WallStSmart

BHP Group Limited (BHP)vsRaytheon Technologies Corp (RTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Raytheon Technologies Corp generates 67% more annual revenue ($90.37B vs $53.99B). BHP leads profitability with a 19.0% profit margin vs 8.0%. RTX appears more attractively valued with a PEG of 2.43. BHP earns a higher WallStSmart Score of 65/100 (C+).

BHP

Buy

65

out of 100

Grade: C+

Growth: 5.3Profit: 8.5Value: 3.3Quality: 5.0

RTX

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.0Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 1.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BHPSignificantly Overvalued (-83.1%)

Margin of Safety

-83.1%

Fair Value

$43.51

Current Price

$84.72

$41.21 premium

UndervaluedFair: $43.51Overvalued
RTXSignificantly Overvalued (-51.9%)

Margin of Safety

-51.9%

Fair Value

$116.35

Current Price

$176.09

$59.74 premium

UndervaluedFair: $116.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BHP5 strengths · Avg: 9.0/10
Market CapQuality
$214.23B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
40.7%10/10

Strong operational efficiency at 40.7%

Return on EquityProfitability
24.7%9/10

Every $100 of equity generates 25 in profit

EPS GrowthGrowth
27.5%8/10

Earnings expanding 27.5% YoY

Free Cash FlowQuality
$4.31B8/10

Generating 4.3B in free cash flow

RTX3 strengths · Avg: 8.7/10
Market CapQuality
$238.07B10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
32.5%8/10

Earnings expanding 32.5% YoY

Free Cash FlowQuality
$1.21B8/10

Generating 1.2B in free cash flow

Areas to Watch

BHP1 concerns · Avg: 2.0/10
PEG RatioValuation
5.952/10

Expensive relative to growth rate

RTX3 concerns · Avg: 4.0/10
PEG RatioValuation
2.434/10

Expensive relative to growth rate

P/E RatioValuation
33.1x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.554/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : BHP

The strongest argument for BHP centers on Market Cap, Operating Margin, Return on Equity. Profitability is solid with margins at 19.0% and operating margin at 40.7%. Revenue growth of 10.8% demonstrates continued momentum.

Bull Case : RTX

The strongest argument for RTX centers on Market Cap, EPS Growth, Free Cash Flow.

Bear Case : BHP

The primary concerns for BHP are PEG Ratio.

Bear Case : RTX

The primary concerns for RTX are PEG Ratio, P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

BHP profiles as a mature stock while RTX is a value play — different risk/reward profiles.

BHP carries more volatility with a beta of 0.80 — expect wider price swings.

BHP is growing revenue faster at 10.8% — sustainability is the question.

BHP generates stronger free cash flow (4.3B), providing more financial flexibility.

Bottom Line

BHP scores higher overall (65/100 vs 59/100), backed by strong 19.0% margins and 10.8% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

BHP Group Limited

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

BHP Group engages in the natural resources business in Australia, Europe, China, Japan, India, South Korea, the rest of Asia, North America, South America and internationally. The company is headquartered in Melbourne, Australia.

Raytheon Technologies Corp

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Raytheon Technologies Corporation is an American multinational aerospace and defense conglomerate headquartered in Waltham, Massachusetts. It is one of the largest aerospace, intelligence services providers, and defense manufacturers in the world by revenue and market capitalization. Raytheon Technologies (RTX) researches, develops, and manufactures advanced technology products in the aerospace and defense industry, including aircraft engines, avionics, aerostructures, cybersecurity, guided missiles, air defense systems, satellites, and drones.

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