RTX CORP (1RTX.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1RTX - US75513E1010 - Common Stock
150.98 EUR
+2.12 (+1.42%)
1RTX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 50 industry peers in the Aerospace & Defense industry. 1RTX has a medium profitability rating, but doesn't score so well on its financial health evaluation. 1RTX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1RTX was profitable.
In the past year 1RTX had a positive cash flow from operations.
Of the past 5 years 1RTX 4 years were profitable.
In the past 5 years 1RTX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of 1RTX (3.91%) is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 10.22%, 1RTX is in line with its industry, outperforming 48.00% of the companies in the same industry.
1RTX has a Return On Invested Capital (6.30%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for 1RTX is significantly below the industry average of 9.12%.
The 3 year average ROIC (3.68%) for 1RTX is below the current ROIC(6.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.91% | ||
| ROE | 10.22% | ||
| ROIC | 6.3% |
ROA(3y)2.73%
ROA(5y)1.68%
ROE(3y)6.81%
ROE(5y)4.17%
ROIC(3y)3.68%
ROIC(5y)3.17%
1.3 Margins
1RTX's Profit Margin of 7.67% is fine compared to the rest of the industry. 1RTX outperforms 72.00% of its industry peers.
1RTX's Profit Margin has declined in the last couple of years.
The Operating Margin of 1RTX (10.02%) is better than 68.00% of its industry peers.
In the last couple of years the Operating Margin of 1RTX has declined.
1RTX has a worse Gross Margin (20.13%) than 70.00% of its industry peers.
In the last couple of years the Gross Margin of 1RTX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.02% | ||
| PM (TTM) | 7.67% | ||
| GM | 20.13% |
OM growth 3Y-2.13%
OM growth 5Y-7.15%
PM growth 3Y-0.49%
PM growth 5Y-13.5%
GM growth 3Y-0.54%
GM growth 5Y-4.24%
2. Health
2.1 Basic Checks
1RTX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, 1RTX has more shares outstanding
1RTX has more shares outstanding than it did 5 years ago.
The debt/assets ratio for 1RTX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.54 indicates that 1RTX is not a great score, but indicates only limited risk for bankruptcy at the moment.
1RTX has a Altman-Z score (2.54) which is in line with its industry peers.
1RTX has a debt to FCF ratio of 8.26. This is a slightly negative value and a sign of low solvency as 1RTX would need 8.26 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.26, 1RTX is in line with its industry, outperforming 42.00% of the companies in the same industry.
1RTX has a Debt/Equity ratio of 0.60. This is a neutral value indicating 1RTX is somewhat dependend on debt financing.
1RTX has a Debt to Equity ratio (0.60) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 2.54 |
ROIC/WACC0.64
WACC9.83%
2.3 Liquidity
A Current Ratio of 1.07 indicates that 1RTX should not have too much problems paying its short term obligations.
1RTX has a Current ratio of 1.07. This is in the lower half of the industry: 1RTX underperforms 74.00% of its industry peers.
1RTX has a Quick Ratio of 1.07. This is a bad value and indicates that 1RTX is not financially healthy enough and could expect problems in meeting its short term obligations.
1RTX has a Quick ratio (0.81) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
1RTX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.21%, which is quite good.
The Earnings Per Share has been decreasing by -7.02% on average over the past years.
1RTX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.79%.
1RTX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.23% yearly.
EPS 1Y (TTM)14.21%
EPS 3Y10.36%
EPS 5Y-7.02%
EPS Q2Q%17.24%
Revenue 1Y (TTM)8.79%
Revenue growth 3Y7.83%
Revenue growth 5Y12.23%
Sales Q2Q%11.89%
3.2 Future
The Earnings Per Share is expected to grow by 8.26% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.22% on average over the next years.
EPS Next Y9.26%
EPS Next 2Y9.28%
EPS Next 3Y9.92%
EPS Next 5Y8.26%
Revenue Next Year9.08%
Revenue Next 2Y7.61%
Revenue Next 3Y7.14%
Revenue Next 5Y5.22%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 28.22, 1RTX can be considered very expensive at the moment.
1RTX's Price/Earnings ratio is a bit cheaper when compared to the industry. 1RTX is cheaper than 76.00% of the companies in the same industry.
1RTX is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.38, which is the current average of the S&P500 Index.
1RTX is valuated quite expensively with a Price/Forward Earnings ratio of 25.81.
1RTX's Price/Forward Earnings ratio is in line with the industry average.
1RTX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.22 | ||
| Fwd PE | 25.81 |
4.2 Price Multiples
1RTX's Enterprise Value to EBITDA ratio is in line with the industry average.
1RTX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 50.2 | ||
| EV/EBITDA | 20.82 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)3.05
PEG (5Y)N/A
EPS Next 2Y9.28%
EPS Next 3Y9.92%
5. Dividend
5.1 Amount
1RTX has a Yearly Dividend Yield of 1.59%.
Compared to an average industry Dividend Yield of 0.88, 1RTX pays a bit more dividend than its industry peers.
1RTX's Dividend Yield is comparable with the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.59% |
5.2 History
The dividend of 1RTX decreases each year by -3.08%.
Dividend Growth(5Y)-3.08%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
52.52% of the earnings are spent on dividend by 1RTX. This is a bit on the high side, but may be sustainable.
