Today’s Stock: RTX Corporation (RTX)Today’s Stock: RTX Corporation (RTX)

RTX Corporation, an aerospace and defense company, provides systems and services for commercial, military, and government customers worldwide. It operates through three segments: Collins Aerospace (Collins), Pratt & Whitney, and Raytheon. The Collins segment offers aerospace and defense products, and aftermarket services for civil and military aircraft manufacturers and commercial airlines, as well as regional, business, and general aviation, defense, and commercial space operations.

This segment designs, manufactures, and supplies electric power generation and management and distribution, environmental control, flight control, air data and aircraft sensing, engine control, and engine nacelle systems, as well as engine components; cabin interiors, including seating, oxygen, food and beverage preparation, storage and galley, lavatory, and wastewater management systems; connected aviation solutions and services; and systems solutions for connected battlespace, test and training range systems, crew escape systems, and simulation and training. It also provides spare parts, overhaul and repair, engineering and technical support, training and fleet management solutions, and asset and information management services. The Pratt & Whitney segment supplies aircraft engines for commercial, military, business jet, and general aviation customers; and produces, sells, and services military and commercial auxiliary power units, as well as offers fleet management and aftermarket maintenance, repair, and overhaul services. The Raytheon segment provides defensive and offensive threat detection, tracking, and mitigation capabilities for government and commercial customers.

This segment offers sensors, mission orchestration and satellite control products, and software. The company was formerly known as Raytheon Technologies Corporation and changed its name to RTX Corporation in July 2023. RTX Corporation was incorporated in 1934 and is headquartered in Arlington, Virginia.

My Thoughts 💭My Thoughts 💭

ANOTHER WAR Stock! This is getting our of control. I heard if Raytheon long ago as many of my undergraduate classmates were recruited by them thus I was surprised to learn they renamed as RTX and even got Pratt and Whitney into the fold. Let’s see how well this war business is ran.

At 283.3k sats per share ($71,459), and a 3.7k sat per share yearly dividend. It would take 76 years to break even.

The company trades at a PE 40 which means investors are paying $40 access $1 of earnings. A very expensive stock by historical standards. Investors are paying a heavy premium to own shares of this stock.

Let’s review some key fundamentals to determine if this stock is worth spending sats on.

PE:PE:

Expected Growth:Expected Growth:

Revenues and expenses:Revenues and expenses:

Balance Sheet:Balance Sheet:

Dividend:Dividend:

NoneNone

Ownership breakdown :Ownership breakdown :

Leadership:Leadership:

The fundamentals of this company are meh like all the other war stocks. The balance sheet is bad loaded with debt with little cash, the growth prospects are meh (projected grow way slower than bitcoin), the free cash flow and revenue for this business is unbelievable and most of the float is owned by institutions which can be a negative.

Another negative is the elevated valuation. Value investors run away! Those who want to fund the war machine come on in.

From a Bitcoiner perspective. Paying 283k sats for one share is a bit steep. Since the valuation is so high and it doesn’t pay much of a dividend the risk of losing your sats goes up very quickly. Then why would you want to give up sats for this war profiteering company.

Hard pass with this one the valuation is too high growth too low and the dividend payback is way too long.

Here is the performance according to Simply Wall Street

This is the last of the war stocks and thank goodness. I still don’t understand why Ansel selected so many of these stocks for the re industrialization of America. Like I said with the last stock of Ansel was Lindsay Graham I would understand but as a Bitcoiner makes me say hmm.

Overall it is hard to judge any of these companies because they are government to business enterprises. I am curious to know how much if their revenue is tied to government contracts? With this government put and this mountain of $37B in debt that is probably owned by Wall Street and banks it’s no surprise why American politicians are bought and paid for and how trillion dollar defense budgets can get passed.