NVDA vs RTX: Which Is the Better Buy?
Side-by-side comparison of NVIDIA Corporation and RTX Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-04.
NVIDIA Corporation · Technology
$182.08
+59.3% upside to fair value
High Conviction
Grade A-
VS
RTX Corporation · Industrials
$172.90
-21.3% upside to fair value
Grade D
QuantHub Verdict
NVDA has more upside to fair value
(+59.3%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
NVDA |
RTX |
| Current Price |
$182.08 |
$172.90 |
| Fair Value Estimate |
$290.00 |
$136.05 |
| Upside to Fair Value |
+59.3%
|
-21.3%
|
| Market Cap |
$4,425.5B |
$232.8B |
| Forward P/E |
—
|
32.1x
|
| EV / EBITDA |
31.4x
|
19.2x
|
| Price / Sales |
21.0x
|
2.6x
|
| Price / FCF |
46.9x
|
27.9x
|
| Revenue Growth YoY |
+65.5%
|
+8.7%
|
| Gross Margin |
71.1%
|
20.2%
|
| Operating Margin |
60.4%
|
10.4%
|
| Return on Equity |
76.3%
|
11.2%
|
| Dividend Yield |
0.02% |
0% |
| FCF Yield |
2.13%
|
3.59%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
NVIDIA is the foundational infrastructure layer of the AI era. Data Center revenue reached $193.7B in FY2026, up 66% YoY, powered by insatiable demand for Blackwell B200 GPUs across hyperscalers and sovereign AI programs. The company generates $96.7B in annual free cash flow with 71% gross margins and 56% net margins, making it the most profitable semiconductor business in history. At P/E 37.7x v…
RTX Corporation is a leading aerospace and defense company with a diversified portfolio spanning Pratt & Whitney jet engines, Collins Aerospace avionics, and Raytheon Intelligence & Space defense systems. The company benefits from a strong competitive moat supported by a $271 billion backlog and multi-year contracts, driving consistent revenue growth of 10% in 2025 and 9% in Q1 2026. Earnings gro…
Accumulation Zones
| Metric |
NVDA |
RTX |
| Zone Low |
$218.00 |
$102.04 |
| Zone High |
$250.00 |
$115.64 |
| In Buy Zone? |
Yes
|
No
|