RTX vs V: Which Is the Better Buy?

Side-by-side comparison of RTX Corporation and Visa Inc. β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-05-04.
RTX Corporation Β· Industrials
$172.90
-21.3% upside to fair value
Grade D
VS
Visa Inc. Β· Financial Services
$304.36
+37.7% upside to fair value
High Conviction Grade A-
QuantHub Verdict
V has more upside to fair value (+37.7%). V trades at a lower forward P/E (23.7x). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric RTX V
Current Price $172.90 $304.36
Fair Value Estimate $136.05 $419.00
Upside to Fair Value -21.3% +37.7%
Market Cap $232.8B $586.8B
Forward P/E 32.1x 23.7x
EV / EBITDA 19.2x 22.3x
Price / Sales 2.6x 14.2x
Price / FCF 27.9x 25.6x
Revenue Growth YoY +8.7% +11.3%
Gross Margin 20.2% 81.08%
Operating Margin 10.4% 59.18%
Return on Equity 11.2% 54.22%
Dividend Yield 0% 0.83%
FCF Yield 3.59% 3.91%
Analyst Consensus Buy Strong Buy
Investment Thesis
RTX β€” RTX Corporation
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…
V β€” Visa Inc.
Visa is the world's dominant payment network with $40B in net revenue (FY2025), 50%+ net margins, and a capital-light toll-booth model processing $14.2T in annual payment volume across 257.5B transactions. The business compounds at 10-12% revenue CAGR with operating leverage pushing EPS growth to 12-15% over a cycle, funded by $21.6B in annual free cash flow against only $1.5B in capex. At 28.0x …
Accumulation Zones
Metric RTX V
Zone Low $102.04 $265.00
Zone High $115.64 $300.00
In Buy Zone? No No
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