RTX FCF Yield Analysis
Updated 393h ago·SEC filings & market data
Key Takeaway
A 2.5% free cash flow yield means the company generates $2.50 in free cash flow for every $100 of its market value, a measure of how cheaply you can buy cash generation.
Sector Performance
30th percentileRTX
2.5%
Sector Median
4.2%
Sector Avg
9.2%
Prior Period
2.6%(Aug 2026)
Deep Analysis
A 2.5% free cash flow yield means the company generates $2.50 in free cash flow for every $100 of its market value, a measure of how cheaply you can buy cash generation.
This sits well below the sector median of 4.1%, placing RTX at the 30th percentile among peers, so most similar companies offer a higher yield. The metric is decreasing, with the quarter-over-quarter change at -3.8% and year-over-year change not available, while the last three readings of 2.5%, 2.6%, and 2.8% confirm a downward path. The combination of a below-median level and falling trend implies shrinking cash return per dollar invested, which raises risk for shareholders expecting stable or growing payouts. This metric contradicts the overall NEUTRAL verdict, because the weakening FCF yield points to a less attractive cash profile than the neutral stance suggests.
Frequently Asked Questions
What does the FCF Yield tell investors about RTX?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are RTX's closest peers by FCF Yield?
The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master RTX's Valuation
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2.5%
Sector Median
4.2%
Sector Avg
9.2%
How RTX's FCF Yield compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.