DP52.52%
EPS Next 2Y9.28%
EPS Next 3Y9.92%
BIT:1RTX (12/12/2025, 7:00:00 PM)
150.98
+2.12 (+1.42%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners81.57%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap202.43B
Revenue(TTM)85.99B
Net Income(TTM)6.59B
Analysts76.3
Price Target164.34 (8.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.59% |
Yearly Dividend2.08
Dividend Growth(5Y)-3.08%
DP52.52%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.21%
Min EPS beat(2)6.96%
Max EPS beat(2)19.47%
EPS beat(4)4
Avg EPS beat(4)11.14%
Min EPS beat(4)6.96%
Max EPS beat(4)19.47%
EPS beat(8)8
Avg EPS beat(8)8.73%
EPS beat(12)12
Avg EPS beat(12)7.41%
EPS beat(16)16
Avg EPS beat(16)7.08%
Revenue beat(2)2
Avg Revenue beat(2)4.01%
Min Revenue beat(2)3.6%
Max Revenue beat(2)4.42%
Revenue beat(4)4
Avg Revenue beat(4)3.45%
Min Revenue beat(4)1.58%
Max Revenue beat(4)4.42%
Revenue beat(8)8
Avg Revenue beat(8)2.41%
Revenue beat(12)10
Avg Revenue beat(12)-0.61%
Revenue beat(16)10
Avg Revenue beat(16)-1.03%
PT rev (1m)1.13%
PT rev (3m)N/A
EPS NQ rev (1m)0.45%
EPS NQ rev (3m)-3.01%
EPS NY rev (1m)4.3%
EPS NY rev (3m)4.22%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)0.46%
Revenue NY rev (1m)1.65%
Revenue NY rev (3m)1.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.22 | ||
| Fwd PE | 25.81 | ||
| P/S | 2.76 | ||
| P/FCF | 50.2 | ||
| P/OCF | 29.79 | ||
| P/B | 3.68 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.82 |
EPS(TTM)5.35
EY3.54%
EPS(NY)5.85
Fwd EY3.87%
FCF(TTM)3.01
FCFY1.99%
OCF(TTM)5.07
OCFY3.36%
SpS54.73
BVpS41.06
TBVpS-13.4
PEG (NY)3.05
PEG (5Y)N/A
Graham Number70.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.91% | ||
| ROE | 10.22% | ||
| ROCE | 7.46% | ||
| ROIC | 6.3% | ||
| ROICexc | 6.64% | ||
| ROICexgc | 30.19% | ||
| OM | 10.02% | ||
| PM (TTM) | 7.67% | ||
| GM | 20.13% | ||
| FCFM | 5.5% |
ROA(3y)2.73%
ROA(5y)1.68%
ROE(3y)6.81%
ROE(5y)4.17%
ROIC(3y)3.68%
ROIC(5y)3.17%
ROICexc(3y)3.89%
ROICexc(5y)3.36%
ROICexgc(3y)20.34%
ROICexgc(5y)17.15%
ROCE(3y)4.37%
ROCE(5y)3.76%
ROICexgc growth 3Y14.66%
ROICexgc growth 5Y12.77%
ROICexc growth 3Y9.47%
ROICexc growth 5Y0.94%
OM growth 3Y-2.13%
OM growth 5Y-7.15%
PM growth 3Y-0.49%
PM growth 5Y-13.5%
GM growth 3Y-0.54%
GM growth 5Y-4.24%
F-Score9
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 8.26 | ||
| Debt/EBITDA | 2.97 | ||
| Cap/Depr | 74.28% | ||
| Cap/Sales | 3.76% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 61.38% | ||
| Profit Quality | 71.69% | ||
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 2.54 |
F-Score9
WACC9.83%
ROIC/WACC0.64
Cap/Depr(3y)72.3%
Cap/Depr(5y)63.03%
Cap/Sales(3y)4.25%
Cap/Sales(5y)3.96%
Profit Quality(3y)104.78%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.21%
EPS 3Y10.36%
EPS 5Y-7.02%
EPS Q2Q%17.24%
EPS Next Y9.26%
EPS Next 2Y9.28%
EPS Next 3Y9.92%
EPS Next 5Y8.26%
Revenue 1Y (TTM)8.79%
Revenue growth 3Y7.83%
Revenue growth 5Y12.23%
Sales Q2Q%11.89%
Revenue Next Year9.08%
Revenue Next 2Y7.61%
Revenue Next 3Y7.14%
Revenue Next 5Y5.22%
EBIT growth 1Y48.43%
EBIT growth 3Y5.54%
EBIT growth 5Y4.21%
EBIT Next Year42.11%
EBIT Next 3Y19.16%
EBIT Next 5Y12.3%
FCF growth 1Y5.47%
FCF growth 3Y-6.17%
FCF growth 5Y-10.06%
OCF growth 1Y2.09%
OCF growth 3Y0.41%
OCF growth 5Y-4.22%
RTX CORP / 1RTX.MI FAQ
Can you provide the ChartMill fundamental rating for RTX CORP?
ChartMill assigns a fundamental rating of 4 / 10 to 1RTX.MI.
What is the valuation status of RTX CORP (1RTX.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to RTX CORP (1RTX.MI). This can be considered as Overvalued.
What is the profitability of 1RTX stock?
RTX CORP (1RTX.MI) has a profitability rating of 4 / 10.
What is the valuation of RTX CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RTX CORP (1RTX.MI) is 28.22 and the Price/Book (PB) ratio is 3.68.
What is the financial health of RTX CORP (1RTX.MI) stock?
The financial health rating of RTX CORP (1RTX.MI) is 3 / 10.