RTXRTX Corporation
Is the business good?
A genuinely good business: earnings fully cash-backed (1.7×) and margins widening.
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
A balanced mix of margins, efficiency, and leverage. ROE 11% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is RTX?
RTX Corporation earns 8.7% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 0.26 points below what the capital costs: growth destroys value
- Operating margin
- 11%
Operating margin · Aerospace & Defense median 9.6% · 12 months to Q2 2026
- Cash conversion
- 1.67×
Cash conversion · 0.86× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +0.81%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | −3.3% |
| FY2021 | 8.0% |
| FY2022 | 8.2% |
| FY2023 | 5.2% |
| FY2024 | 8.1% |
| FY2025 | 11% |
Details›
- Operating margin12 months to Q2 2026
- 11%
- Net margin12 months to Q2 2026
- 8.3%
- Free cash flow margin
- 12%
- R&D as % of revenue
- 3.0%
- Revenue, trailing twelve months
- $93.5B
- Free cash flow, trailing twelve months
- $11.4B
- Net income, trailing twelve months
- $7.74B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 8.7%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Aerospace & Defense
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