RTXNEUTRAL

RTX PEG Ratio Analysis

1.13x

Updated 393h ago·SEC filings & market data

Key Takeaway

The PEG ratio compares a stock’s price-to-earnings multiple to its expected earnings growth rate, with 1.0x generally indicating fair value.

Sector Performance

59th percentile

RTX

1.13x

Sector Median

0.77x

Sector Avg

2.65x

Prior Period

1.03x(Jul 2026)

↓ Declining
📊

Deep Analysis

The PEG ratio compares a stock’s price-to-earnings multiple to its expected earnings growth rate, with 1.0x generally indicating fair value.

At 1.13x, RTX is priced slightly above that fair-value benchmark, meaning investors pay a bit more for each unit of projected growth. That level is higher than the sector median of 0.81x, placing RTX in the 58th percentile among peers—so it is costlier than most comparable companies on this growth-adjusted basis. The year-over-year change is N/A, and the quarter-over-quarter change is +9.7%, rising from 1.03x to 1.13x in the most recent two reported values. The combination of an above-median PEG and a rising quarter-over-quarter trend suggests the stock’s growth valuation is becoming less attractive relative to its sector, adding a layer of valuation risk. This metric does not contradict the overall NEUTRAL verdict, since a moderately elevated but not extreme PEG supports holding without pressing for a more bullish stance.

Frequently Asked Questions

What does the PEG Ratio tell investors about RTX?

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

How is the PEG Ratio calculated?

PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.

Who are RTX's closest peers by PEG Ratio?

The closest peers by PEG Ratio include: FORM (0.49x), HII (0.48x), CPRI (0.47x), CBOE (0.46x), CELH (0.46x).

The Formula

P/E Ratio / EPS Growth Rate

Why It Matters

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

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RTX

1.13x

Sector Median

0.77x

Sector Avg

2.65x

How RTX's PEG Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.