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HON vs RTX

HON
Honeywell International Inc.
BEARISH
Price
$219.97
Market Cap
$139.38B
Sector
Industrials
AI Confidence
85%
RTX
RTX Corporation
NEUTRAL
Price
$195.79
Market Cap
$263.53B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
HON
31.74
RTX
39.39
Forward P/E
HON
19.18
RTX
26.01
P/B Ratio
HON
10.05
RTX
4.03
P/S Ratio
HON
3.72
RTX
2.97
EV/EBITDA
HON
19.32
RTX
20.17

Profitability

Gross Margin
HON
36.93%
RTX
20.08%
Operating Margin
HON
15.41%
RTX
11.02%
Profit Margin
HON
12.63%
RTX
7.6%
ROE
HON
26.14%
RTX
10.95%
ROA
HON
5.95%
RTX
3.88%

Growth

Revenue Growth
HON
-3.3%
RTX
12.1%
Earnings Growth
HON
-76.4%
RTX
8.3%

Financial Health

Debt/Equity
HON
2.37
RTX
0.6
Current Ratio
HON
1.3
RTX
1.03
Quick Ratio
HON
0.88
RTX
0.67

Dividends

Dividend Yield
HON
2.16%
RTX
1.39%
Payout Ratio
HON
65.99%
RTX
53.83%

AI Verdict

HON BEARISH

Honeywell exhibits a stable but mediocre Piotroski F-Score of 4/9, while its current price of $219.97 represents a massive premium over its Graham Number ($58.42) and Intrinsic Value ($48.51). Despite a stellar 25-quarter track record of earnings beats, the company is currently facing a severe growth crisis with YoY earnings plummeting by 76.40% and Q/Q revenue dropping 32%. High leverage (Debt/Equity 2.37) and bearish insider activity further compound the risk of a significant price correction.

Strengths
Exceptional earnings track record with consistent beats over 25 quarters
Strong Return on Equity (ROE) of 26.14%
Healthy gross margins at 36.93%
Risks
Extreme overvaluation relative to Graham Number and Intrinsic Value
Severe contraction in growth metrics (YoY Earnings -76.40%)
High financial leverage with a Debt/Equity ratio of 2.37
RTX NEUTRAL

RTX exhibits stable financial health with a Piotroski F-Score of 5/9, yet it is trading at a severe premium compared to its Graham Number ($73.73) and Intrinsic Value ($96.67). While the company boasts an exceptional track record of earnings beats over 25 quarters and solid revenue growth, the valuation is stretched with a PEG ratio of 2.75. This fundamental overvaluation is compounded by bearish insider sentiment and a weak technical trend, suggesting that while the business is strong, the stock price is currently decoupled from its deterministic value.

Strengths
Exceptional earnings track record with consistent beats over 25 quarters
Strong revenue growth of 12.10% YoY
Conservative Debt/Equity ratio of 0.60
Risks
Significant overvaluation relative to Graham and Intrinsic value models
Bearish insider activity with $32.68M in sales by top executives
High PEG ratio (2.75) indicating price growth exceeds earnings growth

Compare Another Pair

HON vs RTX: Head-to-Head Comparison

This page compares Honeywell International Inc. (HON) 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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