RTX vs WDC: Which Is the Better Buy?
Side-by-side comparison of RTX Corporation and Western Digital Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-08-06.
RTX Corporation · Industrials
$185.60
-25.2% upside to fair value
Grade D
VS
Western Digital Corporation · Technology
$519.17
-28.7% upside to fair value
Med Conviction
Grade C+
QuantHub Verdict
RTX has more upside to fair value
(-25.2%).
WDC trades at a lower forward P/E
(27.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
RTX |
WDC |
| Current Price |
$185.60 |
$519.17 |
| Fair Value Estimate |
$138.81 |
$370.00 |
| Upside to Fair Value |
-25.2%
|
-28.7%
|
| Market Cap |
$249.9B |
$178.9B |
| Forward P/E |
34.3x
|
27.8x
|
| EV / EBITDA |
18.3x
|
37.3x
|
| Price / Sales |
2.8x
|
13.9x
|
| Price / FCF |
29.9x
|
51.0x
|
| Revenue Growth YoY |
+8.7%
|
+35.7%
|
| Gross Margin |
20.2%
|
48.9%
|
| Operating Margin |
10.9%
|
34.9%
|
| Return on Equity |
11.2%
|
43.4%
|
| Dividend Yield |
0% |
0.1% |
| FCF Yield |
3.34%
|
2.0%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
RTX Corporation is a leading aerospace and defense company with a strong competitive moat driven by scale and an installed base in commercial aerospace via Pratt & Whitney and Collins Aerospace, and defense through Raytheon. The company benefits from a large multi-year backlog of approximately $270 billion supporting steady cash flow and mid-single-digit organic growth. Despite solid revenue grow…
Western Digital is now a pure-play, duopoly hard-disk-drive manufacturer, having spun off its NAND flash business as SanDisk in February 2025 and sold its remaining SanDisk stake for $3.1 billion in February 2026. It is riding the same AI-storage supercycle as SanDisk and Micron, but from the mass-capacity nearline HDD side: hyperscalers are buying every high-capacity drive WDC can make for AI da…
Accumulation Zones
| Metric |
RTX |
WDC |
| Zone Low |
$104.11 |
$278.00 |
| Zone High |
$117.99 |
$315.00 |
| In Buy Zone? |
No
|
No
|