WallStSmart

Embraer S.A. (EMBJ)vsRaytheon Technologies Corp (RTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Raytheon Technologies Corp generates 112% more annual revenue ($88.60B vs $41.88B). RTX leads profitability with a 7.6% profit margin vs 4.7%. RTX appears more attractively valued with a PEG of 2.78. RTX earns a higher WallStSmart Score of 55/100 (C-).

EMBJ

Buy

52

out of 100

Grade: C-

Growth: 7.3Profit: 5.0Value: 6.7Quality: 5.0

RTX

Buy

55

out of 100

Grade: C-

Growth: 6.0Profit: 5.5Value: 4.7Quality: 7.0
Piotroski: 6/9Altman Z: 1.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EMBJUndervalued (+19.4%)

Margin of Safety

+19.4%

Fair Value

$89.86

Current Price

$58.93

$30.93 discount

UndervaluedFair: $89.86Overvalued
RTXSignificantly Overvalued (-95.4%)

Margin of Safety

-95.4%

Fair Value

$99.80

Current Price

$195.00

$95.20 premium

UndervaluedFair: $99.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMBJ1 strengths · Avg: 10.0/10
EPS GrowthGrowth
71.1%10/10

Earnings expanding 71.1% YoY

RTX2 strengths · Avg: 9.0/10
Market CapQuality
$261.12B10/10

Mega-cap, among the largest globally

Free Cash FlowQuality
$3.19B8/10

Generating 3.2B in free cash flow

Areas to Watch

EMBJ4 concerns · Avg: 3.8/10
P/E RatioValuation
28.4x4/10

Moderate valuation

Price/BookValuation
11.7x4/10

Trading at 11.7x book value

Revenue GrowthGrowth
4.3%4/10

4.3% revenue growth

Profit MarginProfitability
4.7%3/10

4.7% margin — thin

RTX4 concerns · Avg: 3.3/10
P/E RatioValuation
39.0x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.554/10

Distress zone — elevated risk

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

PEG RatioValuation
2.782/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : EMBJ

The strongest argument for EMBJ centers on EPS Growth.

Bull Case : RTX

The strongest argument for RTX centers on Market Cap, Free Cash Flow. Revenue growth of 12.1% demonstrates continued momentum.

Bear Case : EMBJ

The primary concerns for EMBJ are P/E Ratio, Price/Book, Revenue Growth. Thin 4.7% margins leave little buffer for downturns.

Bear Case : RTX

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

Key Dynamics to Monitor

EMBJ carries more volatility with a beta of 0.89 — expect wider price swings.

RTX is growing revenue faster at 12.1% — sustainability is the question.

RTX generates stronger free cash flow (3.2B), providing more financial flexibility.

Monitor AEROSPACE & DEFENSE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

RTX scores higher overall (55/100 vs 52/100) and 12.1% revenue growth. EMBJ offers better value entry with a 19.4% margin of safety. 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.

Embraer S.A.

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Embraer S.A., designs, develops, manufactures, and sells aircraft and systems globally. The company is headquartered in So Paulo, Brazil.

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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