RTX Corporation cash flow to debt ratio of 26.75% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

RTX Corporation's free cash flow has increased 75.12% from $4.53B last year to $7.94B, signaling increasing performance

RTX Corporation's debt to equity ratio is 0.59, which means that the company's assets are healthy financed, signaling financial stability.

RTX Corporation's debt has decreased relative to shareholder equity from 0.71 last year to 0.59 today, signaling strengthened financials

RTX Corporation has a net debt to EBITDA ratio of 2.15x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

RTX Corporation's interest coverage ratio of 6.26 indicates that earnings with good margin can cover interest payments on company debt

RTX Corporation's profit margin has increased (39.96%) in the last year from 5.91% to 8.28%, signaling increasing performance

RTX Corporation's short-term assets of $60.33B exceed its short-term liabilities of $58.78B

RTX Corporation's return on assets of 4.45% is lower than the 5.00% threshold, indicating inefficient asset utilization

RTX Corporation's return on equity of 11.80%, is lower than 15.00%, indicating bad performance

RTX Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

RTX Corporation had positive net income in 5 out of 5 years, indicating stable and consistent earnings

RTX Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

RTX Corporation has a free cash flow yield of 2.63%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

RTX Corporation's yearly earnings has increased 41.01% since last year from $4.77B to $6.73B, signaling increasing performance

RTX Corporation's yearly revenue has increased 9.74% since last year from $80.74B to $88.60B, signaling increasing performance

ROIC 7.33% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

RTX Corporation's 3-year revenue CAGR of 9.72% is positive, indicating growing revenue over the past 3 years

RTX Corporation had revenue growth in 5 out of 5 years, indicating consistent revenue performance

RTX Corporation had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

RTX Corporation is overvalued relative to its fair value price of 80.89 based on Discounted Cash Flow model

RTX Corporation has an earnings yield of 2.56%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

RTX Corporation is overvalued relative to its fair value price of 43.20 based on EBITDA multiple model

RTX Corporation has an EV/EBITDA ratio of 22.36x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

RTX Corporation is overvalued relative to its fair value price of 106.41 based on Earnings Fair Value model

RTX Corporation had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

RTX Corporation has a price-to-book ratio of 4.44x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

RTX Corporation has a price-to-sales ratio of 3.23x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue