43%
Q1: 0.00%
Min: 0.00%

With a Dividend Yield of 1.61%, RTX offers a more attractive income stream than most of its peers in the Aerospace & Defense industry, signaling a strong commitment to shareholder returns.

AAL vs. RTX: A comparison of their Dividend Yield (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Dividend Payout Ratio (TTM)

AAL

0.00%

Passenger Airlines Industry

Max: 71.59%
Q3: 38.54%
Median: 8.16%
Q1: 0.00%
Min: 0.00%

AAL has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

RTX

54.91%

Aerospace & Defense Industry

Max: 83.87%
Q3: 49.90%
Median: 16.48%
Q1: 0.00%
Min: 0.00%

RTX’s Dividend Payout Ratio of 54.91% is in the upper quartile for the Aerospace & Defense industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

AAL vs. RTX: A comparison of their Dividend Payout Ratio (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Dividend at a Glance

Symbol	AAL	RTX
Dividend Yield (TTM)	0.00%	1.61%
Dividend Payout Ratio (TTM)	0.00%	54.91%

Valuation

Price-to-Earnings Ratio (TTM)

AAL

15.38

Passenger Airlines Industry

Max: 13.29
Q3: 11.94
Median: 8.78
Q1: 7.42
Min: 3.07

At 15.38, AAL’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Passenger Airlines industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

RTX

34.20

Aerospace & Defense Industry

Max: 65.97
Q3: 54.11
Median: 34.53
Q1: 23.66
Min: 0.00

RTX’s P/E Ratio of 34.20 is within the middle range for the Aerospace & Defense industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AAL vs. RTX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Price-to-Sales Ratio (TTM)

AAL

0.16

Passenger Airlines Industry

Max: 1.09
Q3: 0.74
Median: 0.61
Q1: 0.44
Min: 0.09

In the lower quartile for the Passenger Airlines industry, AAL’s P/S Ratio of 0.16 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

RTX

2.51

Aerospace & Defense Industry

Max: 8.07
Q3: 4.49
Median: 2.42
Q1: 1.39
Min: 0.00

RTX’s P/S Ratio of 2.51 aligns with the market consensus for the Aerospace & Defense industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AAL vs. RTX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Price-to-Book Ratio (MRQ)

AAL

75.06

Passenger Airlines Industry

Max: 3.44
Q3: 2.89
Median: 1.84
Q1: 1.22
Min: 0.56

At 75.06, AAL’s P/B Ratio is at an extreme premium to the Passenger Airlines industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

RTX

3.13

Aerospace & Defense Industry

Max: 13.67
Q3: 7.92
Median: 4.65
Q1: 2.68
Min: 0.82

RTX’s P/B Ratio of 3.13 is within the conventional range for the Aerospace & Defense industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

AAL vs. RTX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Passenger Airlines and Aerospace & Defense industry benchmarks.

Valuation at a Glance

Symbol	AAL	RTX
Price-to-Earnings Ratio (TTM)	15.38	34.20
Price-to-Sales Ratio (TTM)	0.16	2.51
Price-to-Book Ratio (MRQ)	75.06	3.13
Price-to-Free Cash Flow Ratio (TTM)	4.16	42.91