We are reviewing President Joe Biden's fiscal 2025 defense budget request, released March 11, which is limited by a compromise struck in mid-2023 to avoid government shutdown at only a 1% increase over the 2024 sum.
Pratt & Whitney’s placement on the A320 family and A220 aircraft should substantially increase the company’s installed base of engines in coming years, unlocking decades of high-margin servicing revenue.
One of the driving factors behind the breakup of United Technologies was to create more-focused businesses. While the combined RTX is more focused on aerospace and defense, it is still large and difficult to manage.
|
Metric
|
RTX
|
GE
|
HON
|
|---|---|---|---|
Price/Earnings (Normalized) | 19.97 | 55.99 | 20.52 |
Price/Book Value | 2.24 | 6.23 | 7.85 |
Price/Sales | 2.10 | 2.54 | 3.48 |
Price/Cash Flow | 22.73 | 43.81 | 25.64 |
|
Metric
|
RTX
|
GE
|
HON
|
|---|---|---|---|
Quick Ratio | 0.63 | 0.79 | 0.84 |
Current Ratio | 1.04 | 1.18 | 1.27 |
Interest Coverage | 3.26 | 9.45 | 9.94 |
|
Metric
|
RTX
|
GE
|
HON
|
|---|---|---|---|
Return on Assets (Normalized) | 4.50% | 1.85% | 9.49% |
Return on Equity (Normalized) | 10.45% | 10.11% | 34.73% |
Return on Invested Capital (Normalized) | 7.93% | 6.27% | 16.29% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
GE
| GE Aerospace | Vsphzncfjv | Ffdn | $167.2 Bil | |
EADSY
| Airbus SE ADR | Bkbyqtytjl | Kdy | $135.3 Bil | |
LMT
| Lockheed Martin Corp | Lhtdrzkp | Zgwy | $109.7 Bil | |
BA
| Boeing Co | Jcdnpng | Cdvd | $104.4 Bil | |
GD
| General Dynamics Corp | Kljjgpgpck | Cfcv | $78.3 Bil | |
TDG
| TransDigm Group Inc | Mqkdwbsk | Svl | $68.2 Bil | |
NOC
| Northrop Grumman Corp | Nhkcdzhp | Wgqrw | $67.0 Bil | |
BAESY
| BAE Systems PLC ADR | Zswmzzwt | Wcccf | $48.4 Bil | |
RYCEY
| Rolls-Royce Holdings PLC ADR | Jhynzwsc | Jpfdllw | $42.0 Bil |
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