RTX is an aerospace and defense manufacturer formed from the merger of United Technologies and Raytheon, with roughly equal exposure across three segments, mostly as a supplier to commercial aerospace and to the defense market: Collins Aerospace, a diversified aerospace supplier; Pratt & Whitney, a commercial and…
It is a $251B industrial company. Revenue grew 11.8% over the last year, it keeps 8¢ of every dollar of sales as profit, and its net debt equals ~2.4 years of free cash flow. It trades at 32.4× earnings — in the cheapest third of its own history.
- Website
- rtx.com
- Location
- Arlington, VA
- Employees
- 180 000
- Sector
- Industrials
- Founded
- 1922
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong quality; Profitability, Health and Moat lag behind.
Valuation64
- P/E vs own history21th pct · 20/25
- FCF yield4.5% · 12/25
- P/S2.7x · 20/25
- EV/EBITDA18.8x · 12/25
Growth57
- Revenue CAGR8.3% · 12/25
- Net income CAGR14.9% · 20/25
- EPS CAGR ~5Yn/a · 0/25
- Fwd implied growth30.2% · 25/25
Profitability42
- ROIC7.3% · 5/25
- ROE11.8% · 12/25
- Net margin8.3% · 13/25
- Operating margin11.2% · 12/25
Health42
- Altman Zn/a · 0/25
- Current ratio1.01 · 12/25
- Interest coverage6.0x · 18/25
- Net cash / debtD/A 16% · 12/25
Quality90
- Piotroski F8/9 · 25/25
- Beneish M-2.41 · 20/25
- FCF conversion147% · 25/25
- Margin stabilityσ 5.4% · 20/25
Moat31
- ROIC >12% years2/10 yrs · 0/25
- Median gross margin20.2% · 6/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst -6.2% · 0/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- FY2025FinancialBest year on record$6.73B net income
- 2020AcquisitionThe company was formed in 2020 by a merger of equals between the aerospace subsidiaries of United Technologies…
- 2018AcquisitionUTC acquired Rockwell Collins for $23 billion ($30 billion including Rockwell Collins' net debt)
- FY2016FinancialFirst recorded profitable year$5.05B net income
- FY2016FinancialRevenue already above $50B$57.2B in first reported year
- FY2016FinancialPositive free cash flow every year since10-year streak
- 2011AcquisitionUTC acquired an $18.4 billion deal (including $1.9 billion in net debt assumed) for aircraft…
- 2010AcquisitionUTC conducted its largest acquisition to date, General Electric's security equipment business for US$1.8…
- 2005AcquisitionAlso in 2005, UTC acquired Boeing's Rocketdyne division, which was merged into the Pratt & Whitney business unit and…
- 1967MilestoneUsing the Amana brand name and its distribution channels, Raytheon began selling the first countertop household…
- 1959AcquisitionRaytheon acquired the marine electronics company Apelco Applied Electronics
- 1928AcquisitionRaytheon merged with Q.R.S
- 1925MilestoneThe company changed its name to Raytheon Manufacturing Company and began marketing its rectifier under the…
- 1922FoundedThe Raytheon Company was founded in 1922 in Cambridge, Massachusetts, by Laurence K
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- Revenue growing 11.8% year over year
- Interest covered 6.0× by operating earnings
- Piotroski F-Score 8/9 — fundamentally strong checklist
Watch-outs
- Loss-making in 1 of the recent years
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+11.8% YoY
- Profitable — makes more than it spends$7.74B TTM
- Profit growing — earnings are higher than last year+12.4% YoY
- Generates cash — cash left after running and investing$11.4B TTM
- Debt under control — could handle its obligations~2.4y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$251B market cap
- Not printing shares — share count not ballooning — you keep your slice-0.1% shares over ~5y
- Proven track record — years of profitability behind it9/10 profitable years
- Financially stable — balance sheet not near distresshealth score 30/100
- Pays a dividend — returns cash to shareholdersyield 1.49%
- Valuation not extreme — price not wildly above earningsP/E 32.4
Peer comparisonRTX Corporation vs 6 largest industrials peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| RTX this company | $251.3B | 32.4 | +11.8% | 8.3% | Strained |
| LRCX Lam Research Corp | $399.2B | 54.9 | +26.0% | 31.3% | Strong |
| CAT Caterpillar Inc. | $368.0B | 33.9 | +18.4% | 14.5% | Solid |
| DE Deere & Company | $167.7B | 34.4 | +8.3% | 10.2% | Solid |
| ETN Eaton Corporation, plc | $167.2B | 43.6 | +15.5% | 12.8% | Mixed |
| UNP Union Pacific Corp. | $166.8B | 22.6 | +4.2% | 28.8% | Strained |
| BA Boeing Company | $150.6B | 61.8 | +24.8% | 2.6% | Strained |
Head-to-head: RTX vs LRCX · RTX vs CAT · RTX vs DE
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/RTX
Want the live picture — intraday moves, valuation history and full analysis?
Deeper analysis of RTX on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $186.49 · market cap $251B.