RTX CORP (1RTX.MI) Stock Fundamental Analysis
Europe - BIT:1RTX - US75513E1010 - Common Stock
137.58 EUR
-7.46 (-5.14%)
1RTX gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 49 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
1RTX had positive earnings in the past year.
In the past year 1RTX had a positive cash flow from operations.
1RTX had positive earnings in 4 of the past 5 years.
1RTX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1RTX has a Return On Assets (3.68%) which is comparable to the rest of the industry.
The Return On Equity of 1RTX (9.85%) is comparable to the rest of the industry.
With a Return On Invested Capital value of 6.07%, 1RTX perfoms like the industry average, outperforming 44.90% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1RTX is significantly below the industry average of 9.33%.
The last Return On Invested Capital (6.07%) for 1RTX is above the 3 year average (3.68%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 9.85% | ||
| ROIC | 6.07% |
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
With a Profit Margin value of 7.35%, 1RTX perfoms like the industry average, outperforming 59.18% of the companies in the same industry.
In the last couple of years the Profit Margin of 1RTX has declined.
1RTX has a better Operating Margin (9.83%) than 65.31% of its industry peers.
In the last couple of years the Operating Margin of 1RTX has declined.
With a Gross Margin value of 20.05%, 1RTX is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
1RTX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.83% | ||
| PM (TTM) | 7.35% | ||
| GM | 20.05% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1RTX is destroying value.
Compared to 1 year ago, 1RTX has more shares outstanding
Compared to 5 years ago, 1RTX has more shares outstanding
The debt/assets ratio for 1RTX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.35 indicates that 1RTX is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.35, 1RTX is not doing good in the industry: 63.27% of the companies in the same industry are doing better.
The Debt to FCF ratio of 1RTX is 15.76, which is on the high side as it means it would take 1RTX, 15.76 years of fcf income to pay off all of its debts.
1RTX has a worse Debt to FCF ratio (15.76) than 73.47% of its industry peers.
1RTX has a Debt/Equity ratio of 0.64. This is a neutral value indicating 1RTX is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.64, 1RTX is in line with its industry, outperforming 40.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 15.76 | ||
| Altman-Z | 2.35 |
ROIC/WACC0.64
WACC9.47%
2.3 Liquidity
1RTX has a Current Ratio of 1.01. This is a normal value and indicates that 1RTX is financially healthy and should not expect problems in meeting its short term obligations.
1RTX's Current ratio of 1.01 is on the low side compared to the rest of the industry. 1RTX is outperformed by 79.59% of its industry peers.
1RTX has a Quick Ratio of 1.01. This is a bad value and indicates that 1RTX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.75, 1RTX is in line with its industry, outperforming 48.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.80% over the past year.
Measured over the past years, 1RTX shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.02% on average per year.
The Revenue has grown by 15.44% in the past year. This is quite good.
The Revenue has been growing by 12.23% on average over the past years. This is quite good.
EPS 1Y (TTM)13.8%
EPS 3Y10.36%
EPS 5Y-7.02%
EPS Q2Q%10.64%
Revenue 1Y (TTM)15.44%
Revenue growth 3Y7.83%
Revenue growth 5Y12.23%
Sales Q2Q%9.43%
3.2 Future
The Earnings Per Share is expected to grow by 8.01% on average over the next years. This is quite good.
1RTX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.99% yearly.
EPS Next Y4.83%
EPS Next 2Y8.05%
EPS Next 3Y9.26%
EPS Next 5Y8.01%
Revenue Next Year7.24%
Revenue Next 2Y6.54%
Revenue Next 3Y6.26%
Revenue Next 5Y4.99%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 26.61 indicates a quite expensive valuation of 1RTX.
Compared to the rest of the industry, the Price/Earnings ratio of 1RTX indicates a rather cheap valuation: 1RTX is cheaper than 81.63% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.40. 1RTX is around the same levels.
Based on the Price/Forward Earnings ratio of 23.92, the valuation of 1RTX can be described as rather expensive.
Based on the Price/Forward Earnings ratio, 1RTX is valued a bit cheaper than the industry average as 67.35% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.94. 1RTX is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.61 | ||
| Fwd PE | 23.92 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1RTX is valued a bit cheaper than 61.22% of the companies in the same industry.
