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ARLO vs RTX

ARLO
Arlo Technologies, Inc.
NEUTRAL
Price
$12.99
Market Cap
$1.38B
Sector
Industrials
AI Confidence
65%
RTX
RTX Corporation
BEARISH
Price
$194.81
Market Cap
$262.25B
Sector
Industrials
AI Confidence
75%

Valuation

P/E Ratio
ARLO
433.0
RTX
39.28
Forward P/E
ARLO
16.56
RTX
25.91
P/B Ratio
ARLO
10.63
RTX
4.01
P/S Ratio
ARLO
2.7
RTX
2.96
EV/EBITDA
ARLO
1000.12
RTX
19.91

Profitability

Gross Margin
ARLO
41.63%
RTX
20.08%
Operating Margin
ARLO
0.62%
RTX
11.02%
Profit Margin
ARLO
0.84%
RTX
7.6%
ROE
ARLO
3.8%
RTX
10.95%
ROA
ARLO
-0.41%
RTX
3.88%

Growth

Revenue Growth
ARLO
1.4%
RTX
12.1%
Earnings Growth
ARLO
--
RTX
8.3%

Financial Health

Debt/Equity
ARLO
0.07
RTX
0.6
Current Ratio
ARLO
1.42
RTX
1.03
Quick Ratio
ARLO
1.14
RTX
0.67

Dividends

Dividend Yield
ARLO
--
RTX
1.41%
Payout Ratio
ARLO
0.0%
RTX
53.83%

AI Verdict

ARLO NEUTRAL

ARLO exhibits weak financial health with a Piotroski F-Score of 4/9, indicating borderline stability, and lacks an Altman Z-Score to assess bankruptcy risk. While the company shows strong recent earnings growth and beats on earnings surprises, profitability remains thin with negative ROA and elevated valuation multiples. The stock trades significantly above its Graham Number of $0.91 and intrinsic value of $0.21, suggesting substantial premium pricing. Analysts maintain a strong_buy recommendation, but insider selling worth $17.9M over the past six months raises caution, offsetting bullish sentiment.

Strengths
Strong recent earnings performance with 4 out of the last 5 quarters beating estimates and high positive surprises
Low debt burden with a Debt/Equity ratio of just 0.07, indicating conservative capital structure
Improving earnings trend: YoY EPS growth of +45.5% and Q/Q EPS growth of +433.3%
Risks
Weak financial health: Piotroski F-Score of 4/9 suggests instability and lack of Altman Z-Score increases uncertainty
Extremely high P/E of 433.00 indicates potential overvaluation, especially compared to forward P/E of 16.56
Negative ROA of -0.41% signals inefficient asset utilization and poor profitability
RTX BEARISH

RTX shows bearish fundamentals based on deterministic rules. Financial strength is stable (F-Score 5/9). Concerns include weak profitability or high valuation.

Strengths
Company has established market presence
Risks
High valuation with P/E of 39.3
Premium vs Graham Number ($73.65)

Compare Another Pair

ARLO vs RTX: Head-to-Head Comparison

This page compares Arlo Technologies, Inc. (ARLO) and RTX Corporation (RTX) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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