WallStSmart

Loar Holdings Inc. (LOAR)vsRaytheon Technologies Corp (RTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Raytheon Technologies Corp generates 17753% more annual revenue ($88.60B vs $496.28M). LOAR leads profitability with a 14.5% profit margin vs 7.6%. RTX trades at a lower P/E of 39.0x. RTX earns a higher WallStSmart Score of 55/100 (C-).

LOAR

Buy

53

out of 100

Grade: C-

Growth: 7.3Profit: 6.0Value: 3.0Quality: 8.5
Piotroski: 5/9Altman Z: 2.52

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

LOARSignificantly Overvalued (-82.1%)

Margin of Safety

-82.1%

Fair Value

$35.10

Current Price

$59.51

$24.41 premium

UndervaluedFair: $35.10Overvalued
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

LOAR3 strengths · Avg: 8.3/10
Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

Revenue GrowthGrowth
19.3%8/10

19.3% revenue growth

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

LOAR3 concerns · Avg: 3.0/10
EPS GrowthGrowth
2.2%4/10

2.2% earnings growth

Return on EquityProfitability
6.4%3/10

ROE of 6.4% — below average capital efficiency

P/E RatioValuation
78.5x2/10

Premium valuation, high expectations priced in

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 : LOAR

The strongest argument for LOAR centers on Debt/Equity, Operating Margin, Revenue Growth. Revenue growth of 19.3% 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 : LOAR

The primary concerns for LOAR are EPS Growth, Return on Equity, P/E Ratio. A P/E of 78.5x 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

LOAR profiles as a growth stock while RTX is a value play — different risk/reward profiles.

LOAR is growing revenue faster at 19.3% — 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 53/100) and 12.1% 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.

Loar Holdings Inc.

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Loar Holdings Inc. is a diversified investment and holding company strategically focused on acquiring and managing assets primarily in the technology and real estate sectors. Committed to sustainable growth and value creation, the company utilizes innovative strategies to enhance operational efficiencies and maximize shareholder returns. By targeting emerging market opportunities, Loar Holdings offers a compelling investment prospect for institutional investors seeking to diversify their portfolios and pursue long-term financial goals.

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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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