WallStSmart

RTX Corporation (RTX)vsTextron Inc (TXT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

RTX Corporation generates 495% more annual revenue ($90.37B vs $15.19B). RTX leads profitability with a 8.0% profit margin vs 6.2%. TXT appears more attractively valued with a PEG of 1.19. TXT earns a higher WallStSmart Score of 63/100 (C+).

RTX

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.0Value: 4.3Quality: 6.0
Piotroski: 6/9Altman Z: 1.58

TXT

Buy

63

out of 100

Grade: C+

Growth: 5.3Profit: 5.5Value: 5.3Quality: 6.5
Piotroski: 5/9Altman Z: 2.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for RTX.

TXTSignificantly Overvalued (-81.7%)

Margin of Safety

-81.7%

Fair Value

$53.54

Current Price

$91.08

$37.54 premium

UndervaluedFair: $53.54Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RTX3 strengths · Avg: 8.7/10
Market CapQuality
$234.67B10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
32.5%8/10

Earnings expanding 32.5% YoY

Free Cash FlowQuality
$1.21B8/10

Generating 1.2B in free cash flow

TXT2 strengths · Avg: 8.0/10
P/E RatioValuation
17.7x8/10

Attractively priced relative to earnings

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Areas to Watch

RTX3 concerns · Avg: 4.0/10
PEG RatioValuation
2.404/10

Expensive relative to growth rate

P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.584/10

Distress zone — elevated risk

TXT2 concerns · Avg: 2.5/10
Profit MarginProfitability
6.2%3/10

6.2% margin — thin

Free Cash FlowQuality
$-250.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : RTX

The strongest argument for RTX centers on Market Cap, EPS Growth, Free Cash Flow.

Bull Case : TXT

The strongest argument for TXT centers on P/E Ratio, Price/Book. Revenue growth of 11.8% demonstrates continued momentum. PEG of 1.19 suggests the stock is reasonably priced for its growth.

Bear Case : RTX

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

Bear Case : TXT

The primary concerns for TXT are Profit Margin, Free Cash Flow.

Key Dynamics to Monitor

TXT carries more volatility with a beta of 0.91 — expect wider price swings.

TXT is growing revenue faster at 11.8% — sustainability is the question.

RTX generates stronger free cash flow (1.2B), providing more financial flexibility.

Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TXT scores higher overall (63/100 vs 59/100) and 11.8% revenue growth. 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.

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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Textron Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Textron Inc. is an American industrial conglomerate based in Providence, Rhode Island. Textron's subsidiaries include Arctic Cat, Bell Textron, Textron Aviation (which itself includes the Beechcraft, Hawker, and Cessna brands), and Lycoming Engines.

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