WallStSmart

Gates Industrial Corporation plc (GTES)vsRTX Corporation (RTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

RTX Corporation generates 2568% more annual revenue ($93.50B vs $3.50B). GTES leads profitability with a 10.4% profit margin vs 8.3%. GTES trades at a lower P/E of 18.2x. GTES earns a higher WallStSmart Score of 64/100 (C+).

GTES

Buy

64

out of 100

Grade: C+

Growth: 6.0Profit: 6.0Value: 5.3Quality: 7.5
Piotroski: 6/9Altman Z: 1.96

RTX

Buy

59

out of 100

Grade: C

Growth: 6.7Profit: 6.0Value: 4.3Quality: 6.0
Piotroski: 6/9Altman Z: 1.58

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GTES2 strengths · Avg: 9.0/10
EPS GrowthGrowth
205.8%10/10

Earnings expanding 205.8% YoY

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

RTX3 strengths · Avg: 8.7/10
Market CapQuality
$266.42B10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
28.7%8/10

Earnings expanding 28.7% YoY

Free Cash FlowQuality
$3.59B8/10

Generating 3.6B in free cash flow

Areas to Watch

GTES2 concerns · Avg: 3.5/10
Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Return on EquityProfitability
7.4%3/10

ROE of 7.4% — below average capital efficiency

RTX3 concerns · Avg: 4.0/10
PEG RatioValuation
2.304/10

Expensive relative to growth rate

P/E RatioValuation
34.9x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.584/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : GTES

The strongest argument for GTES centers on EPS Growth, Price/Book.

Bull Case : RTX

The strongest argument for RTX centers on Market Cap, EPS Growth, Free Cash Flow. Revenue growth of 14.5% demonstrates continued momentum.

Bear Case : GTES

The primary concerns for GTES are Altman Z-Score, Return on Equity.

Bear Case : RTX

The primary concerns for RTX are PEG Ratio, P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

GTES carries more volatility with a beta of 1.26 — expect wider price swings.

RTX is growing revenue faster at 14.5% — sustainability is the question.

RTX generates stronger free cash flow (3.6B), providing more financial flexibility.

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

GTES scores higher overall (64/100 vs 59/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Gates Industrial Corporation plc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. The company is headquartered in Denver, Colorado.

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RTX Corporation

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Raytheon Technologies Corporation is an American multinational aerospace and defense conglomerate headquartered in Waltham, Massachusetts. It is one of the largest aerospace, intelligence services providers, and defense manufacturers in the world by revenue and market capitalization. Raytheon Technologies (RTX) researches, develops, and manufactures advanced technology products in the aerospace and defense industry, including aircraft engines, avionics, aerostructures, cybersecurity, guided missiles, air defense systems, satellites, and drones.

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