# RTX Corporation (RTX) — Stock CV

RTX Corporation is a $251B industrial company. Revenue grew 11.8% over the last year, it keeps 8¢ of every dollar of sales as profit, and its net debt equals ~2.4 years of free cash flow. It trades at 32.4× earnings — in the cheapest third of its own history.

> RTX is an aerospace and defense manufacturer formed from the merger of United Technologies and Raytheon, with roughly equal exposure across three segments, mostly as a supplier to commercial aerospace and to the defense market: Collins Aerospace, a diversified aerospace supplier; Pratt & Whitney, a commercial and…

## Identity

- **Ticker**: RTX
- **Sector**: Industrials
- **Industry**: Aircraft Engines & Engine Parts
- **Headquarters**: ARLINGTON, VA
- **Employees**: 180 000
- **Website**: https://www.rtx.com
- **Market cap**: $251B
- **Last price**: $186.49
- **Financial profile**: Strained

## Vitals (TTM)

- **Revenue**: $93.5B
- **Net income**: $7.74B
- **Free cash flow**: $11.4B
- **Net debt**: $27.1B
- **P/E**: 32.4
- **Revenue growth (YoY)**: 11.8%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 64 |
| Growth | 57 |
| Profitability | 42 |
| Health | 42 |
| Quality | 90 |
| Moat | 31 |

## Qualifications (beginner checklist) — 10 of 11 passed

- [x] Revenue growing — +11.8% YoY
- [x] Profitable — $7.74B TTM
- [x] Profit growing — +12.4% YoY
- [x] Generates cash — $11.4B TTM
- [x] Debt under control — ~2.4y of cash flow to repay
- [x] Established company — $251B market cap
- [x] Not printing shares — -0.1% shares over ~5y
- [x] Proven track record — 9/10 profitable years
- [ ] Financially stable — health score 30/100
- [x] Pays a dividend — yield 1.49%
- [x] Valuation not extreme — P/E 32.4

## Experience (career milestones)

- **FY2025** — Best year on record: $6.73B net income
- **2020** — The company was formed in 2020 by a merger of equals between the aerospace subsidiaries of United Technologies…
- **2018** — UTC acquired Rockwell Collins for $23 billion ($30 billion including Rockwell Collins' net debt)
- **FY2016** — First recorded profitable year: $5.05B net income
- **FY2016** — Revenue already above $50B: $57.2B in first reported year
- **FY2016** — Positive free cash flow every year since: 10-year streak
- **2011** — UTC acquired an $18.4 billion deal (including $1.9 billion in net debt assumed) for aircraft…
- **2010** — UTC conducted its largest acquisition to date, General Electric's security equipment business for US$1.8…
- **2005** — Also in 2005, UTC acquired Boeing's Rocketdyne division, which was merged into the Pratt & Whitney business unit and…
- **1967** — Using the Amana brand name and its distribution channels, Raytheon began selling the first countertop household…
- **1959** — Raytheon acquired the marine electronics company Apelco Applied Electronics
- **1928** — Raytheon merged with Q.R.S
- **1925** — The company changed its name to Raytheon Manufacturing Company and began marketing its rectifier under the…
- **1922** — The Raytheon Company was founded in 1922 in Cambridge, Massachusetts, by Laurence K

## Strengths

- Revenue growing 11.8% year over year
- Interest covered 6.0× by operating earnings
- Piotroski F-Score 8/9 — fundamentally strong checklist

## Watch-outs

- Loss-making in 1 of the recent years

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $64.4B | $3.86B | $5.01B |
| FY2022 | $67.1B | $5.20B | $4.88B |
| FY2023 | $68.9B | $3.19B | $5.47B |
| FY2024 | $80.7B | $4.77B | $4.53B |
| FY2025 | $88.6B | $6.73B | $7.94B |

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Source: https://stockcv.com/RTX — derived from company filings; may be delayed or incomplete. Information, not investment advice.