TXT vs. RTX: Which Stock Is the Better Value Option?

Core Viewpoint - The comparison between Textron (TXT) and RTX (RTX) indicates that Textron currently presents a better value opportunity for investors in the Aerospace - Defense sector [1] Valuation Metrics - Textron has a forward P/E ratio of 14.42, while RTX has a significantly higher forward P/E of 29.80 [5] - The PEG ratio for Textron is 1.44, indicating a more favorable valuation compared to RTX's PEG ratio of 2.92 [5] - Textron's P/B ratio stands at 2.09, compared to RTX's P/B ratio of 3.73, further highlighting Textron's superior valuation metrics [6] Earnings Outlook - Textron holds a Zacks Rank of 2 (Buy), suggesting a positive earnings estimate revision trend, while RTX has a Zacks Rank of 3 (Hold) [3] - The solid earnings outlook for Textron contributes to its classification as the superior value option compared to RTX [6] Value Grades - Textron has been assigned a Value grade of B, whereas RTX has received a Value grade of D, indicating a significant difference in perceived value [6]