WallStSmart

Raytheon Technologies Corp (RTX)vsWestinghouse Air Brake Technologies Corp (WAB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Raytheon Technologies Corp generates 685% more annual revenue ($90.37B vs $11.51B). WAB leads profitability with a 10.5% profit margin vs 8.0%. WAB appears more attractively valued with a PEG of 1.37. WAB earns a higher WallStSmart Score of 64/100 (C+).

RTX

Buy

59

out of 100

Grade: C

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

WAB

Buy

64

out of 100

Grade: C+

Growth: 6.7Profit: 6.5Value: 6.0Quality: 5.0
Piotroski: 2/9Altman Z: 1.68
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RTXSignificantly Overvalued (-49.2%)

Margin of Safety

-49.2%

Fair Value

$115.75

Current Price

$172.79

$57.04 premium

UndervaluedFair: $115.75Overvalued
WABUndervalued (+16.4%)

Margin of Safety

+16.4%

Fair Value

$304.25

Current Price

$261.37

$42.88 discount

UndervaluedFair: $304.25Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RTX3 strengths · Avg: 8.7/10
Market CapQuality
$234.67B10/10

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

WAB0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

RTX3 concerns · Avg: 4.0/10
PEG RatioValuation
2.444/10

Expensive relative to growth rate

P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.554/10

Distress zone — elevated risk

WAB3 concerns · Avg: 3.7/10
P/E RatioValuation
37.0x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.684/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : RTX

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

Bull Case : WAB

Revenue growth of 13.0% demonstrates continued momentum. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bear Case : RTX

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

Bear Case : WAB

The primary concerns for WAB are P/E Ratio, Altman Z-Score, Piotroski F-Score.

Key Dynamics to Monitor

WAB carries more volatility with a beta of 0.99 — expect wider price swings.

WAB is growing revenue faster at 13.0% — sustainability is the question.

RTX generates stronger free cash flow (1.2B), providing more financial flexibility.

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

Bottom Line

WAB scores higher overall (64/100 vs 59/100) and 13.0% 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.

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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Westinghouse Air Brake Technologies Corp

INDUSTRIALS · RAILROADS · USA

Wabtec Corporation (derived from Westinghouse Air Brake Technologies Corporation) is an American company formed by the merger of the Westinghouse Air Brake Company (WABCO) and MotivePower Industries Corporation in 1999. It is headquartered in Pittsburgh, Pennsylvania.

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