RTX Corporation (RTX) Valuation — DCF, Graham & Comparables

RTX Corporation (RTX) — Price $199.80 (closing price, October 30, 2026) — Industrials — Aerospace & Defense — NYSE

Latest reported results:

Valuation dashboard for RTX Corporation (RTX) with P/E 32.44, P/B 3.90, EV/EBITDA 17.8 and dividend yield 1.41%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Industrials companies.

RTX Corporation, a major player in the aerospace and defense sectors, provides sophisticated systems and extensive services to a diverse global clientele. This includes commercial entities, military organizations, and government agencies, both within the United States and internationally. The company's operations are divided into three primary business units: Collins Aerospace, Pratt & Whitney, and Raytheon.

What would it be worth at its usual multiples?

Versus its usual multiples: expensive · Current P/E 32.4× · Multiples range: $138.88 · $159.24.

At the decade median (22.5×) $139 (-30 %); at its sector median (25.9×) $159 (-20 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.

Analysis Summary

RTX Corporation reported revenue of $88.60B in the most recent fiscal year, growing at a 5-year CAGR of 9.4%.

Trailing-twelve-month margins: gross margin 21.1%, operating margin 11.8%, net margin 8.9%.

At $199.80 (closing price, October 30, 2026), RTX trades at a P/E of 32.44 and an ROE of 12.77%. Market capitalisation stands at $269.6B, placing it among large-cap names.

Balance sheet quality for RTX: debt-to-equity ratio of 0.56, current ratio of 1.05 over the last 12 months. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio32.44
Price / Book3.90
EV / EBITDA17.8
Dividend Yield1.41%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
RTXRTX Corporation$269.6B32.443.9012.8%
GEGE Aerospace$313.1B34.8717.8350.6%
BAThe Boeing Company$135.6B18.6720.46127.1%
LMTLockheed Martin Corporation$147.1B22.6314.5978.8%
NOCNorthrop Grumman Corporation$79.2B17.594.2425.7%
GDGeneral Dynamics Corporation$100.8B21.903.6917.6%
TDGTransDigm Group Incorporated$63.4B34.79-22.3%
LHXL3Harris Technologies, Inc.$51.7B25.902.5510.2%

Price

Price$199.80 (closing price, October 30, 2026)
Market Cap$269.6B
ExchangeNYSE
CountryUS

Profitability

Return on Equity12.77%
Return on Invested Capital7.70%
Return on Assets4.83%
Gross Margin21.10%
Operating Margin11.77%
Net Margin8.88%

Related companies: GE · BA · LMT · NOC · GD · TDG · LHX · HEI

Explore sector: Industrials · Aerospace & Defense

More sections of RTX: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events

Discover more: Weekly Radar: the S&P 500 through the Buffett and Lynch methods · Companies that pass the Buffett method · Companies that pass the Lynch method · Stocks that pass Graham's defensive investor test today · Investment Academy — learn to analyze stocks