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RTX vs SWBI

RTX
RTX Corporation
NEUTRAL
Price
$195.79
Market Cap
$263.53B
Sector
Industrials
AI Confidence
85%
SWBI
Smith & Wesson Brands, Inc.
BEARISH
Price
$14.85
Market Cap
$660.7M
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
RTX
39.39
SWBI
61.88
Forward P/E
RTX
26.01
SWBI
45.0
P/B Ratio
RTX
4.03
SWBI
1.82
P/S Ratio
RTX
2.97
SWBI
1.36
EV/EBITDA
RTX
20.17
SWBI
13.95

Profitability

Gross Margin
RTX
20.08%
SWBI
26.66%
Operating Margin
RTX
11.02%
SWBI
4.81%
Profit Margin
RTX
7.6%
SWBI
2.24%
ROE
RTX
10.95%
SWBI
2.99%
ROA
RTX
3.88%
SWBI
2.46%

Growth

Revenue Growth
RTX
12.1%
SWBI
17.1%
Earnings Growth
RTX
8.3%
SWBI
67.6%

Financial Health

Debt/Equity
RTX
0.6
SWBI
0.3
Current Ratio
RTX
1.03
SWBI
4.5
Quick Ratio
RTX
0.67
SWBI
1.35

Dividends

Dividend Yield
RTX
1.39%
SWBI
3.51%
Payout Ratio
RTX
53.83%
SWBI
216.67%

AI Verdict

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
SWBI BEARISH

SWBI exhibits a concerning disconnect between its market price ($14.85) and its deterministic fair value, with a Graham Number of $6.64 and Intrinsic Value of $7.08. While the Piotroski F-Score of 4/9 indicates stable financial health and growth metrics are strong, the valuation is stretched with a P/E of 61.88. Most critically, the dividend payout ratio of 216.67% is fundamentally unsustainable. Despite strong 1-year price momentum, the technical trend has turned sharply bearish (10/100), suggesting a correction toward fair value is likely.

Strengths
Strong YoY earnings growth of 67.60%
Low Debt/Equity ratio of 0.30 indicating low leverage
Excellent liquidity with a Current Ratio of 4.50
Risks
Unsustainable dividend payout ratio (216.67%)
Extremely thin profit margins (2.24%)
Significant premium to Graham Number and Intrinsic Value

Compare Another Pair

RTX vs SWBI: Head-to-Head Comparison

This page compares RTX Corporation (RTX) and Smith & Wesson Brands, Inc. (SWBI) 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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