RTXNEUTRAL

RTX Return on Equity (ROE) Analysis

12.3%

Updated 1059h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder equity, and RTX's 12.3% means it earns $12.30 for every $100 of invested equity.

Sector Performance

46th percentile

RTX

12.3%

Sector Median

13.2%

Sector Avg

16.4%

Prior Period

11.6%(Jul 2026)

↑ Improving
📊

Deep Analysis

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder equity, and RTX's 12.3% means it earns $12.30 for every $100 of invested equity.

That sits slightly below the sector median of 13.3%, with RTX ranked at the 46th percentile among its peers. The 8-quarter trend is unavailable, and the year-over-year change is also N/A, but the quarter-over-quarter change is a positive +6.0%. A level marginally under the median combined with a recent quarterly pickup implies limited downside risk and a possible short-term opportunity for improvement. This supports the overall NEUTRAL verdict directly: the ROE is slightly below average, but the upward quarterly movement prevents it from being a negative signal. The metric thus aligns with a balanced outlook rather than a bullish or bearish one.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about RTX?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

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RTX

12.3%

Sector Median

13.2%

Sector Avg

16.4%

How RTX's Return on Equity (ROE) compares to sector peers.

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