63.27% of the companies in the same industry are cheaper than 1RTX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 80.53 | ||
| EV/EBITDA | 19.88 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1RTX does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)5.51
PEG (5Y)N/A
EPS Next 2Y8.05%
EPS Next 3Y9.26%
5. Dividend
5.1 Amount
1RTX has a Yearly Dividend Yield of 1.68%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.08, 1RTX pays a better dividend. On top of this 1RTX pays more dividend than 89.80% of the companies listed in the same industry.
1RTX's Dividend Yield is slightly below the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
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
54.91% of the earnings are spent on dividend by 1RTX. This is a bit on the high side, but may be sustainable.
DP54.91%
EPS Next 2Y8.05%
EPS Next 3Y9.26%
BIT:1RTX (10/10/2025, 7:00:00 PM)
137.58
-7.46 (-5.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners83.31%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap184.16B
Analysts76.15
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
Yearly Dividend2.09
Dividend Growth(5Y)-3.08%
DP54.91%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.19%
Min EPS beat(2)6.96%
Max EPS beat(2)7.43%
EPS beat(4)4
Avg EPS beat(4)8.04%
Min EPS beat(4)6.96%
Max EPS beat(4)10.7%
EPS beat(8)8
Avg EPS beat(8)6.59%
EPS beat(12)12
Avg EPS beat(12)6.23%
EPS beat(16)16
Avg EPS beat(16)6.8%
Revenue beat(2)2
Avg Revenue beat(2)2.59%
Min Revenue beat(2)1.58%
Max Revenue beat(2)3.6%
Revenue beat(4)4
Avg Revenue beat(4)2.4%
Min Revenue beat(4)0.21%
Max Revenue beat(4)4.23%
Revenue beat(8)7
Avg Revenue beat(8)-1.68%
Revenue beat(12)9
Avg Revenue beat(12)-1.2%
Revenue beat(16)9
Avg Revenue beat(16)-1.43%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)-0.19%
EPS NQ rev (3m)-3.25%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.26%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)1.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.61 | ||
| Fwd PE | 23.92 | ||
| P/S | 2.57 | ||
| P/FCF | 80.53 | ||
| P/OCF | 36.69 | ||
| P/B | 3.44 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.88 |
EPS(TTM)5.17
EY3.76%
EPS(NY)5.75
Fwd EY4.18%
FCF(TTM)1.71
FCFY1.24%
OCF(TTM)3.75
OCFY2.73%
SpS53.61
BVpS40.02
TBVpS-15.18
PEG (NY)5.51
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 9.85% | ||
| ROCE | 7.29% | ||
| ROIC | 6.07% | ||
| ROICexc | 6.34% | ||
| ROICexgc | 29.46% | ||
| OM | 9.83% | ||
| PM (TTM) | 7.35% | ||
| GM | 20.05% | ||
| FCFM | 3.19% |
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%
ROICexcg growth 3Y14.66%
ROICexcg 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-Score8
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 15.76 | ||
| Debt/EBITDA | 3.17 | ||
| Cap/Depr | 72.99% | ||
| Cap/Sales | 3.81% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 46.47% | ||
| Profit Quality | 43.35% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 2.35 |
F-Score8
WACC9.47%
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)13.8%
EPS 3Y10.36%
EPS 5Y-7.02%
EPS Q2Q%10.64%
EPS Next Y4.83%
EPS Next 2Y8.05%
EPS Next 3Y9.26%
EPS Next 5Y8.01%
Revenue 1Y (TTM)15.44%
Revenue growth 3Y7.83%
Revenue growth 5Y12.23%
Sales Q2Q%9.43%
Revenue Next Year7.24%
Revenue Next 2Y6.54%
Revenue Next 3Y6.26%
Revenue Next 5Y4.99%
EBIT growth 1Y245.38%
EBIT growth 3Y5.54%
EBIT growth 5Y4.21%
EBIT Next Year39.27%
EBIT Next 3Y18.46%
EBIT Next 5Y11.96%
FCF growth 1Y24.72%
FCF growth 3Y-6.17%
FCF growth 5Y-10.06%
OCF growth 1Y11.12%
OCF growth 3Y0.41%
OCF growth 5Y-4.22%