RTXRTX

Is the price high or low right now, compared to what the market usually pays?

→At 35.2x earnings, the market is paying +44% more than RTX's own 10-year median of 24.5x. Expectations are elevated, so more has to go right to justify the price.

What has the market paid for RTX over the years?

→At 35.2x earnings, the market is paying +44% more than RTX's own 10-year median of 24.5x. Expectations are elevated, so more has to go right to justify the price.

What cash return does the business throw off per dollar of market value?

4.2%FCF yield today

→At 4.2%, the business is throwing off more cash per dollar of market value than its own 11-year median of 4.0% - the cheaper end of its history.

Revenue: is the business selling more than it used to?

→Revenue reached $88.6B in 2025, compounding +10% a year since 2022 though the pace has cooled. The trailing twelve months are already running at $93.5B, ahead of the last full year.

Net income: how much of that revenue becomes profit?

→Net income was $6.7B in 2025, compounding +9% a year over three years. Earnings per share moved +26% over the last twelve months. Trailing twelve-month profit stands at $7.7B.

How fast is it growing, year by year?

+10%revenue growth, FY 2025

→In 2025 revenue grew +10% while earnings moved +41% - when the earnings line runs above revenue, each new dollar of sales is arriving more profitably.

Revenue per share: is your slice growing as fast as the company?

$65.32revenue per share, FY 2025

→Revenue per share reached $65.32 in 2025, compounding +13% a year against +10% for RTX as a whole. Buybacks added roughly 3.4 points to your per-share result. Free cash flow per share stands at $5.85.

Margins: of every $1 of sales, how much survives each cost layer?

→Operating margin widened 2 points to 10% since 2022. After everything, 8 cents of each sales dollar reaches net profit. RTX doesn't tag a gross-profit line in its filings, so the chart starts at operating margin.

Earnings quality: do the reported profits turn into real cash?

→Operating cash flow runs at 184% of reported profit, so the earnings are more than backed by cash - depreciation and other non-cash charges are understating what the business actually collects.

What does it earn on the money it uses?

→ROE 10% and ROCE 8% sit close together - the returns come from the business itself, not from borrowing.

How much of every sales dollar ends up as free cash?

→9 cents of every sales dollar became free cash in 2025, and it has held steady since 2022.

What does staying competitive cost, per dollar of sales?

→The biggest claim on each sales dollar is research and development, at 3% of revenue (capital spending 3%, stock compensation 1%). That share has fallen since 2022, so the cost of competing is easing.

When sales grow, do profits grow faster?

→Operating profit outgrew revenue in 3 of the last 5 years, most recently +42% against +10%. Each additional dollar of sales is landing more profitably than the last - the definition of operating leverage.

Does RTX earn more on its capital than that capital costs?

→RTX earns 8.3% on the capital it employs, below the 10% most investors treat as the cost of capital. It was 4.6% in 2022, so the trend is up, and the pace is picking up.

Could it handle its debt if things went wrong?

→Debt of $32.1B sits against $9.0B of cash, or 0.5x shareholders' equity. Earnings cover interest 5.6 times - adequate, with less room than it looks in a downturn.

Is the company's own capital growing or shrinking?

→The company's own capital grew from $59.8B in 2023 to $66.4B (+11%). The business is building book value rather than consuming it.

How much goes back to shareholders - and how much leaks out as stock compensation?

→$3.6B returned last year against $519M of stock issued to employees - the returns outweigh the dilution 7.0-to-1.

How fast is your ownership being diluted - or concentrated?

→1.0% more shares last year - your stake was diluted by that much.

Is the dividend cheque itself growing?

→Up from $2.01 to $2.63 per share over 5 years - the cheque keeps growing.

What does the payout earn you at each year's prices?

→At today's price the yield is 1.3%.

Can it actually afford the dividend?

→Comfortable: 53% of profits and 45% of free cash flow go out as dividends - well inside what the business generates.

RTX has issued or retired shares - did shareholders end up better off?

→RTX's share count rose +50% from 2011 to 2025 while revenue per share grew +6%. Holders are further ahead than before, though the gain per share is smaller than the growth in the business.

How is RTX's trend actually behaving right now?

→RTX has no trend to speak of right now. The price is inside the band where recent trading settled, which is where prices drift rather than travel, though the band itself is tilting up. It crossed only 3 sessions ago, so treat it as unsettled. The last two weeks and the month-ago comparison both point down, so what pressure there is leans downward.

Are the people running it buying or selling with their own money?

→No open-market buying, and $40M of selling across 4 months. Selling alone is a weak signal - much of it is pre-scheduled - but the absence of buying tells you no insider saw the price as a bargain.