Heico Corporation (HEI)vsRaytheon Technologies Corp (RTX)
HEI
Heico Corporation
$279.09
-0.57%
INDUSTRIALS · Cap: $39.16B
RTX
Raytheon Technologies Corp
$195.00
+0.52%
INDUSTRIALS · Cap: $261.12B
Smart Verdict
WallStSmart Research — data-driven comparison
Raytheon Technologies Corp generates 1812% more annual revenue ($88.60B vs $4.63B). HEI leads profitability with a 15.4% profit margin vs 7.6%. HEI appears more attractively valued with a PEG of 2.62. HEI earns a higher WallStSmart Score of 58/100 (C).
HEI
Buy58
out of 100
Grade: C
RTX
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-138.2%
Fair Value
$135.34
Current Price
$279.09
$143.75 premium
Margin of Safety
-95.4%
Fair Value
$99.80
Current Price
$195.00
$95.20 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 22.2%
Mega-cap, among the largest globally
Generating 3.2B in free cash flow
Areas to Watch
Trading at 8.6x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Premium valuation, high expectations priced in
Distress zone — elevated risk
7.6% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HEI
The strongest argument for HEI centers on Operating Margin. Profitability is solid with margins at 15.4% and operating margin at 22.2%. Revenue growth of 14.4% demonstrates continued momentum.
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 : HEI
The primary concerns for HEI are Price/Book, PEG Ratio, P/E Ratio. A P/E of 55.6x leaves little room for execution misses.
Bear Case : RTX
The primary concerns for RTX are P/E Ratio, Altman Z-Score, Profit Margin.
Key Dynamics to Monitor
HEI profiles as a mature stock while RTX is a value play — different risk/reward profiles.
HEI carries more volatility with a beta of 1.02 — expect wider price swings.
HEI is growing revenue faster at 14.4% — sustainability is the question.
RTX generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
HEI scores higher overall (58/100 vs 55/100), backed by strong 15.4% margins and 14.4% 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.
Heico Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
HEICO Corporation designs, manufactures, and sells aerospace, defense, and electronic products and services in the United States and internationally. The company is headquartered in Hollywood, Florida.
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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